Views: 0 Author: Site Editor Publish Time: 2026-07-24 Origin: Site
To standardize the export order of high-energy-consuming products and promote high-quality development of foreign trade, the Ministry of Commerce and the General Administration of Customs have issued a series of new policies targeting the foundry industry since 2026, covering export license administration, refined commodity classification declaration, and intensified customs inspection and supervision. These policies fully regulate ferrous castings and raise higher requirements for industrial compliance operation. The core policies and compliance highlights are interpreted as follows:
In accordance with Announcement No. 79 of 2025 issued by the Ministry of Commerce and the General Administration of Customs, ferrous castings including gray iron castings, ductile iron castings, steel castings, alloy steel castings, cast pipes and mechanical rough castings (Chapter 72/73, covering approximately 300 HS codes) are officially included in the scope of export license control.
· Exempted Scope: Aluminum/alloy aluminum castings and pure machined parts without casting procedures are exempted from export licenses.
· Application Requirements: Enterprises shall apply for electronic export licenses online via the International Trade Single Window by submitting foreign trade contracts, manufacturer material quality inspection certificates (chemical composition & mechanical properties), business licenses and import & export operation qualifications. One license for one order is implemented with 100% consistency between license and goods.
· Customs Clearance Restrictions: Goods without valid licenses shall be rejected for customs declaration and prohibited from outbound departure. The commodity name, HS code, material specification, quantity and consignee/consignor information on the license must be fully consistent with declaration documents.
In accordance with Announcement No. 40 of 2026 issued by the General Administration of Customs, new control identification codes and mandatory declaration elements for restricted goods are added to export customs declarations, bringing comprehensive refinement to declaration requirements for casting products:
· Mandatory Declaration Elements: Ferrous castings must be declared with precise information including material classification (gray iron / ductile iron / carbon steel casting / alloy steel), chemical composition (content of C/Si/Mn/S/P), casting process (sand casting / investment casting / lost foam casting), and product application (automotive / agricultural machinery / engineering machinery). General vague declaration as merely “casting parts” is prohibited.
· Compliance Red Line for Classification: Strictly distinguish between iron castings and steel castings, rough castings and finished products, ordinary castings and alloy castings. Incorrect HS code classification will lead to direct document rejection, intensified inspection probability and negative impact on AEO credit rating.
Foundry products have been listed as key supervised commodities by customs with continuously strengthened inspection intensity:
· Mandatory Inspection Items: Material composition, mechanical properties, dimensional tolerance, surface defects (air holes / sand holes / cracks), heavy metal and environmental protection indicators. Enterprises shall provide factory qualification certificates and batch traceability records for inspection.
· Core Verification Dimensions: Consistency of four documents (contract / commercial invoice / customs declaration / bill of lading), matching between export license and physical goods, authenticity of export prices (strict investigation of under-declaration and price concealment), as well as traceability of origin and furnace batch records.
· Export Tax Rebate: The tax rebate rate remains stable at 13% for both ferrous and aluminum castings. Strict consistency is required for goods, invoices, contracts and capital flows. Declarations exceeding the statutory time limit will be deemed as domestic sales and subject to taxation. Goods entering bonded zones or overseas warehouses under Code 9810 are eligible for tax rebate upon outbound departure.
· Low-carbon Compliance: In response to the EU CBAM (Carbon Border Adjustment Mechanism), exporters shall retain carbon emission data and environmental test reports for casting products. Production capacity, energy consumption and emission indicators of foundry enterprises are linked with export quotas, driving the industry toward green and low-carbon transformation.
1. Pre-qualification Arrangement: Sort out product portfolios comprehensively, distinguish licensed and exempted categories, and complete license approval prior to shipment to avoid operational risks of unlicensed export.
2. Standardized Declaration: Fix the exclusive HS code for each product, fill in declaration elements accurately, and ensure full consistency of information across all commercial and customs documents.
3. Document Retention: Keep material composition test reports, mechanical performance certificates and factory inspection documents for each batch, and establish a complete product traceability system.
4. Credit Empowerment: Accelerate the application for AEO Senior Certification to reduce inspection rates, improve clearance efficiency and enjoy mutual recognition preferences under global customs cooperation.
5. Risk Control: Strictly prohibit under-reporting of prices, incorrect classification and inconsistent document information, and conduct regular internal compliance self-inspections.
The new policies aim to drive the foundry industry transformation from quantity expansion to quality upgrading, forcing standardized operation and overall competitiveness improvement. Our company will keep tracking policy updates, strengthen internal compliance management, and provide global clients with high-quality foundry products and professional one-stop foreign trade services with stable and reliable supply capacity.
