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Industry News - End to car component tariffs could signal jump in Chinese imports
28 July 2008
Industry News - End to car component tariffs could signal jump in Chinese imports
WTO has confirmed its ruling against China's tariffs on car parts, opening up the possibility of increased imports and resulting business for international automotive sector logistics providers. China has maintained a tariff regime of around 10-25% on components imported for use in assembly plants located in that country. That system was designed to prevent the use of 'complete knock-down' kits being imported by the big global vehicle manufacturers, which also face a 25% tariff on the import of complete vehicles. In the recent past, locally-manufactured components were often of poor quality and the logistics between component supplier and the vehicle manufacturer's assembly plant were chaotic.
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