Vietnam will cut import tariffs on Chinese automobiles to lower rates than it imposes on other countries’ products, local media quoted the source from the Ministry of Finance’s as saying.
The preferential tax reduction is conforming to the ASEAN-China Trade Agreement, it said.
Vietnam will cut import duties on sedans from China to 50 per cent instead of the 90 per cent rate imposed on cars from other countries.
This tariff rate is also subjected to snowmobiles, golf carts, small racing cars and trucks weighing less than 24 tons, including loads.
Trucks weighing over six tons to less than 10 tons will be imposed a 55 per cent import tax rate. Meanwhile, trucks of 10-20 tons are levied a 25 per cent import tariff.
Automobiles with a total weight of over 24 tons for refuse collection, concrete transportation, cement transportation, mobile dynamite preparation and other special purposes will enjoy a 10 per cent tax rate. Meanwhile, autos for road cleaning or mud sucking, mobile clinics and X-ray trucks are taxed 5 per cent.
Vietnam will remove all tax on cranes and fire engines.
However, the 90 per cent import tax will remain on vans, pickups, common trucks, three-wheeled light trucks with loads of under 350kg, and trucks weighing under five tons from China.
Recently, China’s Lifan Group announced it would export cheap sedans to Vietnam in August, threatening the market shares of existing carmakers in Vietnam.
VnExpress
Vietnamese
