Chinese regulator moves to close cross-border loophole: AQSIQ to inspect cross-border e-commerce imports

Chinese regulator moves to close cross-border loophole: AQSIQ to inspect cross-border e-commerce imports

China’s General Administration of Quality Supervision, Inspection and Quarantine (AQSIQ) is planning to usher in new checks on imported food and cosmetics in order to standardize cross-border e-commerce trade.

The proposed regulation will impose four conditions on cross-border e-commerce imported food and cosmetics including that the product must be listed among the catalog of imported goods by foreign-registered companies and beauty products must be registered with a record and safety rating by the relevant department.

AQSIQ will also require cross-border e-commerce platforms belonging to foreign registered companies to use a Chinese registered company as an agent who bears the legal responsibilities and will employ full inspection of all imported foods and cosmetics, with five percent of low risk goods, 10 percent of medium risk goods and 20 percent of high risk goods sent to a laboratory for testing. Products that do not meet China’s health and safety standards will be recalled and the importer notified. Last, the regulator will create a cross-border e-commerce food and cosmetics database in respective regions.

The news will come as a blow to cosmetics companies hoping to follow in Unilever’s footsteps and sidestep the Chinese regulator via the use of a cross-border platform to sell products in the country.

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