Meaning
An administrative hold is placed on imported or exported goods by customs officers due to discrepancies in documentation or tariff classification. Import-export operators face customs clearance detention when the declared value of the goods does not match the assessment of the customs authority. This measure prevents the cargo from entering domestic circulation or leaving the port until the investigation is complete.
The hold is governed by the Customs Law of the People’s Republic of China.
Hold Trigger
Discrepancies in the country of origin certificates or product safety labels can trigger an immediate stop at the border. When customs clearance detention occurs, the goods are moved to a designated customs warehouse for physical inspection. This process can take anywhere from a few days to several weeks depending on the complexity of the case.
Financial Impact
During the period of the hold, the importer accumulates substantial warehouse storage fees and container demurrage charges. These costs arising from customs clearance detention can quickly erode the profit margin of the shipment. High-value goods or perishable items are particularly vulnerable to these administrative delays.
Release Protocol
Resolution of the issue requires the importer to submit corrected documentation or pay the revised tariff and fines. Once the customs clearance detention is formally lifted, the authorities issue a release note to the port terminal. This document allows the terminal operator to hand over the cargo to the logistics provider.
