10 Jan 2019
China Adjusts Import Duty for Key Technological Equipment
As of 1 January this year, companies importing items required for the manufacture of certain state-prioritised products will be exempt from customs duties and import value-added tax. From the same date, however, new import duties have been introduced for certain varieties of power generation and transmission equipment.
The changes were announced on 14 November 2018 by the Ministry of Finance, the National Development and Reform Commission, the Ministry of Industry and Information Technology and a number of other government ministries in a jointly-issued circular.
Among the key points of the circular were the following:
- From 1 January 2019, qualified domestic enterprises importing goods listed in the Catalogue of Key Components and Raw Materials Imported for Key Technological Equipment and Products (2018 revision) (Appendix II of the joint circular) for manufacturing equipment or products listed in the Catalogue of State-Encouraged Key Technological Equipment and Products (2018 revision) (Appendix I of the joint circular) will be exempt from customs duties and import value-added tax.
- The Catalogue of Imported Key Technological Equipment and Products Not Eligible for Tax Exemption (2018 revision) also came into effect as of 1 January 2019. In line with this, import duties will be levied on certain imported items, including large-scale, clean and efficient power-generation equipment and super/ultra high voltage power transmission and transformation equipment.
For further details (in Chinese), please access the following link: