10 tips to help you import from China to Chile
Importing products from China to Chile is an increasingly common practice.
In my last article, we have written: how to import from China?
By reading this article, you already have confidence how to import from China, as different countries have different rules and regulations, in today’s article, we will talk about some tips for helping you import from China to Chile.
1, Who can import from China to Chile?
Chile is a country having an open market. All types of legal individuals and bodies are allowed to import from China.
2, The most important website
If you want to import products from China, this is one Chile official website which you can’t miss: National Customs Service (SNA) of Chile
to know Chile exports and imports
3, The relationship between China and Chile
Chile is one of the first Latin American countries which began trade and economic exchanges with China.
Chile and China have signed a Free Trade Agreement in 2006 (FTA agreement).
From the international trade Statistical data, we can see that Chile top trade partners - China.
Source from the UN Comtrade
Pro tips: Chile exports a lot of fruits like cherries, blueberries, and seafood to China, so a large number of freeze containers (NOR containers) exports to China. However, China does not have these goods to export to Chile. This has led to many freezer containers being shipped from China to Chile. Therefore, the shipping cost of NOR containers is several hundred dollars lower than other ordinary containers.
So, if you import general goods from China with full containers, then you can choose this kind of containers for saving several hundred dollars! When you choose this kind of containers, you need also consider that NOR containers will have a slight smell because of the goods shipped to China before.
By the way, from China to Chile is about 30-35 days by sea.
4, What is the best products to import from China to Chile?
First, let’s have look at the trade statistics, what did Chile import from China in 2017 (again show in my article, this tool can help us a lot! the latest data is from 2017, soon will have 2018 data)
We can see that Chile import a lot of products from China like transmission apparatus for radio, telephone, and TV, Monitors, Footwear, toys, computers, cars, electric heaters, clothes, socks…according to these statistics, which can help us identify the products which we want to import from China.
5. Which goods can NOT import to Chile?
The following goods are prohibited to import to Chile
- Used vehicles (without prejudice to the franchises established in current regulations).
- Used motorcycles.
- Used bicycles.
- Used and retreaded tires.
- Asbestos in any forms.
- Toxic industrial waste.
- Goods that are dangerous for animals, for agriculture or for human health (for example some pesticides for agricultural use, toys and articles for children that contain toluene, adhesives manufactured based on volatile solvents), which are prohibited by Decree of the Ministry of Health, the Ministry of Agriculture and other State agencies.
- Other merchandise, according to current legislation, is prohibited from importing.
6, Import from China to Chile, what’s the requirement for labels and packing?
Packaged products must be marked and show the quality, purity, ingredients or mixtures, as well as the net or measured weight of the contents.
In general, the label must display in Spanish, which includes at least the composition, made in China, importer name, and other requested information.
Footwear, toys, textile, and Plastic products have different label Regulation.
7, Import from China to Chile, how to calculate the taxes?
In Chile, the general tariff for all goods is 6% ad valorem duties, calculated on their CIF customs value. Plus, the value-added tax (VAT), which is currently 19%, is calculated on CIF customs value plus ad valorem duties.
For example, the products which you import from China, total CIF price: $10,000.00 (ten thousand US dollars)
ad valorem duties (6%): $10,000.00*0.06 = $600.00
VAT (19%): 0.19*($10,000.00+$600) =$2,014.00
Total Customs duties: $2,614.00
Tips: for writing the number, Chinese people always like to use the American way, like above, ten thousand, we will write down in $10,000.00 but in Chile, normally will write like $10.000,00
A bonus here: Between China and Chile, which have signed FTA Agreements, 99% products are tax-free, so, when you import products from China, remember ask your China supplier provide the certificate of Origin, From F for China-Chile FTA, which can reduce the ad valorem duties to zero! That means the ad valorem duties are free and don’t need to pay if you can provide a certificate of Origin Form F when import products from China.
In some cases, depending on the nature of the merchandise, special taxes are required, you can check from the official website or with your Chile customs agent.
8, Hire a Chile Customs Broker/agent
You should keep in mind is that if you are going to process an import of goods over US $ 1,000, (One thousand US dollars) you need to hire the services of a Chile Customs Broker, the customs agent must be of Chilean nationality and is accredited by the National Director of Customs. They are an auxiliary professional of the National Customs, provides services to third parties as a manager in the clearance of the goods. When contracting the services of a Customs Broker, he should advise and deliver the tariff classification of the product to be imported.
The following documents must be prepared:
- Bill of Lading in original (by sea), or AWB (by air), that verifies the control of the merchandise by the consignee.
- Original commercial invoice, which shows the merchandise values and the object of sale
- Statement of the importer on the price of the goods (customs agent provides this form)
- Endorsement of the original Bill of Lading on behalf of the customs agent in order to allow for the clearance of goods.
- Original Certificate of Origin (for reducing the ad valorem duties)
- Packing list for grouped merchandise or merchandise packed in containers.
- Insurance certificate (In the case that is not included in the commercial invoice)
And other necessary documents according to the products you import.
If the FOB cost does not exceed US$1,000.00, you don’t need to hire a customs agent, that is, you can do customs clearance yourself. And you need to submit the related following documents:
Original Bill of Lading (by sea) or AWB (by air)
Insurance certificate (In the case that is not included in the commercial invoice).
Authorization from the owner or consignee for a specific office, in cases where the processing is a third party.
9. Products that require Certification before Importing
- Electrical products and products that use fuels.
- Drugs and Cosmetics.
- Narcotic and psychotropic drugs.
- Pesticides and Fertilizers.
- Products of personal protection against the risk of accidents at work. (Personal Protection Equipment)
10. Special requirements you have to know
Products that do not require prior certification, but must meet certain requirements for selling on Chile market
A. Toys. The Ministry of Health establishes technical standards regarding the physical and chemical properties of toys to ensure minimum safety requirements in their use.
The label for toys must include:
- generic name of the product
- name, and address of the producer, manufacturer or importer
- country of origin of the product
- legend or symbol recommended by the manufacturer that indicating the age of the user
- the indication warning of being used under adult supervision when necessary.
B. Footwear. need to follow The Footwear Labeling Regulation,
C. Textiles. need to follow the Tissue Labeling and Costume Labeling.
D. Plastic Products. need to follow The Labeling Regulation for Plastic Products
E. Telecommunications. Need to follow related technical regulations and homologation.
Follow these tips and do your research which can help you get benefits from importing from China to Chile.
Wish you great success in international trade.
Please feel free to let us know if we can assist you in any way.
Bling Sourcing is a professional sourcing agent, which can act as your purchasing office in China, help you import from China easy and safe. From Sourcing high-quality products with reasonable price, make new development, order processing, and quality control, to goods shipping.