Raw material import tariff reduction policy

In order to reduce the burden on textile companies, the Customs Tariff Commission of the State Council has issued a notice recently that from January 1, 2013, China will impose a temporary import tax rate for imports of more than 780 imported goods that is lower than the MFN tariff rate. The import tariff rate for down and feathers will be reduced from 10% to 5%, and linen staple fiber and waste linen will be reduced from 4% to 1%.

Yao Xiaoman, chairman of the China Feather and Down Industry Association, said that the China Feather & Downing Industry Association has always stood for the interests of the industry as a whole, and called for a reduction in import tariffs for feathers and feathers. At present, China, South Korea, and Vietnam are the countries and regions where feathers are imported. Southeast Asia and China Taiwan region. These countries and regions have imposed zero-tariff treatment on the import of feather raw materials, which has become a major factor in the unfair competition in China's feather industry.

China is the world’s largest producer and exporter of down products and products, and also the largest consumer country. China's down products have accounted for 80% of the international market. According to data from the General Administration of Customs, China’s export earnings reached US$3.19 billion in 2011, a year-on-year increase of 42%, ranking first in the world. With the growth of the national economy and the continuous improvement of people’s living standards, the market for down products in China is also expanding.

With the increase in the export volume of down products and domestic products and the expansion of the domestic market, domestic down materials have been unable to meet the production needs of enterprises, and large quantities of imported feather materials are needed to supplement production gaps. Domestic feather prices have also been rising with the increase in market demand. At present, China's imported feather raw materials need to levy an import tariff of 10% and a value-added tax of 13%. These tax burdens have led to an increase in the cost of imported feather raw materials in China, resulting in a decline in the export competitiveness of down products, and a decrease in orders and profits. The normal operation and development of the industry have been seriously affected.

Yao Xiaoman believes that this time the downward adjustment of import tariffs on feathered raw materials will help increase the international competitiveness of China's down companies, help curb the high price fluctuations in down materials, and help increase confidence in product exports. Under the opportunity to reduce import tariffs, Chinese companies should strengthen the brand awareness of enterprises and actively create a good corporate image. In addition, it is necessary to strengthen product promotion and publicity efforts to expand sales channels to achieve sales growth.

Yao Xiaoman emphasized that the overall level of China's import tariffs is lower than that of developing countries, but it is still higher than that of developed countries. In the future, there will be room and potential for further reduction. The feather industry is also looking forward to importing zero tariffs.

According to Xu Jixiang, president of the Chinese Mash Industry Association, in order to reduce the burden on flax textile companies and increase profits, the China Mash Industry Association actively sought tariff reduction tariffs on flax textile raw materials from the Customs Tariff Commission of the State Council, the Ministry of Finance, and the Ministry of Agriculture in recent years. China is a big country in the processing of flax fibers, but domestic flax can not meet the production and processing needs of enterprises in terms of quality and quantity. Therefore, 80% of China's processed flax raw materials need to be imported from France, Belgium, the Netherlands, and other countries. According to customs data, in 2011, China imported 140,000 tons of linen. From January to October this year, 82,000 tons of flax raw materials were imported, of which 63,000 tons were made into hemp, 19,000 tons of staple fiber and waste hemp.

In the past, due to the high tariff rate on import of flax, in order to reduce the cost burden on enterprises, the China Machining Industry Association and related companies have appealed to the relevant state departments since 2010 and hope to further reduce tariffs. The reduction of the tariff of linen staple fiber to 1% is also a result of the joint efforts of the China Hemp Textile Industry Association and Hemp Spinning Enterprises. The import tariff has been adjusted from high to low: the import duty of linen long fiber dropped from 6% in 2010 to 3%. %, from 3% in 2012 to 1%; import tariffs on linen staples dropped from 6% in 2010 to 4%, from 4% in 2013 to 1%.

Wang Yutie, general manager of the Harbin flax plant, said that tax cuts are a good thing for linen textile companies. Last year, on the basis of a 1% reduction in the length of linen long fibers, a reduction in the tax rate for staple fibers next year can further reduce the burden on companies. As a company that buys flax yarn, Zhang Junjie, chairman of Aijia Flax Textile Textile Co., Ltd., said that compared with 2011, the price of flax yarn has declined in 2012. It is believed that with the reduction of the tariff of flax staples, it will benefit linen. The stable yarn prices are more conducive to expanding the domestic market for linen textile products.