(II) Processing trade policies

1. 区内企业开展加工贸易业务，不实行加工贸易银行保证金台帐制度，不需到银行开设加工贸易保证金台账，因此，也就不需要核销保证金台账；

1. Processing trade activities occurring at KMFTZ are not subject to the deposit account system for processing trade, which means the opening and write-off of deposit accounts for processing trade are not required.

2. 海关不实行《加工贸易登记手册》管理和合同核销，不需到外经贸主管部门办理加工贸易合同审批、海关备案，以及核销等手续；

2. Goods processed at KMFTZ are not subject to registration (by filling out the Process Trade Registration Handbook), contract write-off, and filing required by the customs, as well as trade contract approval and write-off required by competent foreign trade administrations.

3. 海关不执行商品单耗标准管理，由企业自己按照实际需要进行管理。

3. Goods processed at KMFTZ are not subject to the customs’ unit processing consumption standard, but those set by the processors themselves according to their actual needs.

4. 除国家禁止进出口货物、物品外，其它货物均可进、出加工区，例如某些限制进出口类产品均可自由进出加工区，开展加工贸易。

4. To the exclusion of goods and articles prohibited from being imported or exported by the state, other goods, such as goods subject to import or export restrictions, may enter and leave the processing area freely.

5. 国家对区内加工产品不征收增值税。

5. Goods processed at KMFTZ shall be exempted from value-added tax.