Although to some extent the list clears up the confusion on the commodities that are regulated under the new tax it also leaves several doubts in regards to actual implementation and may result in more negative impacts on CBEC companies and third-party platforms.
On April 7, one day before the implementation of the new tax system for CBEC goods, China Ministry of Finance together with 11 other departments including the CFDA published the “List of CBEC Retail Imported Goods” to define the applicable scope of the new tax (see CL news on Apr 8 2016).
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Under the current regulatory framework, cosmetics registrants and notifiers can continue to submit a simplified version of the safety assessment report during the registration or notification process until May 1, 2025. Following this deadline, a full version of the safety assessment will be mandated. To facilitate a smooth transition, China is planning to release a set of technical guidelines.
The current cosmetic technical standard STSC 2015 specifies the cosmetics' general safety standards, prohibited/restricted/permitted ingredients and testing methods. It is revised aperiodically in response to changing trade practices in the industry. China is planning to issue a new version of STSC.
