EU-China Cooperation in Tobacco SectorEU-China Cooperation in Tobacco Sector

EU-China Cooperation in Tobacco SectorEU-China Cooperation in Tobacco Sector Taxes and duties levied on cigarettes Taxes and duties levied on cigarettes

are key source of public revenue in are key source of public revenue in both EU and in Chinaboth EU and in China

Cigarette smuggling and trade in Cigarette smuggling and trade in counterfeit cigarettes are a problem counterfeit cigarettes are a problem both EU and China shareboth EU and China share

Illegal trade in cigarettes is linked to Illegal trade in cigarettes is linked to international organised crime international organised crime organisations organisations

OLAF Liaison Office in China:OLAF Liaison Office in China: First OLAF officer posted overseasFirst OLAF officer posted overseas Started in September 2008Started in September 2008 Based at the EU Delegation in BeijingBased at the EU Delegation in Beijing Principal task of the OLAF liaison officer is to Principal task of the OLAF liaison officer is to

develop cooperation with the Chinese develop cooperation with the Chinese authorities with a view to assist both parties authorities with a view to assist both parties in combating the trade in contraband and in combating the trade in contraband and counterfeit cigarettes. counterfeit cigarettes.

Reports to the Task Group Cigarettes at OLAFReports to the Task Group Cigarettes at OLAF

Task Group Cigarettes:Task Group Cigarettes: TGC (OLAF Unit B3) is responsible for TGC (OLAF Unit B3) is responsible for

investigations and operations in the customs investigations and operations in the customs area concerning the illegal trade in cigarettes area concerning the illegal trade in cigarettes in cooperation with the specialist Services of in cooperation with the specialist Services of the Member States and third countries. Our the Member States and third countries. Our objective is to assist the national authorities to objective is to assist the national authorities to detect, prevent and investigate fraud in detect, prevent and investigate fraud in relation to cigarettes, and thus to ensure the relation to cigarettes, and thus to ensure the recovery of any taxes and duties evaded and recovery of any taxes and duties evaded and the prosecution of the people behind the the prosecution of the people behind the frauds. The Unit comprises a Head of Unit, 12 frauds. The Unit comprises a Head of Unit, 12 investigators and a Secretariat.investigators and a Secretariat.

Presence of foreign law Presence of foreign law enforcement enforcement agencies in Chinaagencies in China

Customs Attaché Club:Customs Attaché Club:

European Union: BE, DE, DK, FI, FR, IT, European Union: BE, DE, DK, FI, FR, IT, NL, OLAF and UKNL, OLAF and UK

Third Countries: AU, IS, KO, KZ, JP, NZ, Third Countries: AU, IS, KO, KZ, JP, NZ, PA, RU, and USPA, RU, and US

Presence foreign law enforcement Presence foreign law enforcement agencies in agencies in

ChinaChinaForeign Law Enforcement Community Foreign Law Enforcement Community

in China (FLECC):in China (FLECC):

European Union: DE, DK, ES, FI, FR, GR, European Union: DE, DK, ES, FI, FR, GR, IT, NL, OLAF and UKIT, NL, OLAF and UK

Third Countries: AU, CA, IS, JP, KO, NZ, PA, Third Countries: AU, CA, IS, JP, KO, NZ, PA, PH, RU, TH and USPH, RU, TH and US

Main cooperation partnersMain cooperation partners China Customs (GACC)China Customs (GACC) Anti-smuggling Bureau of GACCAnti-smuggling Bureau of GACC State Tobacco Monopoly State Tobacco Monopoly

AdministrationAdministration Ministry of Public SecurityMinistry of Public Security

EU-China cooperation in tobacco sector:EU-China cooperation in tobacco sector: Mutual Assistance RequestsMutual Assistance Requests Exchange of InformationExchange of Information Investigations, inquiries and reporting Investigations, inquiries and reporting Support in inspections Support in inspections Intelligence data gathering and analysis Intelligence data gathering and analysis Cooperation with Member States and Cooperation with Member States and

other organisations other organisations

Mutual Assistance RequestsMutual Assistance Requests Facilitate Mutual Assistance Facilitate Mutual Assistance

Requests between EU and ChinaRequests between EU and China

Investigations, inquiries and Investigations, inquiries and reportingreporting

To provide intelligence and to facilitate To provide intelligence and to facilitate international cooperation with the international cooperation with the Chinese authorities in support of the Chinese authorities in support of the Office's operational activities. Priority Office's operational activities. Priority in practical case workin practical case work

Support in inspectionsSupport in inspections In cooperation with the Chinese and In cooperation with the Chinese and

other authorities, assist to investigate other authorities, assist to investigate complex and sensitive cases, using all complex and sensitive cases, using all available resources to achieve the available resources to achieve the identification of contraband and identification of contraband and counterfeit traffic destined to EU, China counterfeit traffic destined to EU, China or elsewhere and the prosecution of or elsewhere and the prosecution of persons involved in major offencespersons involved in major offences

Intelligence data gathering and analysisIntelligence data gathering and analysis Create and maintain Intelligence pathways. Create and maintain Intelligence pathways. Gather and share intelligence in liaison with Gather and share intelligence in liaison with

the host authorities the host authorities Maintain regular contacts and exchanges of Maintain regular contacts and exchanges of

information with enforcement agencies, and information with enforcement agencies, and other relevant bodies in the host country and other relevant bodies in the host country and the region, on matters related to their area of the region, on matters related to their area of responsibility. responsibility.

Keep contacts with relevant representatives of Keep contacts with relevant representatives of cigarette manufacturers which have an cigarette manufacturers which have an Agreement with the EC. Agreement with the EC.

Mutual assistance legal basisMutual assistance legal basis Customs and Anti-Smuggling Bureau: Customs and Anti-Smuggling Bureau:

Agreement on Mutual Administrative Agreement on Mutual Administrative Assistance in Customs MattersAssistance in Customs Matters

Police, Tobacco Monopoly: No Police, Tobacco Monopoly: No agreements yet. Cooperation possible agreements yet. Cooperation possible when the national legislation allows it.when the national legislation allows it.

Thank you for your attentionThank you for your attention