Import tax on electronics halved
By Zhu Shenshen |
January 28, 2011, Friday
|
Print Edition
Print Edition
CHINA yesterday halved the import tax on electronic products, including computers and digital cameras, in a move expected to boost the revenue of foreign giants such as Canon and Apple in the world's biggest consumer electronics market.
China cut the tax on computers, video cameras, digital cameras and other IT products from 20 percent to 10 percent, according to a statement on the Ministry of Finance's website.
The new rate means the tax on an iPad, a popular purchase with Chinese tourists returning from abroad, will be reduced from 1,000 yuan (US$151) to 500 yuan.
The move was seen as the latest response from China after President Hu Jintao's visit to the United States last week to wishes expressed about establishing closer bilateral ties and economic cooperation, industry insiders said.
The tax reduction for IT products will help overseas businesses expand their business in China and benefit companies such as Canon, the world's largest camera maker, iPad and iPhone developer Apple and global PC market leader Hewlett-Packard.
But it will also put pressure on Chinese IT firms such as Lenovo, China's No. 1 PC maker, analysts said.
In the third quarter, Lenovo's market share in China was 28.8 percent, more than double Dell's 10 percent and HP's 9.2 percent, the world's top two players, according to research company International Data Corp.
China is the world's biggest user of mobile phones and the Internet, which makes it a huge market for electronics.
Apple's revenue in China increased fourfold year on year in the three months to December 25, accounting for 10 percent of the US-based giant's global revenue, the company said last week.
"Of the BRIC countries (Brazil, Russia, India and China), we identified China as our top priority years ago. And we put enormous energy into China," Tim Cook, Apple's chief operating officer, said.
China cut the tax on computers, video cameras, digital cameras and other IT products from 20 percent to 10 percent, according to a statement on the Ministry of Finance's website.
The new rate means the tax on an iPad, a popular purchase with Chinese tourists returning from abroad, will be reduced from 1,000 yuan (US$151) to 500 yuan.
The move was seen as the latest response from China after President Hu Jintao's visit to the United States last week to wishes expressed about establishing closer bilateral ties and economic cooperation, industry insiders said.
The tax reduction for IT products will help overseas businesses expand their business in China and benefit companies such as Canon, the world's largest camera maker, iPad and iPhone developer Apple and global PC market leader Hewlett-Packard.
But it will also put pressure on Chinese IT firms such as Lenovo, China's No. 1 PC maker, analysts said.
In the third quarter, Lenovo's market share in China was 28.8 percent, more than double Dell's 10 percent and HP's 9.2 percent, the world's top two players, according to research company International Data Corp.
China is the world's biggest user of mobile phones and the Internet, which makes it a huge market for electronics.
Apple's revenue in China increased fourfold year on year in the three months to December 25, accounting for 10 percent of the US-based giant's global revenue, the company said last week.
"Of the BRIC countries (Brazil, Russia, India and China), we identified China as our top priority years ago. And we put enormous energy into China," Tim Cook, Apple's chief operating officer, said.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
