The import tariff of Swiss watches will be reduced or exempted, but you need to pay VAT (17%) and consumption tax (20%) again.
Related documents on import tariff reduction for Swiss watches:
I. From July 1, 2014, the China-Switzerland Free Trade Agreement (CSFTA) came into force.
According to the agreement, China will eventually implement zero tariff on 84.2% of Swiss exports, and reduce the tariff on some other products. Statistics show that Switzerland's exports to China are mainly machinery, watches and clocks and parts, and pharmaceuticals, with watches in particular enjoying a world-wide reputation.
Two, the 22nd meeting of the Standing Committee of the 12th National People's Congress on the 3rd to consider and approve the "People's Republic of China *** and China's accession to the World Trade Organization tariffs concessions table amendment". Accordingly, China will begin in the near future to 201 items of information technology products imported from members of the World Trade Organization to gradually reduce and eventually eliminate tariffs.
These products include information and communication products, semiconductors and their production equipment, audio-visual products, medical devices, instruments and meters, etc., of which the import tariffs for most of the products will be reduced to zero through three or five years, and those for a small number of products will be reduced to zero through seven years.
Extended information:
China's import of watches tariff adjustment process:
1, in 1981, China's imports of mechanical watches tariffs are 180%, quartz electronic watches import tariffs are 110%.
2, 20 years, after a number of downward adjustments, now imported mechanical watches, electronic watches tariffs are reduced to less than 20%, and mechanical watches, quartz watches tariff difference in about 2%.
3, the current domestic tariff rate for imported watches is in the range of 11%-20%, while the tariff rate of Hong Kong and Macau is zero, the import tariff rate of Taiwan watches is 3%, the import tariff rate of Singapore watches is 7%, and the import tariff rate of Thailand watches is 5%,
It should be noted that:
Watch import tariffs can be reduced to zero, will be conducive to reducing the price difference between domestic imports of Swiss watches and other regions, but the price composition of imported watches is affected by a number of factors, tariffs are only a part of the tariffs down to zero does not mean that the difference in price immediately narrowed to zero.
Taking Hong Kong and the mainland as an example, disregarding the difference in pricing policies between the two places, the same piece of watch, even if the tariff is reduced to zero, the mainland still needs to pay value-added tax (17%) and consumption tax (20%), while Hong Kong does not need any.
Assuming that tariffs are reduced to zero, a purchase price of 7,000 yuan, the terminal price of 10,000 yuan (excluding VAT) of the watch, the brand less to pay 412.5 yuan in taxes.
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