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Case Study 4: Duty-Free Return Import from Thailand to Qingdao

Import Declaration for Duty-Free Returns by Sea from Thailand to Qingdao Port

Challenge: Addressing Customs' Doubts Regarding the Return Goods
1. Customs questioned the qualification of the third-party testing agency and how the part numbers in the report corresponded to the actual goods.
2. Due to the inability to detect fabric issues recorded in the inspection report during on-site inspection, Customs doubted the existence of real quality problems with the goods.
Solution: Firstly, we recommended that the client obtain qualification documents from the Japanese testing agency and their sub-agency in China, providing a detailed explanation of how the part numbers in the report were related to the actual goods. For example, part number LC18AW-1 signifies the brand (LC), year (18 for 2018), season (AW for autumn/winter), and color (1 for color number), proving the uniqueness of the product batch.
Secondly, for the return of goods based on suspected quality issues, we compiled translated documents, including the inspection report provided by the client, emails between the client and the buyer discussing the batch's issues, product images, and information related to the national standard for wrinkle-resistant textiles. We presented this information to Customs to explain the situation.
Finally, during a customs inspection, no issues described in the inspection report, such as color spots, creases, repairs, and uneven fluff, were found. After confirming the details with the client, we applied for a re-inspection, pointing out the specific locations of the reported issues during the inspection.
Result: Through two on-site inspections, submission of a series of documents, and multiple explanations to Customs, along with advising the client to obtain a non-refundable tax certificate from the tax bureau, Customs eventually agreed to process the import declaration for the return goods with full exemption of taxes. The client expressed satisfaction with our handling of the return goods and recognized our professionalism and service attitude.
Additionally, it is advisable that when facing quality issues requiring returns, especially when the naked eye cannot easily determine the problems, one should conduct a pre-inspection and ensure that the information in the inspection report matches the declared goods. Choosing internationally recognized certification agencies such as CCIC, SGS, BV, UL, etc., for third-party testing would add credibility to the process.