The import and export license system is an important administrative measure in China foreign trade management.
In 1950
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From 1959 to 1979, all imports and exports were put in the hands of the special China import and export companies under the former Ministry of Foreign Trade in China and their branch companies. These companies handled imports and exports in strict accordance with state plans
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Since adopting the policy for reform and opening to the outside world, China trading has witnessed continuous development
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In June 1980, the Ministry of Foreign Trade and Economic Relations enacted the "Interim Rules on the Export License System." The document stipulated that firms that engage in export business must file in advance applications to the Ministry of Foreign Trade and Economic Relations or the foreign China trade administrative departments under in the various provinces, autonomous regions and municipalities directly under the central government that have been authorized by Ministry of Foreign Trade and Economic Relations. Having been approved
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In January 1984, the State Council issued the "Interim Regulations of the People's Republic of China on License System for Imported and Exported Goods." It stated that for the import of all goods that need licenses to import according to state regulations, it is necessary to apply for import licenses beforehand and only then orders could be placed with the relevant foreign China trade companies. It also stipulated that that the Ministry of Foreign Trade and Economic Relations was responsible to draft and adjust the list of goods whose import calls for licenses. In this period, the control was enforced on all foreign China trading enterprises dealing with import and export business.
Since 1992, China gradually relaxed the control over import. For instance
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In January 1994, the Ministry of Foreign Trade and Economic Relations again issued the "Interim Provisions Regarding Import Quota Control over Commonplace Commodities." It marked that China's import management system was reformed in line with the relevant regulations of GATT.
In 1998, China removed control by import licenses and import quotas over the overwhelming majority of commodities that needed licenses to be imported formerly, while only continuing to enforce import license control over the products of a small number of infant industries that call for special protection.
This article was researched and produced by Posicionarte for China Trading Company
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