China has cut import tariffs on automobiles and consumer goods from July 1

From July 1st, China will cut tariffs on some imported products, including reducing the import tariffs on automobiles and import tariffs on consumer goods. Experts said that lowering tariffs will not only make the people more affordable, but also promote the transformation and upgrading of enterprises, and the global market will also benefit.

From July 1 this year, China will reduce the import tariffs of automobiles by a considerable margin, and reduce the vehicle tariffs of 25% and 20% respectively to 15%, and the tax reduction rates are 40% and 25% respectively; Tariffs fell to 6% and the average tax reduction was 46%. Wang Liusheng, an analyst at China Merchants Securities, said: "From the perspective of the whole vehicle, the amount of parallel imports last year also accounted for about four points of sales, and the vehicle tariffs fell to 15%. Basically, the impact is basically small. Of course, some models may import some increments, but domestically produced vehicles will still be the dominant force in the market. In addition, the decline in parts and components is too large, and in fact, the cost advantage of domestically produced vehicles has been further strengthened. Consumers are definitely good, and it will be good for reducing maintenance and repair costs."

On the same day, China will also reduce the import tariffs on daily consumer goods to a larger extent to better meet the diversified consumer demand of the people.

The products involved in reducing import tariffs include clothing, shoes and hats, household department stores, and cultural and sports goods. The average tax rate has dropped from 15.9% to 7.1%. For household appliances, the average tax rate has dropped from 20.5% to 8%. In food and beverage categories, the average tax rate dropped from 15.2% to 6.9%; in daily chemicals and medical health, the average tax rate fell from 8.4% to 2.9%.

Experts believe that lowering tariffs reduces import costs to a certain extent, and generally helps to reduce the prices of related products in China's domestic market, which is conducive to the expansion of these products in China. Chen Yifeng, general manager of the marketing department of Waigaoqiao International Trade Operation Center Co., Ltd. said: "Our tariff reduction is actually promoting these enterprises. These overseas famous brands have better and faster access to China."

Liu Shangxi, dean of the China Academy of Fiscal Science, believes that lowering tariffs can also stimulate the competition consciousness of Chinese enterprises and promote the production of more quality products. “The reduction of tariffs will produce a squid effect in many industries, and stimulate these domestic brands and production enterprises. Competition, turning this external pressure into an endogenous driving force, prompting them to accelerate transformation and upgrading, speed up research and development, and provide more quality products."

The data shows that China's automobile production and sales have been ranked first in the world for nine consecutive years. The sales volume of automobiles is the sum of the major markets of the United States, Japan, Germany and the United Kingdom, and it is the largest market in the world. The reduced import tariffs for daily consumer goods are also seven times the total number of tax reductions for the previous four tax reductions. China has repeatedly said that the opening of the door will be more and more open, and the expansion of opening up will not only benefit the domestic people, but also bring more opportunities to enterprises in other countries of the world.