China once again tightened the import tax on powdered baby formula. Many
China once again tightened the import tax on powdered baby formula. Many agents of delivery companies in Chinatown recently received written notice from their companies. They were told to adjust the size of packing units to satisfy the strict weight limit, beginning on May 1. Overweight packages may be returned.
In addition, the packages of baby formula apparently now take more time to get there. What used to take two or three weeks now takes a month to arrive. It seems Chinese customs have once again tightened regulations on baby formula delivered from abroad.
According to the website of the General Administration of Customs of the People’s Republic of China, postal packages sent to mainland China from anywhere except for Hong Kong, Macau and Taiwan can only contain up to 5 kg. (11 lbs.) of powered baby formula, given the monetary value is within the limit. In a Q-and-A segment posted online on April 28, the administration noted that postal articles sent by individuals from or to Hong Kong, Macau and Taiwan have to be valued at less than RMB 800 ($130). Postal articles sent from or to other countries or territories have to be lower than RMB 1000 ($163).
According to Decree No. 43 of the administration, customs shall levy import duties on all postal articles mailed to China. But duties under RMB 50 ($8) shall be waived. The after-tax price of baby formula is RMB 200 ($33) per kilogram (2.2 lbs). Baby formula mailed to China from anywhere other than Hong Kong, Macau and Taiwan should weigh less than 5 kg. The portion of duties exceeding RMB 50 will be charged. The tax rate for baby formula is 10 percent. Personal products given as gifts to family and friends will be considered as individual articles. Other packages should follow the regulations of imported goods.
A letter from a delivery company to its Chinatown courier agency listed clear requirements on the packages of baby formula. Beginning on May 1, one package can only contain up to two cans of baby formula that weighs 38 ounces or more per container, and three cans of smaller units of less than 38 ounces. Nestle’s KLIM, which weighs more than 3 lbs., can only be sent in sets of two. Mr. Chen, the owner of a courier agency, said the delivery company told them to make sure the package of baby formula weighs less than 10 pounds, and those that exceed the limit will be sent back.
But the restrictions haven’t deterred the eagerness among Chinese living here to send baby formula back to their home country. Mr. Cheng, who runs a courier agency on East Broadway, said that although Chinese customs have been tightening up postal regulations on baby formula, his business keeps growing, thanks to the recently launched restriction in Hong Kong that bans travelers from bringing more than two cans of baby formula outside of its borders. He said “the bottom line is people have lost faith in food made in China.” And “they’ll send food there no matter how much they have to spend on the delivery.”
“Now many Chinese in China don’t even trust the baby formula imported in big containers anymore. They’d rather ask family members or friends they know to send it back from the U.S.,” said Mr. Cheng. He noted this is why so many people don’t mind the delivery costs and keep sending the supplies back to China.
By Ai Xiang Wang World Journal
Translated by Rong Xiaoqing from Chinese