Import tax slashed to raise domestic spending
China cut the import taxes on some consumer goods by an average of more than 50 percent to encourage people to spend at home rather than abroad.
The Ministry of Finance said it will lower import taxes on products such as Western-style suits and fur garments, boots, disposable diapers and skin care products starting on June 1. The measure is intended to boost imports, promote domestic consumption and satisfy strong consumer demand for certain imported products.
The decision comes after the State Council said in April that it was considering reducing import tariffs on some consumer goods to stoke domestic spending.
Record numbers of middleclass Chinese are spending heavily overseas or buying cheaper consumer products from foreign websites through overseas shopping agents known as daigou.