China signing AEO agreements for easier customs clearance

Five among them, including Singapore, South Korea and Japan, have signed the Regional Comprehensive Economic Partnership (RCEP).

The AEO programme was advocated by the Brussels-based World Customs Organisation, which represents 184 customs administrations across the globe that collectively process about 98 per cent of world trade. It is designed to strengthen international supply chain security and facilitate the movement of legitimate goods.

The programme will further enrich the cooperative content in the RCEP agreement in future, official Chinese media quoted Wang Sheng, director general of the department of enterprise management and audit-based control at China's general administration of customs (GAC), as saying.

"In addition to getting in touch with Indonesia, Vietnam and the Philippines to build fresh AEO partnerships, China has communicated with Cambodia, Laos, Myanmar and Brunei, the four countries that have not yet established an AEO system," Wang said, stressing that Beijing is willing to offer capacity-building assistance to help them establish and implement the AEO system.

GAC and Thai Customs signed an action plan for mutual recognition of AEO status early this year after completing initial consultations on the AEO certification programme with Malaysia last year. That was the first such plan China inked with an RCEP member since the pact entered into force in January, according to official Chinese media.

China Ocean Shipping Agency Rizhao Co. Ltd., or Penavico Rizhao, a cross-border logistics service provider based in the Shandong province, gained AEO certification from Rizhao Customs, a branch of Qingdao Customs, in early August. This was after GAC introduced the criteria for advanced certified enterprises under the AEO programme, including general and specific criteria for consignees and consignors of imported and exported goods, in late last year.

The state-owned firm established a working team to apply for AEO certification in November last year to secure more market share. With guidance from Rizhao Customs, the firm has improved in four areas to fill regulatory gaps and upgraded its management level.

Fibre2Fashion News Desk (DS)