China to eliminate all tariffs on Least Developed Countries
China will eliminate tariffs for goods from countries classified as the world’s least developed starting in December, a move expected to lower shipping costs from parts of Africa and Asia and give Beijing more sway in global trade. The zero-tariff treatment for the group of mostly small, non-industrialized countries poses little threat to China’s manufacturing-intensive economy, analysts said, and gives Beijing an edge in emerging markets as the US and Europe attempt to stem the flow of Chinese goods into their own backyards. The scheme will cover all countries the United Nations considers “least developed” that have diplomatic ties to China, the official Xinhua News Agency reported, citing the Customs Tariff Commission of the State Council. Of the 43 countries that stand to benefit, 33 are in Africa. The others are Yemen in the Middle East, Kiribati and the Solomon Islands in the South Pacific and Afghanistan, Bangladesh, Cambodia, Laos, Myanmar, Nepal and East Timor – all on the Asian continent. The tariff scheme, set to take effect on December 1, will apply to every import category, the commission said. The removal of tariffs means these countries would pay less to ship crops, fruits, seafood or commodities to China – an enormous market – and exporters would in turn save on the transport of household goods, smartphones and electric vehicles to countries that reciprocate.
Source: myNEWS