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Import tax on auto parts to be lifted
(CRI)
Updated: 2005-02-06 14:00

Import tax on some car parts may be tripled to 30 percent of the price, from the current level of ten.

China's Ministry of Commerce says it has decided to impose import duties on auto parts instead of the complete vehicle.

These higher duties will apply to the car body, engines, chassis, variable transmission, turn-around and trigging systems.

Ministry officials say the new tax accords with international convention and is a helpful way to prevent tax losses caused by autos assembled with imported parts.

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