China Scraps Import Tariffs for High-tech Civilian Projects

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Aug. 6 – China recently scrapped import tariffs and value-added taxes on equipment, components and raw materials used in civilian high-tech projects.

According to a circular from the Ministry of Finance and other departments, since July 15, projects that involve the research or development of strategic products or core technologies will be tax exempt from VAT and import tariffs.

Items exempt include core electronics, high-end universal chips, basic software, integrated circuit-manufacturing equipment, new generation wireless mobile communication networks, and new drugs for the prevention and treatment of infectious diseases such as AIDS and hepatitis.

One Response

  • The_Observer says:

    This could be a win-win situation for both China and exporters of goods to her. This also partially answers US criticism about Chinese intellectual property laws. While this doesn’t address China’s government procurement, it effectively lifts tariffs on imports of 4,000 items for the civilian market. That same market is being encouraged by the Chinese government in order to re-balance the economy and it is a very large market indeed. It’s now up to other countries to make it easier for their exporters to sell goods into China.

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