Chinese Rubber Association Seeks Lower Import Tax
On 22 March the China Rubber Industry Association proposed a cut in import taxes for natural rubber and a build-up in strategic reserves as a way of protecting the sector from price swings. Chairman Ju Hongzhen told Reuters it wanted import tariffs below 12 per cent as higher rubber prices were squeezing margins at tyre makers. Importers of natural rubber now have to pay either a 20 per cent import tax or a flat tax of 2,600 yuan a tonne.