Chongqing opens first bonded warehouse for imported cars

With the arrival of six IMSA Benz S450L imported vehicles worth over 6 million yuan ($873,337) at Lianglu-Cuntan Free Trade Port Area in Liangjiang New Area, Southwest China's Chongqing on July 3, marking Chongqing officially realized the ability of storing imported carsin bonded warehouses.

The transportation of the imported vehicles operated by China Railway Express took about 10 days to arrive in Chongqing from Duisburg, Germany, saving considerable time and cost compared to the traditional shipping transportation, which takes over two months.

Differing from parallel import cars, these cars are produced by foreign enterprises for the domestic market, which can enjoy more preferential tax policies by being stored in the warehouses.

The imported cars will not be required to pay an import tariff, value added tax, and consumption tax until leaving the bonded warehouses to enter the market, which saves logistics costs and reduces financial pressure for automobile manufacturers.

According to a staff member of the free trade port area, the bonded warehouse of imported cars will provide lower tariffs, faster customs clearance, and lower transportation costs.

In addition, imported cars in bonded warehouses will take one day at the fastest to enter the domestic market, which can bolster sales and improve the import automobile market in Liangjiang.