China-Europe freight train (Xi’an) return freight deduction becomes normalized

It is understood that the policy of "deducting railway freight for the domestic section of China-Europe freight trains' return cargo" is an important measure taken by Xi'an Customs, with the support and guidance of the General Administration of Customs, to promote the high-quality development of China-Europe freight trains (Xi'an). This policy will continue to improve Xi'an Customs' ability to ensure the high-quality development of China-Europe freight trains, further reduce customs clearance costs, and promote the sustainable development of China-Europe freight trains (Xi'an).

According to Xi'an Customs, on March 30, a China-Europe freight train (Xi'an) carrying Siberian spruce boards arrived in Xi'an, Shaanxi Province. After the company declared and the Xi'an Station Customs verified the elements, the domestic railway freight for this batch of goods was more than 680,000 yuan. Excluding the dutiable value, it can reduce taxes for enterprises by more than 88,000 yuan. The return freight deduction for China-Europe trains (Xi'an) has become normalized at Xi'an Customs.

It is understood that although there are relevant preferential policies, goods transported to domestic destinations via China-Europe trains are usually settled according to the total cost of international and domestic connections. In actual operation, because it is difficult to quantify the freight for the domestic segment, companies must declare the freight. There are difficulties in deductions. In response to this situation, Xi'an Customs, in collaboration with the Xi'an Chanba International Port Management Committee, the Transportation Platform Company and other departments and units, proposed a valuation plan to reasonably allocate freight according to the proportion of domestic and overseas transportation distances to achieve quantitative sharing of freight for the domestic section of China-Europe trains. It will be deducted when reporting and will not be included in the dutiable value, thus helping companies reduce taxes.