The smuggling of import or export cargoes shall be suppressed by Customs pursuant to the provisions of this Act.

"Commercial ports" referred to in this Act mean the harbors, airports, or other commercial ports opened to foreign trade by the government, and within which Customs offices have been established.

The term "the smuggling of import or export cargoes" referred to in this Act means the shipment of cargoes into or out of the Republic of China without making a declaration to Customs, and thus results in an avoidance of Customs inspections, evasion of Customs duties, or escape of Customs controls. However, this doesn't include wastes cleared out of vessels that have been examined and paid due duties after making declarations to Customs.

The term " a declaration of import or export cargoes is made" referred to in this Act means the importation or exportation of cargoes through a commercial port associated with a Customs declaration pursuant to the Customs Act and relevant laws and regulations.

Where a fine, pursuant to this Act, is imposed on the basis of the value of cargoes, the duty-paid value or the FOB value shall be referred for import and export cargoes respectively.