Buffer period given on taxing imported goods sold online

E-commerce companies have been given a one-year buffer period to rethink their cross-border strategies, after the government released new regulations, which ease controls introduced in April on certain imported goods sold online.

The country's customs authority said it will continue to allow the direct import of cosmetics, baby formula, medical equipment and healthcare-related food in 10 pilot cities, without permission, or the filing of special applications.

Companies have been told they have until May 11, 2017 to bring imported goods into bonded warehouses in the cities - including Shanghai, Hangzhou, Ningbo, Zhengzhou, Guangzhou and Shenzhen - without having to complete customs clearance forms originally required from early April on cross-border e-commerce activities.