China to Lower Some Import and Export Tariffs in 2016

December 17, 2015 -- The Chinese Ministry of Finance (MOF) has announced adjustments in certain import and export tariffs effective 1 January 2016.

Import tariffs for traction converters of high-speed electric locomotives, picturing module of video cameras, motor controller assembly used in pure electric or hybrid electric vehicles, free-chrome tanning agent, cattle and mutton fat and other commodities will be reduced by way of implementing temporary tariff rates. The move aims to encourage innovation, optimization and upgrading of industrial structure, as well as boosting imports of advanced equipment, key parts and components, and energy materials.

Meanwhile, to meet the needs of consumption upgrading, MOF will moderately expand the scope of daily consumer goods enjoying tax reduction in 2016. It will cut import duties on goods with relatively high tax rate and elasticity of demand including bags and luggage items, clothing, scarves, blankets, vacuum cups and sunglasses by way of implementing temporary tariff rates. In addition, the ministry will cancel the export tariffs on phosphoric acid, ammonia, ammonia water and other commodities, and appropriately lower the export tariffs for pig iron, billet and other commodities.