How reduced import tariffs in China help foreign buyers
When China joined the World Trade Organization (WTO) they committed to a schedule to reduce trade barriers and reduce duties and taxes. For the most part, China has lived up to their promises. In many cases, in the effort to reduce soaring inflation at home, the Chinese government has lowered import duties on a range of product ahead of schedule.
While that is great for the Chinese consumer, it is also relevant information for international buyers. As China is the production base for the world, a reduction in Chinese import duties will also reduce the cost of goods exported out of the country. That is good news for us foreign buyers.
How to stay “in the know”
To help readers keep a pulse on the industries and products which are being incentivized (and sometimes disincentives by Beijing), sign up for my RSS feed of my blog. I’m providing periodic updates on the changes taking place in China as well as explaining the potential impact on the China sourcing profession. For example, I recent blogged “ 33 Import duties disappear!”
Here is the latest class of products in play
China has expressed a desire to eliminate tariffs and value-added taxes on equipment and components used to develop coalbed methane (CBM) refining in mines starting this year, according to a joint statement issued by the Ministry of Finance (MOF) . As this story develops, I’ll blog about it.
Wishing you successful China Sourcing!
China Operations Director, PassageMaker Sourcing Solutions (3rd party assembly & inspection to protect intellectual property and ensure quality.)
Chairman of the Advisory Board, China Sourcing Information Center
LinkedIn Profile: http://www.linkedin.com/pub/michael-bellamy-author-business-owner-volunteer-advisor/8/52a/389