Export Guide for Used Cars

NO.1 Policy document 

"Notice on Supporting the Export of Used Cars in Areas with Mature Conditions" (Shangmaohan [2019] No. 165)
 
"Notice on Expanding the Regional Scope of Export of Used Cars" (Shangmaohan [2020] No. 643)
 
"Notice on Matters Concerning Application for Second-hand Car Export License" (Shangmaoban [2019] No. 854)
 
"Notice on Matters Concerning Paperless Application for Second-hand Car Export License" (Shangmaohan [2019] No. 297)
 
"Notice on Matters Concerning Accelerating the Export of Used Cars" (Shang Ban Mao Han [2019] No. 335)
 
Announcement No. 64 of 2019 by the Ministry of Commerce and the General Administration of Customs

NO.2 Preconditions for export

 
#1. Pilot region
 
The first batch

On April 26, 2019, the Ministry of Commerce, the Ministry of Public Security, and the General Administration of Customs jointly issued the "Notice on Supporting the Export of Used Cars in Areas with Mature Conditions" (Shangmaohan [2019] No. 165), Beijing, Tianjin, and Shanghai City, Zhejiang Province (Taizhou), Shandong Province (Jining), Guangdong Province, Sichuan Province (Chengdu), Shaanxi Province (Xi'an), Qingdao City, and Xiamen City took the lead in launching the second-hand car export business. 

The second batch
On November 30, 2020, the Ministry of Commerce and the Ministry of Public Security jointly issued a notice to expand further the geographical scope of the second-hand car export business. Regions that expand the export business of used cars include Tangshan City in Hebei Province, Taiyuan City in Shanxi Province, Ordos City in Inner Mongolia Autonomous Region, Shenyang City in Liaoning Province, Changchun City in Jilin Province, Nanjing City in Jiangsu Province, Yiwu City in Zhejiang Province, Wuhu City in Anhui Province, Fujian Province Fuzhou City, Jiangxi Province, Zaozhuang City, Shandong Province, Zhengzhou City, Henan Province, Wuhan City, Hubei Province, Zhuzhou City, Hunan Province, Liuzhou City, Guangxi Province, Haikou City, Hainan Province, Chongqing City, Ili Kazakh Autonomous Prefecture, Xinjiang Uygur Autonomous Region, Dalian City, Ningbo City, a total of 20 cities and prefectures.

Currently, 30 regions across the country carry out the export business of used cars, covering 25 provinces (autonomous regions and municipalities directly under the Central Government).

#2. The second-hand car export enterprises registered by the Ministry of Commerce
 
Need to have good second-hand car source integration capabilities, overseas market channels, after-sales service guarantee capabilities, credit records, etc., and can carry out second-hand car export business after being selected by the competent local department and reported to the Ministry of Commerce for the record.

NO.3 General process of export  

 
1. Vehicle Acquisition
Second-hand car export enterprises purchase vehicles in China according to the relevant requirements of the importing country, such as vehicle age, environmental protection standards, and technical conditions for motor vehicle operation safety, and handle the registration procedures for second-hand car transactions by the law.

After returning the original motor vehicle license plate and driving license and submitting the motor vehicle for inspection, the traffic management department of the public security organ will endorse the item "transferred for export" on the motor vehicle registration certificate and issue the license plate of the temporary driving vehicle across administrative jurisdictions. The period of validity of the license plate is the same as the period of validity of the compulsory motor vehicle traffic accident liability insurance, but the longest period shall not exceed 60 days; if the second-hand car export enterprise purchases the vehicle in another place, it is not necessary to return to the area under the jurisdiction of the enterprise to go through the formalities for the transfer of the motor vehicle. The motor vehicle file shall be provided by the motor vehicle. The traffic management department of the public security organ at the place of registration shall keep it. 

2. Vehicle preparation and inspection and identification
 

Second-hand car export companies should prepare for the purchased vehicles' exterior, interior, and safety performance components to ensure that the vehicles are in good condition. To export, Second-hand vehicles must entrust a qualified third-party motor vehicle inspection and evaluation agency to issue an inspection and evaluation report by the "one vehicle, one inspection" approach. 

3. Apply for an export license
The registered second-hand car export enterprise can apply for an export license from the provincial (including cities under separate state planning) commerce department in the region, and the vehicle identification number (VIN) should be filled in the remark column of the license.

According to the relevant regulations of the Ministry of Commerce, second-hand car export enterprises apply to the Ministry of Commerce for an export license with the trade contract, the appraisal report of the designated third-party agency testing, and the "Motor Vehicle Registration Certificate" of the vehicle to be exported. Enterprises can apply for up to 20 second-hand cars under the same commodity code on the permit application form. 

4. Customs clearance

The national customs clearance integration model applies to the export of second-hand cars, and enterprises can independently choose the export declaration place and exit port. Export units that declare export declaration forms by customs declaration form filling specifications and other requirements, and handle customs declaration inspection and release procedures with the customs in a paperless manner, are exempted from submitting paper certificates of export licenses. The customs will verify the electronic certificate of the export license through the online verification of the export license and will no longer make a paper endorsement. The export license issuing agency conducts operations such as extension, change, and verification according to the export license's use status and customs clearance data fed back by the customs. 

5. Vehicle deregistration
Within two months after completing the customs clearance procedures for the export of second-hand cars, apply for deregistration to the public security traffic control department at the place where the motor vehicle is registered with the export declaration form and the certification certificates stipulated by laws and regulations; before applying for deregistration, the Vehicle road traffic safety violations and traffic accidents have been dealt with.

 NO.4 Precautions  

 

 

• Exported vehicles shall meet the market access standards of the target country of export. If there is no access standard in the target export country, the exported vehicles shall meet the relevant standards of the used car export region.

• Second-hand car export enterprises shall ensure the legal source of the exported vehicles, shall not export illegal vehicles such as stolen, assembled, or scrapped vehicles, and shall not export scrapped standard motor vehicles that meet the requirements of the "Regulations on Compulsory Scrapping Standards for Motor Vehicles," and vehicles that are within one year of the required service life. Motor vehicles within one year (including one year). For the export of illegal vehicles such as stolen, assembled, scrapped, etc., the enterprise's qualification for exporting second-hand vehicles will be canceled. Criminal responsibility will be investigated if a crime is constituted according to the law.

• Vehicle transfer registration should be handled according to regulations, and deregistration should be within the specified time limit. The competent commercial department will not issue an export license for second-hand vehicles not registered for vehicle transfer by the regulations. The competent commercial department shall not issue a new second-hand car export license until the deregistration is completed for enterprises that fail to complete the deregistration within the prescribed time limit.