New Value-Added Tax Cut Helps Lowering Wine Import Cost
In order to boost the tightening economy and sustain an economic growth targeted between 6% to 6.5% in 2019 (China achieved 6.8% GDP growth in 2018), with effect from April 1, 2019, China will further decrease the Value-added Tax (VAT) rate from 16% to 13%, this is in shorter than a year since last May, when the VAT was reduced 1% from 17% to 16%. This VAT cut will have slight help to wine importers but very little (if not none) to the end-user wine consumers. Below are the t
Wine Imported to China Dropped in Volume – 2018 Data
The momentum of Chinese imported wine business experienced a blow due to political and economic factors (especially the Sino-US trade war). This was the first-time slow down since 2014 (Chinese government imposed austerity measure and anti-corruption campaign in 2013). Almost all sectors dropped in volume (from 4% to 11%), and thanks to the increasing average unit price which helped making a slight growth (2.11%) to the total import to US$2.856 billion (from US$2.797 billion