Based on the relevant regulations from the joint announcement by the Ministry of Commerce, Ministry of Industry and Information Technology, Ministry of Public Security, Ministry of Transport, and the GACC, Matters Related to the Export of Used Cars (referred to as the Announcement), this article will introduce some considerations for the export of used cars.
I. Definition of Used Car
Used cars refer to vehicles (excluding three-wheeled cars and low-speed trucks, the same below) and trailers that have been traded and transferred in ownership after completing registration procedures and before reaching the national mandatory scrapping standards.
II. Requirements for Filing as a Used Car Export Company
(I) Manufacturer
1. Registered in the People's Republic of China and possesses independent legal entity status.
2. Enterprises listed in the Announcement of Road Motor Vehicle Manufacturers and Products released by the Ministry of Industry and Information Technology.
3. Export products produced by the company;
4. The enterprise operates legally and in compliance with the regulations, adheres to laws and regulations regarding safety production, environmental protection, taxation, customs, and foreign exchange management. It has no unrectified illegal activities or serious credit violations.
(II) Distribution enterprises
1. Registered in the People's Republic of China and possesses independent legal entity status.
2. Possesses a fixed business office location and a site for displaying and selling used cars, with experience in car sales or trade.
3. Possesses the ability to appraise and evaluate used cars and employs at least three professional appraisers.
4. The enterprise operates legally and in compliance with the regulations, adheres to laws and regulations regarding safety production, environmental protection, taxation, customs, and foreign exchange management. It has no unrectified illegal activities or serious credit violations.
III. Application Procedures for Used Vehicle Export Business
(I) Application Procedures
Enterprises can log in to the "Unified Platform of Business Systems of the Ministry of Commerce" enterprise portal to fill out application materials and submit them to the provincial commerce authorities for review. For enterprises whose application materials meet the requirements of the Announcement, the provincial-level commercial departments will review and approve them within 15 working days, allowing the enterprises to engage in used car export business within one year.
(II) Materials Required
Application for Engaging in Used Car Export Business: Circulation enterprises need to submit proof of property rights or usage rights for business premises, proof of the capability of used car appraisal professionals and proof of social security contributions paid by the enterprise, proof of automobile sales or trade conditions, and a copy of the enterprise's financial audit report for the previous year issued by an accounting firm; newly registered enterprises must provide the financial statement for the current application period and a copy of the financial audit report for the previous year of the enterprise's investors.
IV. Process and Materials Required for Applying for an Export License
(I) Application Procedures
Export enterprises shall apply for an export license on the "Enterprise End of the Unified Platform for Business Systems of the Ministry of Commerce" following the principle of "whoever exports applies". Other enterprises or individuals are not allowed to apply on their behalf. The provincial commerce department will issue export licenses within three working days to enterprises whose materials meet the application requirements.
(II) Materials Required
Application form for export license; legally binding export contract (including after-sales service content); original or scanned copy of the Motor Vehicle Registration Certificate; product inspection report issued by a third-party inspection agency and a self-declaration by the agency that there are no unrectified violations or serious credit infringements; declaration that the export vehicles meet the market access standards of the target export market.
V. Clearance Requirements for Used Vehicle Export
(I) To declare the export of automobiles to customs, the company shall submit the necessary certificates and approval documents, including the export license, packing list, invoice, contract, bill of lading, and customs declaration power of attorney.
(II) The company shall declare in accordance with the relevant regulations of customs declaration management, and truthfully fill in the Vehicle Identification Number (VIN). The product name should be filled in as "Used + Vehicle Brand + Displacement + Model (such as SUV, sedan, etc.)".
(3) The company can independently choose either paper-based or paperless declarations. Those handling customs declaration and clearance procedures in a paperless manner can be exempted from submitting the physical export license certificate. The customs will verify the electronic export license certificate through a network verification system, eliminating the need for paper endorsements.
(IV) The customs authorities conduct network checks on the export licenses for used cars, and if the conditions for verification are met, they update the electronic original account data of the export licenses.
(V) If it is necessary to verify the paper version of export license due to management needs or under other circumstances, the company shall submit the paper version or go through the customs declaration and clearance formalities with the customs in paper form.
VI. Prohibited Circumstances for Exporting Used Cars
(I) Motor vehicles that meet the scrapping standards stipulated in the Provisions on Compulsory Scrapping Standards for Motor Vehicles and those within 1 year (inclusive) from the required service life shall not be exported.
(II) Vehicles that are under mortgage or pledge during customs supervision periods.
(III) Vehicles that are under legal seizure or detention by supervisory authorities, people's courts, people's procuratorates, or administrative law enforcement departments.
(IV) Vehicles obtained through illegal means such as theft, robbery, or fraud;
(V) When the vehicle does not match the information recorded in the vehicle registration certificate;
(VI) Smuggled or illegally assembled (modified) vehicles;
(VII) Vehicles lacking statutory documentation and credentials.
(VIII) Vehicles that fail the inspection.
(IX) Vehicles that have not completed processing for road traffic safety violations and traffic accidents;
(X) Vehicles prohibited from being traded or exported by other laws and regulations.
Disclaimer：The above content is translated from Chinese version of xuexi.cns. The xuexi.cn version shall prevail.