Boosting Belgian Business Connections with China: Opportunities and Trade Tips

With China as one of Belgium's key global partners and with increasing interest from Chinese businesses in Europe, Belgian companies have new opportunities to expand into one of the world’s largest markets. This article outlines key practical tips for businesses that import from or export to China, helping them overcome regulatory challenges and benefit from trade with this dynamic country.

Although recent trade data shows fluctuations, Belgium’s economic relationship with China remains significant. At Beci – Brussels Chamber of Commerce, we’ve witnessed firsthand the increasing interest from Chinese businesses and regions in Belgian markets.  In just the past few months, we have had the pleasure of welcoming four business delegations from China, each looking to explore opportunities with Brussels-based companies: from Sichuan province, Mianyang City in Sichuan province, Dehua County in Fujian province, and Dongguan City in Guangdong province.

According to the latest statistics from the Belgian Foreign Trade Agency, in 2023, Belgium was the 7th largest EU importer of goods from China, and the 6th largest EU exporter of goods to China. On the other hand, China was Belgium’s 5th largest supplier of goods and the 10th client.  Exports and imports cover a wide range of sectors, from chemicals and machinery & equipment (both top export and import), to plastics, textiles, and transport equipment, illustrating the diversity of Belgium’s economic ties with China.

These volumes underscore the significance of China as a trading partner and highlights the value of understanding the landscape for both importers and exporters.

Essential Tips for preparing IMPORTS from China

As importing from China grows, Belgian businesses are increasingly integrating Chinese goods into their supply chains. Here are some essential tips for smooth and efficient import operations, recommended by the Belgian-Chinese Chamber of Commerce (BCECC) in their publication:  

1.      Get Your EORI Number: Every importer needs an Economic Operators Registration and Identification (EORI) number to navigate EU customs processes.

2.      Know Your Product Codes and Landed Costs: Assign the correct HS (Harmonized System) code to your products, which determines the import duties and VAT rates, and calculate the landed cost. This total includes product value, shipping, insurance, and customs duties.

3.      Understand Duties, VAT, and Compliance: Product-specific import duties, VAT rates, and anti-dumping tariffs may apply. Compliance with EU regulatory standards is mandatory, from CE marking on electronics to labeling requirements on textiles. Ensure your products meet all relevant safety, health, and quality standards before they arrive.

4.      Clarify Agreements with Suppliers: Use clear delivery responsibilities (Incoterms) in agreements with Chinese suppliers to define delivery responsibilities and who handles customs procedures. A detailed commercial invoice, packing list, and any necessary certifications or permits are essential for a smooth customs process.

5.      Work with a Customs Broker: Collaborate with a reliable broker or freight forwarder to streamline your customs clearance, including electronic declarations and document preparation.

6.      Consider Supply Chain Diversification: To reduce reliance on a single supplier or country, explore options to source products from multiple locations, which can help mitigate risks tied to regulatory changes.

Essential tips for preparing EXPORTS to China

Exporting to China opens opportunities for Belgian companies. Here are key tips for a seamless export process, based on insights from the Belgian-Chinese Chamber of Commerce (BCECC):

1. Stay Informed on Regulations: China’s customs regulations are complex and often involve multiple agencies. The General Administration of Customs of China (GACC) oversees imports, but other bodies, like the China Inspection and Quarantine (CIQ), also play a role. Frequent regulatory updates mean exporters must stay informed to avoid delays.
   
   
2. Prepare Accurate Documentation: Essential documents for exporting include a bill of lading, commercial invoice, packing list, and certificate of origin. For specific products like food, electronics, or pharmaceuticals, additional certificates, such as a sanitary certificate or China Compulsory Certificate (CCC), may be required.
   
   
3. Comply with Chinese Standards: Product standards in China can differ from EU norms. Ensure goods meet Chinese health, safety, and quality standards, and make sure your local importer holds a valid import license.
   
   
4. Calculate Tariffs and Taxes: China applies varying import duties, VAT (13% for most goods), and possible consumption taxes. Accurately calculating these costs helps you determine the total landed cost and maintain profitability.
   
   
5. Partner with Experts: Working with customs brokers, freight forwarders, and chambers of commerce can streamline your export process. The Belgian embassy’s customs attaché in Beijing is available to help Belgian companies, and the BCECC is a valuable resource for additional support.
   
   
6. Protect Intellectual Property: With China’s updated IP laws, secure your trademarks, patents, and copyrights in China to safeguard your brand and products in this competitive market.

Trade with China can bring significant benefits but does come with regulatory challenges. By staying informed and properly preparing, Belgian companies can successfully navigate these processes.