What does bonded area mean?

Bonded (bonded; Bonded system is an internationally accepted customs system.

It refers to a customs supervision business system in which goods imported by domestic enterprises approved by the customs are stored, processed and assembled at designated places in China under customs supervision, and various import taxes and fees are suspended. First, bonded warehouses, bonded areas, consignment and duty-free shops serving international commodity trade; Second, imported materials processing, bonded factories and bonded groups serving processing and manufacturing.

Goods imported from abroad are re-exported after being processed to avoid going through export tax refund procedures in the future, and they are temporarily accounted for at the time of import and exempted from paying customs duties first, which is bonded.