Chapter I General Provisions

Article 1 With a view to regulating the customs' supervision over Zhuhai Park of Zhuhai/Macao Cross-Border Industrial Zone (hereinafter referred to as Zhuhai Park), the present Measures are formulated according to the Customs Law of the People's Republic of China (hereinafter referred to as the Customs Law) as well as other relevant laws and administrative regulations.

Article 2 Zhuhai Park is an area under special customs supervision, which has been established upon the approval of the State Council. It adopts bonded zone policies, and adopts export processing zone policies on taxation to the goods carried between Zhuhai Park and any other area within the customs territory of the People's Republic of China (hereinafter referred to as the outer area).

Article 3 The institutions accredited by the customs in Zhuhai Park shall conduct 24-hour supervision over the goods, articles and transport vehicles entering or exiting Zhuhai Park, as well as the enterprises and sites within Zhuhai Park according to the present Measures.

Article 4 Zhuhai Park shall adopt closed management. Between Zhuhai Park and any outer area or Macao Park, relevant fence isolation facilities, checkpoints, video monitoring systems and other facilities needed in customs supervision, which satisfy the customs' supervision requirements, shall be established.

A special port passageway shall be set up between Zhuhai Park and Macao Park to be used for the entry and exit of goods, articles, transport vehicles and persons between the two parks. A passageway for the entry and exit via the checkpoint shall be established between Zhuhai Park and any outer area to be used for the entry and exit of goods, articles, transport vehicles and persons between Zhuhai Park and outer area.

Article 5 No commercial consumption facility for living shall be set up within Zhuhai Park. Anyone else may not reside in Zhuhai Park except the security guards and the on-duty staff of the enterprise.

Article 6 Zhuhai Park may perform the following items of business:

(1) Processing and manufacturing;

(2) Testing, repairing, research and development;

(3) Disassembling and revamping;

(4) Storing imported or exported goods and other goods for which the customs procedures have not been finished;

(5) Import and export trade, including transit trade ;

(6) International purchase, distribution and allocation;

(7) International transfer;

(8) Commodity display or exhibition sales; and

(9) Other processing and logistics business approved by the customs.

Article 7 An enterprise within Zhuhai Park (hereinafter referred to as enterprise within the Park) shall be of the qualification as a legal person, be capable of paying customs duties and performing other legal obligations, and have a special business place within the Park. Under certain circumstances, a legal person enterprise at the outer area may, upon approval of the customs directly under the General Administration of Customs, set up a branch within Zhuhai Park according to law.

An enterprise within the Park shall, according to the Provisions of the Customs of the People's Republic of China on the Registration Administration of Declaration Entities and other relevant provisions, go through the procedures for registration, modification, nullification, renewal or replacement of the administrative license at the customs.

Article 8 An enterprise within the Park shall, according to the Accounting Law of the People's Republic of China and other relevant laws and administrative regulations of the state, set up account books and statements satisfying the requirements of the customs on supervision, record its financial conditions and relevant information on storage, cession, transfer, sale, processing, use, wastage, etc. of the goods and articles entering or exiting Zhuhai Park, truthfully fill in the relevant documents and account books, keep accounts and make accounting upon the strength of lawful and effective vouchers.

Article 9 The customs shall apply the system for the supervision over electronic account books and the computer interconnection management system for the enterprises within the Park.

The administrative institutions or its operation entities shall be guided by the customs to, via the platform of electronic port, establish a public computer information platform for the sharing of electronic data interchange and information between the customs, enterprises within the Park and other relevant departments.

Any enterprise within the Park shall establish a computer management system satisfying the requirements of the customs on the interconnection and supervision, and shall, by means of the certification method as prescribed by the customs, provide the electronic data meeting the format for the customs' check, and interconnect such data with the customs' information system.

Article 10 The deposit account system for processing trade may not be applied to the enterprises within the Park.

Article 11 Under any of the following circumstances, the involved enterprise within the Park shall, within five working days as of occurrence of the circumstance, report to the customs in writing and go through relevant procedures.

(1) Where any force majeure occurs;

(2) Where the goods under the customs' supervision are stolen; or

(3) Where the enterprise is divided, merged or comes into bankruptcy.

Article 12 The goods and articles as prohibited by any law or administrative regulation from being imported or exported may not enter or exit Zhuhai Park.

Chapter II Supervision Over the Goods Carried Between Zhuhai Park and Overseas Areas

Article 13 The customs shall adopt the recording system to administer the goods carried between Zhuhai Park and overseas areas, except for the goods on which there are otherwise provisions in any law or administrative regulation. For the goods carried between Zhuhai Park and overseas areas, the consignor, the consignee or its agent shall fill in the recording list and report it to the customs for archival filing.

As for the goods carried between Zhuhai Park and overseas areas, the enterprise within the Park may, with a written application and be approved by the customs, go through the centralized declaration procedures, unless it is otherwise prescribed by any law, administrative regulation or rule.

Article 14 The goods carried between Zhuhai Park and overseas areas shall be declared to the competent customs of Zhuhai Park. Where the port for the entry or exit of the goods carried between Zhuhai Park and overseas areas is not located within the jurisdictional area of the competent customs of the Park, the enterprise within the Park shall go through relevant procedures.

Article 15 The goods carried between Zhuhai Park and overseas areas may not be subject to the export quota-based or license-based administration, unless it is otherwise prescribed by any law, administrative regulation or rule.

Article 16 Import duties and import link taxes shall be levied in light of the following provisions on the goods entering Zhuhai Park from abroad, unless it is otherwise prescribed by any law or administrative regulation:

(1) The machines, equipments and other materials needed by the productive infrastructure construction projects in Zhuhai Park shall be exempted from taxes;

(2) The production and management equipments, the office supplies at a reasonable quantity for the own use, and the necessary parts and fittings for repair thereof for the own use of an enterprise within the Park, as well as the materials and equipments needed for constructing production plants or warehousing facilities shall be exempted from taxes;

(3) The management equipments and office supplies of the administrative institutions of Zhuhai Park at a reasonable quantity for their own use, as well as the necessary parts and fittings for repair shall be exempted from taxes;

(4) The raw materials, parts and components, elements and packing materials as needed by the enterprises within the Park for processing export products shall be bonded;

(5) The transit goods as well as the goods, exhibits and samples as stored in Zhuhai Park shall be bonded; and

(6) The goods or articles entered in Zhuhai Park from abroad that fall out of the above prescribed scope shall be levied taxes according to law.

Where the goods, which come from abroad and entering Zhuhai Park free of taxes as prescribed in the preceding Paragraph, depart from the Park and enter the outer area, the customs shall go through the procedures in accordance with the relevant provisions on the import of goods; if it needs to be levied taxes, the taxes shall be levied according to the real condition of the goods when they are departing from the Park; if they are commodities subject to quota-based or license-based administration, the enterprise within the Park or the consignee in the outer area shall, in addition, show the import quota or license to the customs.