Import Tariffs On Clothing Are Dropping Sharply Now, And Domestic Brand Competitiveness Needs To Be Improved.

On May 29th, the three departments of the Ministry of finance, the General Administration of customs and the Ministry of Commerce issued a series of policy measures, such as tax reduction, tax adjustment, tax exemption, tax rebate and so on, at the regular briefing held by the Information Office of the State Council.

The first tax reduction policy will be implemented from today (June 1st).

The import tariff rate of daily consumer goods, such as skin care products, diapers and so on, has been reduced by an average of more than 50%.

Bai Ming, deputy director of the international market research department of the Ministry of Commerce, told the daily economic news reporter that measures such as tariff reduction can, to a certain extent, narrow the huge gap between home and abroad and promote the return of overseas consumption.

In addition, improving residents' income and improving social security measures to boost consumer confidence and cultivate their own brand influence are also important aspects of boosting consumption.

Tax bonus boosted consumer market

In 2014, China realized the total retail sales of consumer goods by 26 trillion and 200 billion yuan. In the same year, the number of outbound tourists exceeded 100 million, and overseas consumption exceeded one trillion yuan for the first time.

Zhao Ping, deputy director of the Consumer Economics Research Institute of the Ministry of Commerce, said that if 1/3 or 1/2 consumption returns, it will stimulate social consumption growth by 1 to 2 percentage points.

In this case, boosting domestic consumption demand has become the focus of the State Council's attention.

In April 28th, the Executive Council of the State Council decided that from June 1st this year, China will reduce the import tariff rate of consumer goods such as clothing, footwear, skin care products, diapers and so on, with an average decline of more than 50%.

Shi Yaobin, Vice Minister of finance, said that through the pilot of the 14 tariff items to reduce import tariffs, relevant departments will assess the effect and market effect of policies on meeting the daily needs of the people, and study the next tax reduction list.

In addition to lowering tariffs, the State Council's measures include adjusting the scope of consumption tax.

It is understood that at present, China only levying excise tax on consumer goods such as refined oil, automobiles, cigarettes, liquor, precious jewelry, jewellery, golf and ball sets, high-end watches, yachts, cosmetics and so on, 15 categories of three items.

Duty free shops at entry ports will increase

Shi Yaobin said that the next step is to integrate some high-end consumer goods and high-end services into the scope of consumption tax. Taking into account the factors such as the increase of residents' consumption level and changes in consumption habits, the scope of cosmetics collection will be adjusted according to the direction of consumption tax reform.

In addition, more duty-free shops will be set up in China.

Lu Peijun, deputy director of the General Administration of customs, said that China will resume and increase the duty free shops at the entry ports according to the wishes of enterprises and the layout of ports.

Shi Yaobin said that according to the volume of passengers entering and leaving the territory, combined with the regional layout, we are going to add a number of airport duty free shops, and strengthen the quota management of imported goods. We should reasonably expand the tax exempt varieties that our citizens need more, increase the duty free shopping volume appropriately, and facilitate consumers to buy foreign products at duty free shops at the ports.

The specific plan is being studied urgently.

In addition, Shi Yaobin said that measures will be taken to attract foreign tourists to buy and consume in China, and promote the export of products with international competitiveness.

"Promoting the implementation of tax refund policy for overseas passengers shopping."

Shi Yaobin said that at present, the General Administration of customs and the State Administration of taxation are drafting operational documents separately.

Domestic brand competitiveness needs improvement

In Bai Ming's view, a package of "expanding consumption" policy includes reducing tariffs, reducing consumption costs, expanding consumption scope, and helping to keep the main force of consumption in the domestic market.

But at the same time, he pointed out that while expanding consumption, it is very important to increase the consumption power of the common people and expand the source of people's income so as to stabilize consumption expectations.

In order to boost consumption, Bai Ming believes that we should make consumption channels more open, further cultivate new consumption hotspots, provide personalized and diversified consumer products, and meet the needs of upgrading domestic consumption structure.

In addition, in his view, promoting consumer reflow, policy guidance is, on the one hand, to a certain extent, can not be separated from consumers' trust and confidence in their products, and should enhance the competitiveness of domestic brands.

Zhao Ping is also in favor of this. She said that the red envelope policy is a good thing for the consumer market, but for domestic brands, it is more necessary to make use of this opportunity to enhance the cultivation of quality and brand.

Zhao Ping believes that this is actually a "catfish effect". The quality of imported products may not be much different from that of domestic products.

Degree,

The influence itself has a unique competitive advantage, and the brand image has gained a higher evaluation in the minds of consumers. This is a great need for domestic enterprises to learn and draw lessons from.

"According to domestic consumption demand, the Chinese government will take corresponding measures to further improve the satisfaction of domestic consumption demand."

Shi Yaobin pointed out that this includes both increasing imports and training domestic brands.

Some of these measures have been introduced and some are being studied.

High-end consumer goods or consumption tax

It is reported that the next step is to integrate some high-end consumer goods and high-end services into the scope of consumption tax. At the same time, we will adjust the scope of the collection of cosmetics according to the direction of consumption tax reform.

We should reasonably expand the tax exempt varieties that our citizens need more, increase the duty free shopping volume moderately, and facilitate consumers to buy foreign products at duty free shops at the ports.