According to The Conversation on March 10, the Australian government will cancel import tariffs on nearly 500 items from July 1. Related products include toothbrushes, hand tools, refrigerators, dishwashers, clothing, and hygiene products. The current tariff on such products is 5%. Budget costs have not yet been announced, in part because the plan is subject to consultation.
The Australian government said it was the “biggest unilateral tariff reform in 20 years” and praised it for boosting productivity. The government said in a statement: The new tariff measures will reduce compliance costs, reduce red tape, make doing business easier and increase productivity. “The statement also said that after signing a series of trade agreements, most goods are now imported duty-free. This means that companies need to spend time and money to prove that their imported products are eligible for existing tariff preferences and concessions, and they Compliance costs are often passed on to consumers.
Sources say the new tariff measures will eliminate 14% of Australia’s total tariffs, streamlining annual trade worth about A$8.5 billion. It is estimated that businesses will save more than $30 million in compliance costs annually.
It is worth noting that this tariff reduction mainly targets the so-called “nuisance tariffs” on imports. The 2020 Australian Productivity Commission report defined nuisance tariffs as tariffs that raise little revenue, provide minimal benefit to producers, but impose compliance burdens. The statement said the removal of these tariffs would benefit businesses without adversely affecting Australian industry or restricting Australia’s participation in sensitive free trade agreement negotiations. The administrative costs of imposing these tariffs are said to be $11 million to $20 million annually.
The Australian Government has listed the following examples of products that would see the 5% tariff removed, along with the annual revenue generated by the current tariff:
A washing machine with an annual import volume of more than US$490 million generates annual revenue of less than US$140,000.
Imported refrigerators and freezers valued at more than $668 million, generating revenue of less than $28,000
Importing tires for agricultural vehicles, tractors or other machinery valued at more than $102 million, generating revenue of less than $10,000
Imported protective shoes worth US$160 million, generating revenue of less than US$112,000
Imported toothbrushes valued at more than $84 million, generating revenue of less than $22,000
Imported menstrual and sanitary products worth more than $211 million, generating revenue of less than $3 million
Imported more than US$160,000 of X-ray film and generated revenue of less than US$200
Import $100,000 worth of suedes and generate less than $1,000 in revenue
The import value of pajamas is nearly 108 million U.S. dollars, and the revenue is less than 120,000 U.S. dollars.
Fishing reels with an import value of more than $50 million and revenue of less than $140,000
Rollercoasters with over $16 million in imports and less than $40,000 in revenue
Dodgem vehicles with an import value of more than US$2 million and a revenue of less than US$15,000
Imported ballpoint pens worth over US$57 million, generating revenue of less than US$95,000
Imported toasters valued at more than $49 million, generating revenue of less than $1,000
Imported electric blankets worth more than $31 million, generating less than $5,000 in revenue
The import volume of bamboo chopsticks exceeds US$3 million, and the revenue generated is less than US$3,000.
The government said consultation on the proposed initial reforms is ongoing and submissions are open on the Treasury website until April 1. The full list of tariff removals will be finalized and provided in the May Budget.
Chinese Ambassador to Australia:
Win-win cooperation is the right choice for China and Australia to respond to global challenges
Xiao Qian, the Chinese Ambassador to Australia, delivered a speech when attending the 2024 Australian Financial Review (AFR) Business Summit in Sydney on the 11th, saying that win-win cooperation is the right choice for China and Australia to respond to global challenges.
When talking about the international situation, Xiao Qian said that the current world is undergoing major changes unseen in a century and is accelerating. Unilateralism and group politics have severely damaged the international system, protectionism and pan-security have impacted the world economy, and new challenges such as artificial intelligence and climate change have emerged one after another. China advocates an equal and orderly world multipolarization and inclusive economic globalization, insists that all countries, big and small, are equal, supports all countries in finding development paths that suit their own national conditions, is committed to solving the problem of imbalanced development between and within countries, and practices true development. Multilateralism.
Regarding working together to address global challenges, Xiao Qian pointed out that China firmly believes that win-win cooperation is the right choice for China and Australia. China and Australia are both important countries in the Asia-Pacific region. Their economic structures are highly complementary and their pragmatic cooperation is mutually beneficial and win-win. In the context of the current international and regional situation, China-Australia cooperation not only serves the common interests of the two countries, but is also conducive to peace, stability and prosperity of the region and the world.
Xiao Qian said that this year marks the 10th anniversary of the establishment of a comprehensive strategic partnership between China and Australia. China is willing to work with Australia to strengthen communication, enhance understanding, strengthen friendly cooperation, and bring more benefits to the two countries and their peoples. According to Australian statistics, the total trade in goods between the two countries reached a record high of more than 300 billion Australian dollars last year, a year-on-year increase of 8.2%. Australia’s trade surplus with China has been for more than 20 consecutive years. Last year’s surplus was 98.5 billion Australian dollars, accounting for nearly 10% of Australia’s foreign trade surplus. 80%. Practical cooperation between China and Australia is very important to both countries.
Xiao Qian believes that although China and Australia have differences in history, political systems, ideologies, etc., their common interests far outweigh their differences, and this is an important foundation for the 50 years of friendly cooperation between the two countries. Both sides should keep an eye on the overall situation, focus on consensus, respect each other’s core interests and major concerns, and manage differences in a proper, mature and wise manner through friendly communication and consultation.
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