MOFCOM Announcement No.82 of 2012 on the Application Conditions and Procedures for Export License of Ferroalloy in 2013

Issued by: Ministry of Commerce of the People’s Republic of China
Announcement No. 82, 2012
Date of Issuance: November 8, 2012

In order to protect resources and environment, coordinate with the state industrial policies, reduce the emission of industrial pollution and energy consumption and promote the sustainable development of ferroalloy industry, in accordance with the Foreign Trade Law of the People’s Republic of China and the Regulation of the People’s Republic of China on Administration of the Import and Export of Goods, the Application Conditions and Procedures for Export License of Ferroalloy in 2013 is hereby announced.

Article 1. Application Conditions for Export License of Ferroalloy

In accordance with the requirements for management and product characteristics, the enterprises engaging in ferroalloy products are categorized into two types (see the schedule attached for details): Class A enterprises refer to those that engage in all the products under tariff No. 7202 expect ferromolybdenum (72027000) and rare earth ferroalloy (7202999100); Class B enterprises refer to those that engage in all the products under tariff No. 7202 expect ferromolybdenum (72027000), ferrosilicon (72022100), ferromanganese (72021100, 72021900), ferro-silico-manganese (7202300) and rare earth ferroalloy (7202999100). Enterprises in conformity with the following requirements may apply for the export license of ferroalloy in 2013:

(1) Manufacturing enterprises

a. Enterprises that have gone through formalities for business registration and registration as a foreign trade dealer or possess effective qualification for import and export business in accordance with relevant state regulations or foreign-funded enterprises with exports of relevant products included in their business scope and an independent legal entity;

b. Class A enterprises shall comply with Ferroalloy Industry Access Conditions (subject to the list of enterprises announced by the State Development and Reform Commission or the Ministry of Industry and Information Technology).

c. The total export of ferromanganese, ferrosilicon and ferro-silico-manganese (including the supplies for export) of Class A enterprises shall reach up to 3,000 tons in 2011.

d. The products with HS codes under the tariff number of ferrosilicon, ferromanganese and ferro-silico-manganese that are manufactured by Class B enterprises, if determined by the sate competent industrial authorities to have new process, high technology and high added value, may be offered with product export qualification under corresponding tariff numbers.

e. Enterprises that have obtained the certificate of ISO 9000 quality management system certification.

f. Enterprises that are equipped with environment protection treatment facilities corresponding to their manufacturing scales with discharge of pollutants complying with relevant state or local pollutant discharge standards, and have the pollutant discharging permit and the environmental monitoring report for the year issued by environment protection authorities at above prefectural level.

g. Enterprises that comply with the relevant state laws and regulations and the provisions of local governments, and participate in various social insurances such as endowment insurance, unemployment insurance, medical insurance, work injury insurance and maternity insurance and fully pay social insurance fees on time.

h. Enterprises having no behaviors violating relevant state laws or regulations.

(2) Circulation enterprises.

a. Enterprises that have gone through formalities for business registration and registration as a foreign trade dealer or possess effective qualification for import and export business in accordance with relevant state regulations or foreign-funded enterprises with exports of relevant products included in their business scope and an independent legal entity;

b. Class A enterprises with a registered capital of over RMB 20 million and Class B enterprises over RMB 5 million.

c. The total export of ferromanganese, ferrosilicon and ferro-silico-manganese of Class A enterprises reaches up to 3,000 tons or the supplies for exports reaches 3,000 tons or the domestic sales reaches up to 10,000 tons in 2011.

d. Class A enterprises shall purchase products from manufacturing ones complying with the provisions of paragraph a, b, e, f, g and h of Article 1(1) above and provide relevant materials evidencing that the supply enterprises comply with the standards, certificate of supplies of goods and purchase and sale invoice.

e. Class B enterprises shall purchase products from manufacturing ones complying with the provisions of paragraph a, e, f, g and h of Article 1(1) above and provide relevant materials evidencing that the supply enterprises comply with the standards, certificate of supplies of goods and purchase and sale invoice.

f. Enterprises that have obtained the certificate of ISO 9000 quality management system certification.

g. Enterprises that comply with the relevant state laws and regulations and the provisions of local governments, and participate in various social insurances such as endowment insurance, unemployment insurance, medical insurance, work injury insurance and maternity insurance and fully pay social insurance fees on time.

h. Enterprises having no behaviors violating relevant state laws or regulations.

(3) Overseas investment enterprises.

In accordance with relevant provisions of Measures for Overseas Investment Management (MOFCOM Order No. 5 of 2009 ), “going out” enterprises that definitely are required to supply ferroalloy products to its overseas investment projects and have not breached relevant state laws or regulations may apply for the export license of ferroalloy of relevant categories.

(4) Where there are less than 5 Class A enterprises satisfying the provisions of Article 1(1) and (2) in the western region, the local people’s government at provincial level may recommend enterprises with strength in operation of ferroalloy, but the total number of enterprises shall not exceed 5. If the recommended enterprises are manufacturing ones, it shall comply with the provisions of paragraph a, b, e, f, g and h of Article 1(1) above; if the recommended enterprises fall into a category of circulation enterprises, it shall have a registered capital of over RMB 5 million and comply with the provisions of paragraph a, d, f, g and h of Article 1(2) above.

(5) The local provincial people’s government of border provinces (regions) with actual border performance of ferroalloy trade from 2009 to 2011 may recommend not more than 2 Class A enterprises with business capacity. If the recommended enterprises are manufacturing enterprises, it shall comply with the provisions of paragraph a, b, e, f, g and h of Article 1(1) above; if the recommended enterprises fall into a category of circulation enterprises, it shall have a registered capital of over RMB 2 million and comply with the provisions of paragraph a, d, f, g and h of Article 1(2).

(6) The export of ferroalloy shall be normalized and the national industry policies shall be strictly implemented. If any enterprise breaches laws or regulations in the course of trade including paragraph d or e of Article 1(2) herein by circulation enterprises since January 1, 2011, once verified, its ferroalloy export license shall be removed immediately and the application from such enterprise will be rejected for the following two years.

Article 2 Application and Review Procedures

Enterprises satisfying the application conditions shall submit an application to the competent authorities of commerce in their respective provinces, autonomous regions, municipalities directly under the central government, municipalities separately list on the state plan and Xinjiang Construction and Production Corps (hereinafter referred to as “local competent authorities of commerce”). The local competent authorities of commerce shall conduct a preliminary review on the local enterprises applying for ferroalloy export license in accordance with the application conditions for ferroalloy export license mentioned above, report the lists of qualified local export enterprises and the written opinions of preliminary reviews to the Ministry of Commerce (the Department of Foreign Trade, only the electronic version of the summary of review opinions on application conditions for export license of ferroalloy in 2013 and relevant information of such enterprises are required) before November 30, 2012, and meanwhile, forward the same to China Chamber of Commerce of Metals Minerals & Chemicals Importers & Exporters (hereinafter referred to as the CCCMC) (attached with the printed version of relevant information of the enterprises and electronic version of the summary of review opinions on application conditions for export license of ferroalloy in 2013. The relevant forms and tables are available in the website of CCCMC (www.cccmc.org.cn)).

The enterprises under administration of the central government shall directly submit relevant application materials to the Ministry of Commerce (Department of Foreign Trade, only the electronic version of the information of the enterprises is required), and meanwhile, forward the same to CCCMC (attached with the printed and electronic version of relevant information of the enterprises).

Entrusted by the Ministry of Commerce, China Ferroalloys Industry Association of the CCCMC will conduct reviews on the enterprises that apply for the ferroalloy export license and report the opinions of reviews and relevant information to (the Department of Foreign Trade of) the Ministry of Commerce before December 7, 2012.

According to the review opinions of the CCCMC, the Ministry of Commerce will examine the enterprises applying for the license and announce the list of qualified ones.

Article 3 Submission of Relevant Materials

Enterprises in conformity with the application conditions for ferroalloy export license shall submit the following materials, which shall be signed by the legal representatives and affixed with the official seals of the enterprises:

(1) The copy of the Business License of Enterprise Legal Person, the Registration Form for Foreign Trade Dealers or Credential for Import and Export Enterprises of the People’s Republic of China affixed with the record registration seals, and the customs code and enterprise code;
(2)The list of enterprises qualified to the operation of ferroalloy issued by the State Development and Reform Commission or the Ministry of Industry and Information Technology (copies).
(3) The pollutant discharging permit and the environmental monitoring report for the year issued by environment protection authorities at above prefectural level where the enterprise locates.
(4) The certificate of ISO9000 quality system certification.
(5) Manufacturing enterprises categorized as Class A enterprises shall provide vouchers or documents for relevant export (supplies for export) in 2011. Export enterprises that purchase products for export shall provide the copy of VAT invoice supervised by the State Tax Bureau, and copies of Export Declaration and Export Verification Form; export enterprises that act as agents for export shall provide the original export invoice, Export Declaration (copy), Export Verification Form (copy) and Goods Export Agency Certificate (original).
(6) Circulation enterprises categorized as Cass A enterprises shall provide relevant voucher or documents for export (or domestic sales) in 2011 including the purchase and sales contracts (copy) with manufacturing enterprises meeting the conditions herein, VAT invoice (copy) supervised by the State Tax Bureau and copies of Export Declaration and Export Verification Form.
(7) Relevant certificates issued by the human resource and social security departments proving that the enterprises have participated in various social insurances such as endowment insurance, unemployment insurance, medical insurance, work injury insurance and maternity insurance and fully paid social insurance fees on time.
(8) Overseas investment enterprises shall provide relevant documents evidencing the approval of the Ministry of Commerce on overseas investment and evidentiary materials required for export of ferroalloy.

For enterprises that have obtained ferroalloy export license in 2012, only the annual review report on application for ferroalloy export license in 2013 (please download on CCCMC website: www.cccmc.org.cn) is required.. In order to enhance industry self-discipline and promote the healthy development of the industry, the Ministry of Commerce entrusts the CCCMC to formulated the measures for industry self-discipline, supervise and carry out a selective tests to the enterprises that obtain ferroalloy licenses in 2013 and submit the report the findings to the Ministry of Commerce as the basis for future reviews.
 

Ministry of Commerce of the People’s Republic of China
November 8, 2012

Schedule: Classification of Eneterprises Applying for Ferroalloy Export Licenses 

Download: Summary of Review Opinions on Application Conditions for Export License of Ferroalloy and List of Information of Export Enterprises in 2013
Download Annual Review Report on Application for Ferroalloy Export License in 2013

 

• [Editor:Yueleilei]