Return goods to China for warranty repair
Arrange outward processing before dispatch, record exactly which goods leave, and obtain written warranty and repair evidence. Eligible free warranty repairs can return without Customs Duty, but relief depends on the procedure and supporting documents. Cambridge China Bridge can help coordinate the factory evidence through its staff in China.
Agree the customs route before booking freight
Tell your customs agent that the goods will return after repair. Outward processing can reduce duty on goods exported for repair and re-imported. Agree the authorisation route before dispatch: regular use requires full authorisation; eligible repair shipments may use authorisation by declaration when HMRC accepts the export declaration.
Ask the agent to confirm eligibility, the export and return declaration instructions, and the planned return date in writing. Use customs procedure codes explained to understand the declaration fields. If you are rejecting the goods permanently, start with faulty goods and claims instead.
Make each returning item identifiable
HMRC says your records must show that the re-imported goods are the goods exported, or are within or part of them. Photograph serial plates, distinguishing marks and the fault before packing. Prepare an item list linking those identifiers to the original purchase invoice, import paperwork, packing list and export declaration.
Ask the factory to carry those identifiers through its receipt record, repair report and return packing list. For unnumbered goods, agree an identification method with your agent before dispatch. Tell the factory to flag any replacement unit or changed serial plate before shipping. The repair-return paperwork guide helps organise the document handover.
Prove the warranty repair is free
Duty relief for a free guarantee repair depends on using the proper outward processing procedure, proving the export, showing the guarantee terms and demonstrating that the guarantee cost was included in the original goods price and customs value. A factory invoice saying only “no charge” does not explain all these conditions.
Keep the purchase terms, original invoice, fault correspondence and factory acceptance of the warranty claim together. Request a repair report naming the returned items, describing the work and confirming that the repair was free under the guarantee. HMRC requires documentary evidence of the free repair with the import declaration.
Separate duty relief from the VAT calculation
For charged repairs, HMRC calculates duty on repair or replacement charges plus return shipping and insurance. VAT is charged on repair costs, outward and inward freight, and duty, excluding insurance. These calculations depend on the repair or replacement price not being reduced because you are related to the seller.
Ask for a written duty and VAT calculation before approving the return shipment, including a free repair. If the factory sends replacement goods, HMRC says VAT is due on the full customs value even when the replacement is free. Confirm a proposed swap with your customs agent before accepting it.
Check the factory handover before goods return
Agree who pays for packing, freight, testing and any work outside the warranty. Ask the factory for photographs of the repaired items and test results addressing the reported fault. Have its return documents describe the repair accurately and distinguish charges from work covered by the guarantee.
Send the complete export and repair file to the return-clearance agent before collection. Ask the agent to explain the relief claimed and check the returning identifiers against the outbound list. Cambridge China Bridge’s staff in China can help obtain factory records and check the goods before the return shipment.
Frequently asked questions
Can I send goods to China for repair without paying duty again?
Outward processing can reduce duty. A qualifying free guarantee repair can receive duty relief if the correct procedure and evidence conditions are met. Arrange the route before dispatch.
Is a no-charge repair invoice enough for HMRC?
Keep the guarantee terms, evidence linking the return to the export, and proof that the guarantee cost was included in the original customs value. Request a repair report identifying the goods and confirming the free warranty work.
What if the factory replaces the goods instead?
Confirm the replacement route with your customs agent before accepting the swap. HMRC says replacement goods attract VAT on the full customs value even when supplied free of charge.
How do I identify goods without serial numbers?
Agree a method with your customs agent before shipping. Photograph distinguishing features and use consistent item references across the packing list, factory receipt, repair report and return documents.