Another reason for our Chinese friends to celebrate as China officially declares a 10% reduction of import tariffs on computers, digital cameras, and other electronic equipment.
Financial Tech Spotlight reports that China’s Ministry of Finance (MOF) announced to cut import tariffs on “information technology products,” which includes computers, storage devices, digital cameras, and its peripherals, parts and accessories, to 10 percent from the original 20 percent. This is China’s latest effort to increase imports and boost domestic consumption demand.
Although the reduction of import tariff does not necessarily translate to a direct discount on the price of electronics in China, it entails a lot of positive effects such as encouraging manufacturers and distributors to bring in imported goods to the country. This also aims to curb smuggling and circulating of goods in the gray market as this will allow for retailers to sell at a more competitive price while keeping a healthy profit margin.
According to MOF, the decision has been approved by the State Council and has been in effect since January 27, 2011.