China to stick to WTO commitment: to cut import tariffs on 600 commodities in 2010

17-Dec-09

China will impose low import tariffs on more than 600 commodities in 2010 to meet its World Trade Organisation (WTO) commitment it made upon joining the organization in 2001 as it strives to restructure its economy. With effect from January 1, 2010, import tariffs will be lowered on six commodities, including fresh strawberries. China will temporarily impose low import tariffs on coal, naphtha, natural resources products, key components for optic communications, public health products, consumer products and advanced machines. Import duties for naphtha will be slashed to 1% for next year. Meanwhile, high export tariff will be maintained on energy-intensive and resource products, such as crude oil, rare earths, pulp and billet, the production of which has an adverse impact on the environment. Maintaining high export tariffs will reduce pressure on the appreciation of the yuan, as less exports means less current account surpluses. The adjustment will help the country's industry restructuring by using more foreign resources, encouraging the importing of advanced technologies, and reducing burdens on the environment.