According to the latest notice from Ministry of Finance, from December 1st, import tariffs on some consumer goods will be average decreased by 7.7%, 9.6% lower than before!
▲ official document from official website of Ministry of Finance
So what’s the influence and what can we benefit from the decreased import tariffs? Let’s see!
Prices Fall Sharply
Prices of import goods will drop sharply along with the much lower import tariffs.
Categories
Food, health care products, medicines, daily chemical products, clothes and shoes, domestics appliances, cultural and entertainment products and other commodities, etc. (187 categories in total).
Average tariff is reduced by 7.7%, specifically tariffs of
■ Cosmetics including lipsticks, eye shadow and perfume are reduced from 10 % to 5%.
■ Electric razors and electric toothbrushes are reduced from 30% to 10%.
■ Coffee machines, intelligent lavatory covers are reduced from 32% to 10%.
■ Mineral water are reduced from 20% to 10%.
■ Diapers and specific milk powder reduced to 0%!
Since 2015, import tariffs have been reduced in succession for three times:
■ June, 2015
■ Jan, 2015
■ Jan, 2017
Influences & Benefits
For Consumers
Sharp drops of import tariff rates further expand domestic demand. It means that we will spend much less money in buying import goods.
It is reported by WTO that Chinese tourists spent 261 billion dollars overseas in 2016, an increase of 12% comparing to the previous years, remaining the largest oversea consumption around the world.
Therefore, the policy marks down prices of oversea products and intends to control capital outflow in a certain range.
Experts describe that there will be an increase of 1% of domestic consumption if there is an decrease of 1/3 or 2/3 backflow of oversea expenditures.
For Cross-border E-commerce
Director of China E-commerce Research Center illustrates that under the policy of lower import tariffs, e-commerce enterprises are more likely to import foreign products in a lawful way instead of evading high import taxes.
In such case, domestic consumption and tax revenue will increase, meanwhile, quality and supply chain of overseas products will be more guaranteed.
For the Whole Market
Competitions among local companies will be intensified, which make it urgent to transform and upgrade their products so as to meet consumers’ satisfactions and become sophisticated globally.
In a word, decreased import tariffs benefit us a lot. Particularly, we can buy qualified import goods with much lower prices!
HACOS,Business Services Solutions Master