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Business Modes

Mode 1 : Import Tax-free (Tax Deferral)
When the imported goods enter the tax-free logistics center, the company can enjoy the tax-free policies of our country and defer paying the tax。

——Applicable enterprises for importing goods into the tax-free logistics center
For enterprises importing a lot of goods (for reasons of forecast of international economical trend, procurement planning, and so on) but having not found buyers, they can import the goods into the tax-free logistics center to enjoy the tax-free polices and apply to customs after they find the buyers。

——Advantages of importing goods into the tax-free logistics center
To relieve the taxation capital pressure for enterprises and provide storage places for goods。

Mode 2 : Export drawback

When the domestic goods enter the tax-free logistic center, it is equal to that they have been exported, so the drawback can be acquired and there’s no need to wait for the goods leaving the country。

Waiting shipping date     After the goods have been produced and before the shipping date, the goods can be stored in the tax-free logistics center for acquire the drawback in advance。

Fighting against time    To store goods in the tax-free logistics center before the export tax is increased or the export drawback rate is reduced。

Verifying trade handbook     To export the finished goods to the center for verify the trade handbook, and to wait for business chances of export during the period that the goods are storing in the center。

Domestic procurement   To export the equipments, goods and materials produced by domestic enterprises to the center in advance for acquiring the export drawback and reducing the procurement cost for domestic buyers (imported by the trade handbook, the duty-free sheet or the general trade modes)。
Drawback in advance, reasonably arrangement of foreign trade logistics, expediting the capital turnover, reducing the procurement cost。

Mode 3 : Carrying forward (tax-free logistics center one-day tour)
Substantially, the tax-free logistics center one-day tour is the inland substitute of the “Hong Kong One-day Tour”, which means the operation method that the processing trade enterprises firstly export the domestic-made semi-finished goods purchased by them to Hong Kong and such kind of place outside borders and then handle the import procedures。
Sincethe tax-free logistics center is equal to “within borders and outside the custom”, ,so it is no need for the enterprises to make the “one-day tour” in Hong Kong or the high seas,they only needmake their goods to have the “one-day tour” in the tax-free logistics center, so as to greatly reduce the transportation cost and other relevant expenses。
——Features of the “one-day tour”
For the upriver enterprises, the entering of goods into the tax-free logistics center will be deemed as export, and the drawback can immediately be handled。 And the downriver enterprisesonly need to import goods from the tax-free logistics center and declare to the custom by the “processing trade handbook” method, and then they canenjoy the treatment of exempting customs and value-added tax for imported materials. This will greatly reduce the tax drawback cycle and expedite the capital turnover。
——Applicable situations for “one-day tour”
Midwived by the carrying forward between handbooks
If you choose the “deep processing carrying forward” (factory shifting) mode, the trade between two enterprises will be deemed as domestic trade by the national taxation department and can not enjoy the export drawback。
Finished goods of processing trade (handbook) containing homemade parts
For an example, there’s an enterprise A needs to import several thousand parts for export a ship, and B is only one of the suppliers of the imported parts, if B provide parts to A directly, B will not able to acquire the tax drawback, but if B export the parts to the tax-free logistics center in advance and then A import these parts, then B can acquire the tax drawback smoothly. This is undoubtedly a piece of good news for all enterprises similar to B。
Any difference existing between tax drawback rates (semi-goods tax drawback rate> finished goods tax drawback rate)
For an example, the wide coil steel will be processed into the narrow steel strips for export, since the tax drawback rate of wide coil steel > narrow steel strips, so you can make the “tax-free logistics center one-day tour” for the wide coil steel to finish the tax drawback of wide coil steel, and the downriver enterprises import the wide steel strips by the trade handbook, process them into the narrow steel strips and then realize the export。
Any difference existing between import tax rates (imported component tax rate> finished goods tax rate)
During the course of processing trade, when the imported component tax rate >finished goods tax rate, if you make the “tax-free logistics center one-day tour” for the trade handbook fished goods, you can import the finished goods (domestic sale) by relative low tax rate at the same time of finishing the trade handbook verification。
Any difference existing between the tax drawback rate and the custom rate tax drawback rate> custom rate)
For an example, the zero-custom equipments and domestic trade have no tax drawback, when you can export goods to the tax-free logistics center to have the “one-day tour” and then acquire the tax drawback。
——Advantages of Jiangyin Tax-free Logistics Center One-day Tour
The biggest benefit of the “one-day tour” is to help the processing trade enterprises bring forward the tax drawback to the phase when they purchasing domestic raw materials or semi-finished goods, so as to reduce the time of tax drawback; besides, it still have benefits of transferring the taxation cost, reduce the taxation and saving the cost. Jiangyin Tax-free Logistics Center will work hard tohave a high clearance speed, and work hard to realize the service feature of “issuing certificate of clearance intraday”, so as to provide convenience for enterprises。

Mode 4: Entrepot trade
The entrepot trade refers to the trade that, in the international trade, the business of importing and exporting goods is not carried out between the production country and the consumption country directly, but carried out via the third country. For the transferring country, this kind of trade is the entrepot trade。
——Advantages of Jiangyin Tax-free Logistics Center on entrepot trade
The transferring side can use the platform of Jiangyin Tax-free Logistics Center to carry out the carrying trade and then acquire the entrepot benefit。

Mode 5 :Circulation between other special zones
——meaning, features and advantages
Goods of the tax-free logistics center can be transferred in the special zones and places supervised by other customs of our country. Since the whole course is supervised by the customs, it isonly need to handle relevant procedures and no need to pay taxes。