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NVOCC License in China: Complete Guide 2022

NVOCC License in China: Complete Guide 2022

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A Non-Vessel Operating Common Carrier (NVOCC) is an enterprise that does not own a vessel but provides maritime cargo transportation services. In China, the NVOCC license is valid for 5 years and is essential for companies involved in international shipping operations.

Three Categories of NVOCC

On-Carrier Type NVOCC
Acts as a carrier by booking space on ocean vessels and consolidating shipments from multiple shippers.

Carrier NVOCC
Issues its own bills of lading and takes full responsibility for the cargo transportation process.

Broker NVOCC
Acts as an intermediary between shippers and carriers, arranging transportation on behalf of clients.

An NVOCC typically handles the sales, stuffing, and transportation of containers to gateway ports. It operates under a house bill of lading, acting as a shipper to carriers and as a carrier to shippers. In some cases, an NVOCC may also operate as a freight forwarder.

Advantages of Registering an NVOCC in China

Legal QualificationGain the legal right to book space directly with vessel carrier companies
Marine InvoicingIssue marine-shipment invoices in your own company name
VAT InvoicesIssue transportation invoices at the 9% VAT rate
BrokerageAct as a broker arranging shipping services between parties

Application Process

Step 1: Amend the Business License

Update your company’s industry and business scope on the business license to include NVOCC-related items.

Step 2: NVOCC Registration

Submit filing materials online and cooperate with the approval process conducted by the Ministry of Transport.

Step 3: Security Deposit

A security deposit is no longer required for NVOCC registration in China.

Step 4: Freight Rate Registration

After NVOCC registration is complete, submit your freight rate record to the shipping exchange.

Documentation Requirements

Enterprise Information

Company name, unified social credit code, English name, legal representative, registered address, contact number, email, and fax number.

Contact Person Details

Full name, gender, ID number, and phone number of the designated contact person.

Platform Manager Information

Details of the appointed platform manager for the NVOCC operation.

Supporting Documents

Scanned copy of the business license, completed application form for freight rate registration, and the freight rate registration form.

Legal Framework

NVOCCs must register with the Ministry of Transport (MOT) if they issue Bills of Lading from China. Registration is required for all international maritime operations entering or leaving PRC ports. Currently, the PRC only enforces compliance for outbound shipments.

Role of the Chinese Liaison

A Chinese liaison communicates with the Ministry of Transport on behalf of the NVOCC. This person is responsible for receiving notices, accepting services, and following up on applications. If the NVOCC issues Bills of Lading, the liaison agent should be a registered Chinese NVOCC. The agent can also serve as the liaison.

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