When Will Car Tariffs Be Cancelled?
1 Answers
Import car tariffs will not be cancelled. Reducing import car tariffs has the following benefits: Promoting the development of the domestic automotive industry: After multiple stages of development, the domestic automotive industry has reached a level where it can further integrate and compete internationally. It is time to relax protective mechanisms, encourage competition between domestic and foreign automakers, and accelerate structural adjustments and transformations. This will drive better development of China's automotive industry under more open conditions. Promoting supply-side structural reform in the automotive industry: By lowering tariffs this time, competition in the domestic automotive market will undoubtedly intensify. For domestic automakers, the pressure will significantly increase, accelerating the transformation and upgrading of many independent brands and promoting supply-side structural reform in the automotive industry. Stimulating consumption: With the deepening of reform and opening-up, reducing import car tariffs will help expand imports and domestic demand while meeting the needs of domestic consumption upgrades. The reduction in terminal prices of imported cars will inevitably pose a threat to joint-venture and independent brands in the same segment. Therefore, lowering prices and improving product quality will be the way forward for joint-venture and independent automakers, which is clearly more beneficial for consumers.
