As of July 2026, a series of critical regulatory updates will come into force across China’s domestic trade governance and major global export markets. These changes span investment rules, customs declaration standards, tariff policies, product compliance and cross-border e-commerce taxation, bringing both new opportunities and compliance challenges for importers, exporters and cross-border sellers worldwide.
This guide breaks down all core rules taking effect this month, with clear context for how they will impact your supply chain and operations.

Part 1: Domestic Foreign Trade Regulatory Updates in China

1. Regulations of the State Council on Overseas Investment Officially Implemented

Effective Date: July 1, 2026

Issued by: State Council of the People’s Republic of China (State Council Decree No. 837)

As China’s first specialized administrative regulation governing overseas investment, this legislation formally enshrines investors’ right to autonomy: enterprises make independent decisions, bear their own risks and are responsible for their own profits and losses for outbound investment activities.
Key provisions include:
  • Banking financial institutions are required to provide financing services based on market principles, and policy-backed insurance institutions are encouraged to offer overseas investment insurance products.
  • A formal investment barrier investigation system will be established, with strengthened overseas risk monitoring and early warning mechanisms to protect the legitimate rights and interests of investors.
  • The overall overseas investment management framework will be improved, with heightened emphasis on investors’ principal responsibilities and compliance obligations.
Who is affected: All foreign trade and manufacturing enterprises engaged in overseas direct investment (ODI), cross-border mergers and acquisitions, and international engineering contracting.

2. Unified Certificate for Imported Automobiles and Motorcycles Rolled Out Nationwide

Effective Date: July 1, 2026

Issued by: General Administration of Customs (GACC) and Ministry of Public Security (Announcement No. 88 of 2026)

The former Cargo Import Certificate and Imported Motor Vehicle Inspection Sheet will be merged into a single new document: the Cargo Import Certificate (Automobiles & Motorcycles), which carries full legal validity covering both original functions.
Key details:
  • Consignees may apply to customs for the new unified certificate within 3 years after the vehicle is released and passes inspection.
  • For non-China-spec (parallel import) vehicles, the “specification/model” field on the customs declaration must clearly state the original target market version (e.g., original EU-spec, original US-spec, original Middle East-spec). Incomplete information will delay certificate issuance and vehicle registration.
Who is affected: Automobile and motorcycle importers, parallel import vehicle traders, and freight forwarding & customs brokerage firms.

3. Optimized Departure Tax Refund Policy Takes Effect

Effective Date: July 1, 2026

Issued by: Ministry of Commerce and 5 other government departments

The updated policy streamlines inspection procedures and expands convenience for international travelers making purchases in China:
  • For tax refund applications with a taxable value under RMB 10,000, physical goods inspection will switch to random proportional sampling. Applications valued at RMB 10,000 and above will remain subject to per-order verification.
  • Full paperless processing will be implemented for the entire departure tax refund workflow, with online confirmation between customs and refund agencies.
  • The “instant tax refund” scheme will be mutually recognized across regions, and the valid departure period will be uniformly extended to 28 days.
  • Dedicated tax refund service zones will be set up at major exhibitions, and the coverage of tax refund stores will be expanded.
Who is affected: Export retail enterprises serving overseas passengers, and port tax refund agencies.

4. New Export Control Declaration Rules Enter Full Enforcement

Effective Date: Enacted June 30, 2026; fully enforced from July 2026

Issued by: General Administration of Customs (Announcement No. 77 and No. 78 of 2026)

Two targeted announcements tighten declaration standards for sensitive industrial goods:
  • Announcement No. 77: For exports of metal processing equipment including lathes, milling machines and grinding machines, enterprises must declare the full 10-digit HS code. Simplified declaration (reporting only the first 4 digits) via cross-border e-commerce channels is prohibited. The full name of the overseas consignee must be provided, along with supporting contracts, invoices and technical documentation.
  • Announcement No. 78: For exports of unmanned aerial vehicles (UAVs), unmanned airships and anti-UAV systems, controlled items must be marked in the remarks field as “subject to export control” with the corresponding dual-use item code listed. Non-controlled items must also be explicitly marked as “not subject to export control”.
For both categories, evading full declaration by splitting shipments, using express delivery or cross-border e-commerce channels is strictly prohibited. Inaccurate or incomplete information will result in customs clearance refusal and damage to enterprise credit ratings.
Who is affected: Exporters of machine tools, industrial equipment, UAVs and spare parts, as well as cross-border e-commerce sellers in related categories.

Part 2: Regulatory Changes in Key Export Markets

Europe

1. EU Eliminates Tariff Exemption for Low-Value Parcels

Effective Date: July 1, 2026

Issued by: European Commission

The long-standing tariff exemption for import parcels valued under 150 euros will be terminated. A flat tariff of 3 euros per low-value item will be imposed initially, with a gradual transition to full standard tariff rates in subsequent phases.
When combined with value-added tax (VAT) and additional handling fees in certain member states, the cost of low-value direct-to-consumer cross-border orders will rise significantly. Sellers are advised to adopt the Delivered Duty Paid (DDP) incoterm and prepay tariffs and VAT to avoid recipient rejection caused by unexpected secondary charges.
Who is affected: All cross-border e-commerce sellers and small-parcel exporters serving the EU, especially those selling consumer goods priced below 150 euros.

2. New EU Steel Import Framework Enters into Force

Effective Date: July 1, 2026
The updated framework adjusts quota levels and tightens origin rules for steel imports:
  • The annual tariff-free import quota for steel is set at approximately 18.346 million tonnes. The out-of-quota tariff rate will increase from 25% to 50%.
  • A “melt and cast” origin rule is introduced: for stainless steel and related products, origin will be determined by the country where the molten steel is smelted and first cast, rather than only the final exporting country. This measure targets tariff circumvention via transshipment through third countries.
Who is affected: Exporters of steel products, stainless steel goods, hardware pipe fittings and metal fabricated products.

North America

Mandatory Electronic Filing for CPSC-Regulated Consumer Products in the US

Effective Date: July 8, 2026

Issued by: US Consumer Product Safety Commission (CPSC)

All imported consumer goods under CPSC jurisdiction must complete advance electronic filing (eFiling) via the US Customs ACE portal, including submission of product compliance certificate data.
The rule covers over 600 HTS codes, including high-volume categories such as apparel, toys, children’s products, furniture and electronics. Compliance review will shift from post-arrival random inspection to pre-arrival screening. Failure to file as required may result in cargo detention, clearance delays or even return shipment.
Seven core data points must be submitted:
  1. Product identifier (GTIN/SKU)
  2. Applicable regulation numbers
  3. Certification body information
  4. Test record details
  5. Manufacturer information
  6. Importer information
  7. Compliance contact person
Who is affected: Consumer goods exporters to the US and cross-border e-commerce sellers on US marketplaces.

Southeast Asia

1. Malaysia Ends Import Duty Exemption for Electric Vehicles

Effective Date: July 1, 2026

Issued by: Ministry of Investment, Trade and Industry of Malaysia

The four-year import duty exemption for fully imported battery electric vehicles (BEVs) has expired. Newly imported BEVs must meet two thresholds to qualify for preferential treatment:
  • Motor power of no less than 180 kW
  • CIF (Cost, Insurance and Freight) value of no less than 200,000 ringgit (approximately RMB 330,000)
BEVs that do not meet the criteria will be subject to standard import duties and sales tax.
Who is affected: New energy vehicle and low-speed electric vehicle exporters to Malaysia.

2. Indonesia Tightens Full-Chain Halal Certification Inspections

Effective Date: July 1, 2026

Issued by: Badan Penyelenggara Jaminan Produk Halal (BPJPH), Indonesia

Special halal compliance inspections will be launched for imported products, covering the entire value chain of products, packaging, warehousing and distribution.
For food, beverages, pharmaceuticals, cosmetics, daily necessities, and even certain home appliances and apparel, packaging materials and warehousing facilities must independently meet halal requirements. Shared warehousing or packaging equipment for halal and non-halal products is strictly prohibited. Cargoes with cross-contamination risks will be denied customs clearance.
Who is affected: Exporters of food, cosmetics, daily chemicals and packaging materials to Indonesia.

3. Vietnam Introduces New Cross-Border E-Commerce Tax Rules

Effective Date: July 1, 2026

Issued by: Ministry of Finance of Vietnam

For overseas corporate sellers generating sales revenue via e-commerce platforms, platforms will be required to withhold and remit business income tax on the sellers’ behalf.
Platforms will also strengthen product traceability audits, requiring complete declaration of country of origin, manufacturer name and factory address. Special categories require submission of business licenses.
Who is affected: Cross-border corporate sellers on Vietnamese marketplace platforms including Shopee and TikTok Shop.

RCEP, Japan & South Korea

RCEP Digital Rules of Origin Enters Phase 2 Implementation

Effective Date: July 1, 2026

Issued by: RCEP Secretariat

Under the second phase, member states’ export enterprises are required to integrate their electronic Certificate of Origin (e-CO) systems with real-time tariff calculation tools on their official websites. Users can input destination country, HS code and cargo value to automatically match agreement tariff rates and generate an e-CO pre-review code.
Enterprises exporting electromechanical components, automotive electronics and food additives to Japan and South Korea must complete system adaptation as soon as possible.
Who is affected: Exporters enjoying RCEP tariff preferences for shipments to Japan and South Korea.

Part 3: Actionable Compliance Recommendations for Businesses

  1. Export control categories: For sensitive categories including machine tools and UAVs, declaration standards will be significantly tightened from July. We recommend immediately auditing your product HS codes and export control classification, and preparing technical documentation and end-user certificates in advance.
  2. Cross-border logistics: With rising tax burdens on low-value parcels in the EU and Southeast Asia, recalculate your pricing and logistics solutions. Prioritize DDP clearance channels to avoid unexpected charges for end customers.
  3. Certificates of origin: Against the backdrop of RCEP digital upgrades and tightened origin standards in Japan, verify the regional value content and tariff classification of your products to ensure lawful enjoyment of preferential tariffs.
  4. Imported vehicles: Parallel import vehicle enterprises should immediately standardize the filling format of the “specification/model” field on customs declarations, to avoid failure to obtain the unified certificate and subsequent registration issues after July.
Staying ahead of these regulatory updates will help your business minimize clearance delays, avoid penalties and maintain stable operations across global markets.