Tesla PlanTesla Plans Production of Model Y in Chinas Production of Model Y in China

According to information from the company, the US electric car manufacturer Tesla will start producing the Model Y in addition to the Model 3 at its Shanghai plant next year.

The Chinese market for new energy vehicles (NEVs) is experiencing rising demand. In July purchases of NEVs increased by 19.3 percent to 98,000 units, with the breakdown of 79,000 electric vehicles (up 24.2 percent year-on-year) and 19,000 plug-in hybrids (up 2.7 percent). Over the past 12 months, sales of electric cars have been steadily declining. The growth in July has stopped this negative trend for the time being.

Reservations are being accepted for two versions of the Model Y – a dual engine four-wheel drive, long-range version for 488,000 yuan (70,592 US dollars) and a performance version for 535,000 yuan. The long-range version will have a range of 505 kilometers and the performance version a range of 480 kilometers.

The model Y is the company’s second vehicle to be produced at the Shanghai Giga plant after the Model 3.

Tesla had again lowered the price of the Model 3 built in China a second time in order to qualify for the government incentives and encourage people to buy cars after decreasing sales in the previous months.

A Model 3 is now sold for a base price of 291,800 yuan ($41,318), before taking into account the subsidies. This is 10% less than before the electric car manufacturer announced.With the subsidy, the cost is 271,550 yuan ($38,451). Tesla must sell the car for less than 300,000 yuan to qualify for government-subsidies.

In order to export products to China, many automotive and electronics products require mandatory CCC certification. We will be happy to advise you on the procedure and obtaining a CCC (China Compulsory Certificate) certificate.

For more information on how CCC certification, the CCC Self-Declaration and voluntary CCAP or CQC certification may affect your company, or for more information about CCC certification in general, the process, and the associated costs, please visit our website and our News Section where you will find current updates twice a week.

Please do not hesitate to contact us for further details and consultation. You can contact us via e-mail, or call us (UK: +44 2071931135, Rest of Europe: +49 69 2713769150, US: +1 773 654-2673).

You can also check out our free CCC-Brochure, which can be downloaded right here as a PDF file or you consult our book (in English) “A Brief Guide to CCC: China Compulsory Certification”, which can be found directly hier on Amazon.

Here you can download our brochure about the CCC Self-Declaration.

Here you can download our brochure about the voluntary CCAP or CQC certification.

GACC certification is mandatory for the export of pork to China

Corona virus outbreaks in slaughterhouses have resulted in less pork being processed. This puts the breeders in dire straits since they have to feed their stock a couple weeks longer than usual while also having to accept a general decline in revenue. They must therefore also expand to other markets such as China. This has not been easy, according to Chinese media many imports are stuck in customs without proper import documents (GACC certification).

These events cause even more problems for Chinese consumers. For years, the demand for pork in China has been growing by several percent annually. In 2018 African swine fever broke out in Asia, and millions of pigs had to be destroyed. Imports from other countries rose rapidly, making China the world’s largest importer of pork accounting for almost 50% of global demand.

Since 2018, the import volume of pork in China has almost tripled, from approx. 1.4 million tons at the end of 2017 to an estimated 3.9 million tons in 2020. Germany alone delivered almost 600,000 tons to China in 2019. The Association of Livestock and Meat Producers’ (Vereinigung der Erzeugergemeinschaften für Vieh und Fleisch (VEZG)) was able to steadily raise the price of pork per kilo, at a maximum price of over 2 €/kg in early 2020. Since then the price has fallen by more than 25%.

China cut import duties on pork (and some other products) from 12% to 8% in January 2020 to counter rising internal and external pressures. Further tariff cuts are expected in the wake of the Corona crisis.

Exporting companies must be approved in order to be able to export pork to China. GACC certification for the meat products is necessary to enter the Chinese market. In the course of the approval, detailed documents and in some cases even accreditation of the establishments by Chinese auditors are required. Mistakes can easily occur during the approval process, as, for example, an incorrect application can give a breeding company approval for trade but not for breeding.

If exports to China continue to increase (which seems very likely), exporters must ensure that they avoid such problems at Chinese customs to obtain the mandatory China GACC certification.

Are you a producer of pork and interested in exporting to China? Contact us at any time for all questions regarding the approval process of GACC certification at +49692713769150 (for Europe) or +1 773 654 2673  (for USA) or by e-mail.

New CNCA Implementation Rule for CCC certification of automobile vehicles

To further improve the CCC certification system, simplify the application requirements, optimize the implementation procedures and improve the convenience of implementation for CCC certification of motor vehicles a new implementation rule No. CNCA-C11-01:2020 for complete vehicles has been announced.

The old version of the implementation rules (No. CNCA-C11-01:2014) will be replaced.

CCC Certificates which have been issued before the implementation of the new version can still be used and shall be renewed by the designated certification body according to the new version of rules as soon as they expire.

Starting from the implementation date the certification authorities should certify products according to the new version of rules. A 1-year transition period will be granted for new certification applications.

To ensure the implementation of mandatory product certification for motor vehicles during current Pandemic Period the requirements of automobile product type test will be further simplified. For new certification applications where the applicant cannot provide a valid type test report due to the pandemic situation, the applicant should submit a self-Declaration of the standard conformance and relevant technical data. The certification authorities will issue the CCC certificate after examination of the submitted documents. After the pandemic, the applicant has to provide a type test report, or finish an on-site random sample test by the certification authorities.

Are you interested in getting more information regarding the new Implementation Rule for Complete Vehicle Certification? Do you have any questions about the application for certification modification? If so, please call or email us anytime. You can contact us via e-mail, or call us (UK: +44 2071931135, Rest of Europe: +49 69 2713769150, US: +1 773 654-2673).

Also check our website if you want more information regarding CCC certification, the CCC Self-Declaration and voluntary CCAP or CQC certification, or for more information about CCC certification in general, the process, and the associated costs, please visit our website and our News Section where you will find current updates twice a week.

You can also check out our free CCC-Brochure, which can be downloaded right here as a PDF file or you consult our book (in English) “A Brief Guide to CCC: China Compulsory Certification”, which can be found directly hier on Amazon.

Here you can download our brochure about the CCC Self-Declaration.

Here you can download our brochure about the voluntary CCAP or CQC certification.

CCC conversion deadline for brake pads on 1 June 2021

As we have already informed you in a previous news item, brake pads will require mandatory CCC certification from June 1, 2021 in order to be sold on the Chinese market. This means that after June 1, 2021, the Chinese product licenses still valid will expire.

Since June of this year, applications for CCC certification can already be submitted to the certification authorities CQC and CCAP. The corresponding applicable standard GB 5763-2018 came into force on October 1, 2019, and together with the implementing regulation CNCA-C11-20:2020 forms the basis for the CCC certification of brake pads.

Since CCC certification through product testing and factory audit is very extensive and time-consuming and a high volume of applications for CCC certification for brake pads is to be expected, we recommend that brake pad manufacturers start the application process as soon as possible.

Under certain circumstances, already existing test reports, inspection reports or similar documents may be accepted by the authorities. We would be pleased to check this possibility for you during the CCC certification.

For more information on how CCC certification, the CCC Self-Declaration and voluntary CCAP or CQC certification may affect your company, or for more information about CCC certification in general, the process, and the associated costs, please visit our website and our News Section where you will find current updates twice a week.

Please do not hesitate to contact us for further details and consultation. You can contact us via e-mail, or call us (UK: +44 2071931135, Rest of Europe: +49 69 2713769150, US: +1 773 654-2673).

You can also check out our free CCC-Brochure, which can be downloaded right here as a PDF file or you consult our book (in English) “A Brief Guide to CCC: China Compulsory Certification”, which can be found directly hier on Amazon.

Here you can download our brochure about the CCC Self-Declaration.

Here you can download our brochure about the voluntary CCAP or CQC certification.

China’s industry recovers in April from the low level of the effects of coronavirus

According to official figures, Chinese industry recovered from its record low in April, but the full recovery of the economy remains uncertain after US President Trump tightened the tone towards China and the two countries’ relations deteriorated. According to figures released Friday by the National Bureau of Statistics, industrial production rose 3.9 percent year-on-year in April after a rapid loss of 13.5 percent in January and February during the coronavirus outbreak.

Investment in fixed assets and retail sales were down, but at a slower pace. Fixed capital formation fell 10.3 per cent in the first four months of the year compared with a 16 per cent decline in the first quarter of 2020, while retail sales fell to 7.5 per cent year-on-year. The figures were released shortly after US President Trump threatened to sever all ties with China in response to poor management during the early stages of the coronavirus pandemic.

Zhao Lijian, a spokesman for the Chinese foreign ministry, said the US should reconsider its “cold war” stance. A stable development of Sino-American relations is in the fundamental interest of both countries, the spokesman added. “The two countries should cooperate in the fight against the epidemic and deepen their economic cooperation. But this requires that the USA approach China,” Lijian announced.

Earlier this week, after pressure from officials, the US government’s pension fund announced that it would not invest in Chinese stocks in the future. Meanwhile, the People’s Congress, which meets next week, is expected to pass a comprehensive stimulus package to boost the economy. Despite signs of economic recovery, low domestic demand, rising unemployment, a global recession and tensions between the U.S. and China are endangering the country’s economy, said Bo Zhuang, an economist with the consulting firm TS Lombard. Certain product groups must be awarded a CCC certificate in order for products to be exported to China. The CCC certificate was introduced in 2002 and applies to both imported and Chinese products. The Chinese CCC is comparable to other certifications for standardizing product quality, such as the European CE system, but there are important differences. We would be pleased to advise you without obligation about the scope and requirements of a China CCC certification.

For more information on how CCC certification, the CCC Self-Declaration and voluntary CCAP or CQC certification may affect your company, or for more information about CCC certification in general, the process, and the associated costs, please visit our website and our News Section where you will find current updates twice a week.

Please do not hesitate to contact us for further details and consultation. You can contact us via e-mail, or call us (UK: +44 2071931135, Rest of Europe: +49 69 2713769150, US: +1 773 654-2673).

You can also check out our free CCC-Brochure, which can be downloaded right here as a PDF file or you consult our book (in English) “A Brief Guide to CCC: China Compulsory Certification”, which can be found directly hier on Amazon.

Here you can download our brochure about the CCC Self-Declaration.

Here you can download our brochure about the voluntary CCAP or CQC certification.