The High Court of Australia ruled against the country’s customs agency when it said gummy vitamins are deemed “medicaments” and are not subject to import duties, according to a Feb. 7 KPMG post. The ruling, made Feb. 5, stemmed from a dispute over the correct customs classification of the vitamin gummies, which were imported into Australia and classified as “medicaments” by the importer. The country’s customs authority argued that the imports were “sugar confectionary” or “other food preparations,” which are subject to duties worth about 5 percent of the customs value.
India’s Directorate General of Foreign Trade recently issued notices advising traders to indicate the “prescribed harmonized system” codes of items instead of using the “others” category for bills of entry and shipping bills, KPMG said in a Feb. 7 post. Some importers were not indicating the correct eight-digit HS code when filing a bill of entry, which led to errors in determining India’s import data, KPMG said. If the misclassification continues, India may introduce a licensing regime for items in the “others” category by “shifting items from a ‘free’ to ‘restricted’ category,” which will lead to higher customs duties.
India’s Central Board of Indirect Taxes and Customs made changes to its customs clearance process to speed up clearance times for imports, India said in a Feb. 6 notice. The country is introducing “machine based automated clearance” for imported goods, which will allow customs officers to inspect the goods before the importer pays duties, allowing the goods to be cleared as soon as all fees are paid. Previously, customs officers could only inspect imports after the duties were paid, which led to delays in clearance. The system launched Feb. 6 as pilot programs at the Chennai and Nhava ports, and will “soon be rolled out to all ports across India,” the notice said, including inland container depots and airports. “This new initiative will fasten the Customs processes by not waiting for the duty payment and ... it will give additional time to importer who will now be able to pay the duties even while the goods are being verified by the Customs officer,” India said.
China recently banned the production and sale of “ultra-thin” plastic bags with thickness less than .025 mm and “polyethylene agricultural mulch” with thickness less than .01 mm, the Hong Kong Trade Development Council said in a Feb. 10 report. China also plans to ban sales of single-use “foam plastic tableware” and cotton swabs, the report said. China wants to promote recyclable materials, especially in plastics, and also has plans to substantially ban plastic waste imports by 2025 (see 2001210024).
Singapore Customs’ TradeNet will undergo system maintenance from 4 a.m. to 4 p.m. local time on Sunday, Feb. 23, Singapore said in a Jan. 31 notice. The agency is advising users to avoid submitting applications during this time. This is in addition to usual maintenance on Sundays from 4 a.m. to 8 a.m.
Uzbekistan recently implemented new value-added tax rules relating to e-services, according to a Jan. 31 KPMG post. The rules will impose certain VAT requirements on foreign suppliers of e-services to customers in Uzbekistan, KPMG said. The suppliers will also be subject to rules on VAT payment remittances.
The U.S.-India Business Council praised some aspects of the proposed Indian budget, but said that new tariffs (see 2001270016) on agricultural products, medical devices, auto parts, electronics and electric vehicles are concerning. “Both USIBC and the U.S. Chamber [of Commerce] have long maintained that tariffs raise prices for consumers and create friction with trade partners, ultimately inhibiting economic growth,” the organization said Feb. 2.
Indonesia has given its customs officials the authority to stop counterfeit goods at the border, and just in 2020, has already seized $1 billion rupiah, or $73,000, worth of counterfeits that were set for export, according to Iwan Freddy Hari Susanto, charge d'affaires for the Indonesian Embassy. He was testifying Jan. 31 at a hearing on Indonesia's eligibility for the Generalized System of Preferences benefits program, and was describing numerous actions the country has taken to improve protections for intellectual property rights holders.
Japan hopes to quickly reach a trade agreement with the United Kingdom after Brexit based on the European Union-Japan Economic Partnership Agreement, two Japanese officials said Jan. 31. Japan wants to “promptly” agree to a trade deal with the U.K. to minimize impacts on Japanese companies after Brexit, Japan’s minister of economy, trade and industry said during a press conference, according to an unofficial translation of a transcript. “If a trade agreement between the U.K, and the [European Union] is not reached by the end of the transition period, the activities of Japanese companies may be adversely affected,” the minister said. “The idea is to work on construction quickly.” Japan will continue to operate its Brexit Service Desk (see 1910040013) during the transition period, the minister added.
China’s Ministry of Commerce recently issued a circular detailing the expansion of its pilot program for cross border e-commerce retail imports, according to a Jan. 30 report from the Hong Kong Trade Development Council. The program will add 50 “cities or regions,” including the whole Hainan Island, which are now able to conduct “bonded import business” for online imports.