What are the pros and cons of bonded logistics zones in China?

Bonded Logistics Zones are areas where specific logistic activities are subject to a unique set of customs and duties. The rent of these zones, in general, stands high. They are to be used as storage, certain processing, exhibition of goods by foreigners without being taxed – but not factories and manufacturing – so, import and export custom duties are exempted and trade quotas will not apply if imported goods are later to be exported. But if imported goods are intended for domestic sales, then import duties and relevant taxes will still be in place.