Realising that the logistics industry is critical to economic success, the government has put in place a number of supportive policies in the past few years. Exhibit 14 shows some major government initiatives that support the development of China’s logistics industry.
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Exhibit 14 Major government policies related to the logistics sector
Date Launched by Name of Policy Key highlights
iLÀÕ>ÀÞÊÓä£ÓÊ "Ê>`Ê-/Ê ÌViÊÊ1ÀL>Ê >`Ê1ÃiÊÊ UÊ ÀÊ£Ê>Õ>ÀÞÊÓä£ÓÊÌÊÎ£Ê iViLiÀÊÓä£{]Ê>ÊÊ Tax Policy for Bulk Commodity 50% reduction of current urban land use tax Storage Facilities of Logistics will be applied to the land for bulk commodity Enterprises ( 關於物流企業大 storage facilities owned by logistics enterprises
宗商品倉儲設施用地城鎮土 (whether self-used or leased out)
地使用稅政策的通知®Ê UÊ >`ÊvÀÊLÕÊV`ÌÞÊÃÌÀ>}iÊv>VÌiÃÊÀiviÀÊ to the area of land for storage facilities exceeding 6,000 sqm
iLÀÕ>ÀÞÊÓä£ÓÊ "" Ê>`ÊÊ Õ`}Ê"«ÃÊÊÊÊ UÊ / iÊ"«ÃÊÌ>À}iÌÊiÃÌ>Là iÌÊvÊ>Êv>ÛÕÀ>LiÊ SPB Accelerating the Collaboration business environment for the collaboration and
and Development of Express development of express delivery services and Delivery Services and Online online retailing.
Retailing ( 關於促進快遞服務與 UÊ >ÀÊÌ>ÃÃÊVÕ`i\Ê
網絡零售協同發展的指導意見) – Support industrial collaboration and
development, in terms of financial and taxation incentives, and supply of land and human capital – Promote seamless information sharing and
standardisation among the two industries – Introduce a credit system to monitor the
performances of express delivery companies and online retail operators
– Encourage express delivery companies to establish logistics facilities and services in line with the needs of online retailing counterparts – Explore win-win strategies to strengthen business
collaboration between the two industries, e.g.
forming strategic alliances, mergers and acquisitions.
– Enhance business security, e.g. track and trace delivery systems, establish emergency handling procedures for the two industries, strengthen information security systems to prevent information leakage
– Promote information technology (IT) adoption, e.g.
support the development of the Internet of Things, encourage the use of Radio Frequency Identification (RFID), personal digital assistants (PDAs) and global positioning systems (GPS).
Õ}ÕÃÌÊÓä£ÓÊ / iÊ-Ì>ÌiÊÊ "«ÃÊvÊÌ iÊ-Ì>ÌiÊÕVÊÊÊ UÊ / iÊ"«ÃÊÌ>À}iÌÊiÃÌ>Là iÌÊvÊ>Ê`iÀÊ Council on Further Reformation of the distribution system, reducing the ratio of total logistics
Distribution Sector and costs to GDP, enhancing the competence of large-Acceleration of the Development sized distribution enterprises, adopting modern of the Distribution Sector information technologies, and improving the market ( 國務院關於深化流通體制 environment with policy and regulatory support.
改革加快流通產業發展的意見®Ê UÊ >ÀÊÌ>ÃÃÊVÕ`i\
– Strengthen the distribution network such as the urban-rural transport, in-town delivery
– Optimise the design of supply chain network – Improve logistics facilities, e.g. large-sized
distribution centre, agricultural cold chain facilities – Enhance the level of informatisation in the
distribution sector, e.g. adopting the Internet of things, cloud computing, GPS and e-barcodes iViLiÀÊÓä£ÓÊ "" Ê Õ`}Ê"«ÃÊÊVViiÀ>Ì}ÊÊ UÊ / iÊ"«ÃÊÌ>À}iÌÊÌ iÊÕ«}À>`iÊvÊÜ>Ài ÕÃ}Ê
the Industrial Upgrade of the services from performing traditional storage functions to Warehousing Sector ( 促進倉儲業 providing sophisticated warehouse management and
轉型升級的指導意見) operations
Ê Ê Ê UÊ >ÀÊÌ>ÃÃÊVÕ`i\
– Support the development of one-stop-shop warehousing services, covering inventory management, value-added services, and pick and pack
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Date Launched by Name of Policy Key highlights
– Promote IT adoption, e.g. the Internet of Things, barcode and RFID
– Align standardisation levels, in terms of warehouse layout design, services, equipment and evaluation criteria
– Encourage collaboration of warehousing resources via mergers and acquisitions, strategic alliances, outsourcing and e-platforms
– Renovate traditional cold storage facilities to suit the needs of modern cold chain logistics
>Õ>ÀÞÊÓä£ÎÊ /Ê "«ÃÊvÊÌ iÊ ÃÌÀÞÊvÊ`ÕÃÌÀÞÊÊ UÊ / iÊ"«ÃÊÌ>À}iÌÊ>VViiÀ>ÌÊÊÌ iÊÕÃiÊvÊ/ÊÊ and Information Technology on logistics, so as to improve the efficiency of logistics Accelerating Informatization on management and operation
Logistics ( 工業和資訊化部關於推 UÊ >ÀÊÌ>ÃÃÊVÕ`i\Ê
進物流資訊化工作的指導意見) – Develop and standardise informatised logistics systems for various parties, e.g. government departments, logistics companies, industrial and commercial corporations and the army – Improve the level of logistics informatisation by
various government departments, in terms of service standards and management
– Improve the level of informatisation of logistics industry and logistics companies
– Improve the level of informatisation of industrial and commercial companies, and the standard of supply chain management
– Standardise informatisation systems in logistics – Accelerate cooperation of army-civilian
informatisation systems in logistics, so as to improve the efficiency of emergency logistics – Promote and develop the innovative use of IT in
logistics
>Õ>ÀÞÊÓä£ÎÊ "/Ê `ÃÌÀ>ÌÛiÊ i>ÃÕÀiÃÊÊ UÊ / iÊ i>ÃÕÀiÃÊ>ÀiÊi>VÌi`ÊÌÊÃÌÀi}Ì iÊÌ iÊ Concerning the Regulation of the development and management of the express delivery Express Delivery Industry market
( 快遞市場管理辦法 ®Ê UÊ Àii`Ê>`Ê«ÀÛ>VÞÊvÊVÌâiýÊiÃÃ>}}Ê>ÀiÊ protected by law
Ê Ê Ê UÊ / iÊ i>ÃÕÀiÃÊÀi}Õ>ÌiÊÌ iÊiÝ«ÀiÃÃÊ`iÛiÀÞÊ`ÕÃÌÀÞÊÊ
regard to business entities, delivery services, safety, control and management, and legal responsibilities
iLÀÕ>ÀÞÊÓä£ÎÊ /]Ê "" ]ÊÊ "«ÃÊÊ-ÌÀi}Ì i}Ê>`ÊÊ UÊ / iÊ"«ÃÊÌ>À}iÌÊÃÌÀi}Ì i}Ê>`Ê«ÀÛ}ÊÌ iÊ MOHRUD, Improving the Management of management of urban distribution by setting up a MOPS, MOT, Urban Distribution ( 關於加強和 comprehensive regulatory system, improving NDRC and SPB 改進城市配送管理工作的意見 ) infrastructure and facilities, enhancing transport
management and traffic control, strictly enforcing the law, and promoting IT adoption
«ÀÊÓä£ÎÊ "Ê>`Ê-/Ê ÌViÊvÊÌ iÊ ÃÌÀÞÊvÊ>ViÊÊ UÊ Ü}ÊÌ iÊ«iiÌ>ÌÊvÊÌ iÊ«ÌÊ«>ÃÊvÀÊ and the State Administration of levying value-added tax in lieu of business tax in Taxation on Pilot Plan for Levying Shanghai and eight other provinces in 2012, the pilot Value-Added Tax in Lieu of plan rolls out nationwide, effective from August 2013 Ê Ê ÕÃiÃÃÊ/>ÝÊvÊÌ iÊ/À>ëÀÌÊÊ UÊ "ÊÌ«ÊvÊÌÀ>ëÀÌ>ÌÊÃiÀÛViÃÊÃiVÌÀÊ>`ÊÃÝÊ
Industry and Some Modern Services modern services sectors, the pilot industries also cover Industries across the country production, broadcast and publication industries for ( 關於在全國開展交通運輸業和部 radio, films and television programmes
分現代服務業營業稅改征增值稅試
Source: Various government websites; compiled by Fung Business Intelligence Centre
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Challenges
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