The African swine fever in pig herds
Beijing’s announcement on Monday said tariffs on frozen pork will drop from 12 per cent to 8 per cent from January 1, which may help ease the pressure on the country’s depleted pork supply.
Rising inflation feeds economic woes
A rising inflation in food prices in China feeds economic worries. China’s inflation rate rose 1.6 percent in September. The consumer price index, which measures changes in what consumers pay for goods and services, has been edging higher mainly due to higher vegetable and pork prices.
A fish market for pork
In the image: The photo taken on December 19, 2019 (credits: AFP) shows people trying to buy discounted pork at a newly-opened supermarket in Binzhou, in China’s eastern Shandong Province. The supermarket offered 3 tonnes of pork at discounted prices as a promotion.
A step towards reviving economy
Next year January onwards, China is set to implement temporary import tariffs, which are lower than the most-favoured-nation tariffs, on more than 850 products.
The tariff changes were made to “increase imports of products facing a relative domestic shortage, or foreign speciality goods for everyday consumption,” the ministry said in a statement on its website.
Easing the trade war
Moreover, China had eventually agreed to buy $200 billion worth of additional American goods and services over the next two years as part of the Phase 1 trade pact to be signed in early January, said U.S. Trade Representative Robert Lighthizer. If the purchases are made, they would represent a huge jump in U.S. exports to China.
Multiple steps being taken
The Cabinet also promised to give private companies equal treatment with state-owned enterprises in more industries. The statement gave no indication whether the changes apply equally to foreign companies.
Steel to avocado; tariffs to go down
Besides that, the tariff rate for frozen avocado was cut to 7% from the most-favoured-nation duty of 30%.
Beijing has said the increased purchases are in line with the growing need of the Chinese people, as the country opens its markets further to global trade.Even pharmaceuticals and medical products including asthma and diabetes medications will be set at zero tariff, while duties on some wood and paper products will be lowered too.