Information on An Increase in Tariffs Go back »
2008-03-04 | All chapters
Information on An Increase in Tariffs on Agricultural Equipment and Mining Excavation EquipmentThe Ministry of Finance (MOF) and General Administration of Customs (GAC) have issued new adjustments to import tariffs and taxes applied to some mining equipment, and big-scale agricultural machines.
The import of some equipment fully assembled abroad will be subject to an average 30% tariff. These products had enjoyed a zero tariff since 1998. After 10 years implementation, the autonomous tariff exemption is now withdrawn.
Import of parts and components for manufacturing of this equipment is encouraged. The import duty and VAT for parts and components was already exempted, now the tariff and VAT will be collected but refunded_ afterwards as a state funding for R&D and capacity building. The refund shall be recorded as registered capital in the manufacturers accounts and the state will hold a share of the increased capital.
Please find the official announcement No.9 (2008) of GAC on: http://www.customs.gov.cn/YWStaticPage/3889/da6ecf52.htm.
and annoucement of MOF regarding farming machines tax rebate on: http://www.mof.gov.cn/news/20080218_3483_31502.htm.
The Chamber would appreciate hearing from companies that may be affected by this policy change. For more information and follow up, please contact Ms. Vivian Cai, vcai@euccc.com.cn.