Luxury Tariffs Cut By 2%-15% Or So, Chongqing Buyers Said The Impact

Import duties

It includes tariffs on some medium and high grade commodities.

In fact, the so-called middle and high grade commodities are commonly said.

It is hard to decide whether the price of the products will be reduced after the tariff is lowered in the luxury goods stores in the city.

Consumers believe that the mainland is even more expensive than luxury goods, so it is hard for them to return.

However, the sellers of luxury goods abroad indicate that tax reduction is not a threat to their business.

Luxury goods in China cost more than 30% above their origin.

Because of the higher tariffs, the price of international famous brand consumer goods has always been high in mainland China.

Therefore, in recent years, more and more Chinese people have gone abroad to buy luxury goods.

In order to convert overseas consumption into domestic purchase, the state decided to lower the import tariff of luxury goods.

Wang Yong, Secretary General of the brand China industry alliance, said that the import tariffs of luxury goods in China are generally between 15% and 25%, while cosmetics and liquor are up to 50%.

Besides, luxury stores also have customs inspection, shop inspection, value-added tax, etc.

At present, the demand for luxury goods in mainland China is much higher than that in Europe and the United States.

Related data show that as of the end of last year, Greater China accounted for about 15% of global luxury sales.

CLSA forecasts that the proportion will jump to 44% by 2020.

After the tax falls, does the consumption come back? Some high-end consumers say no.

"I will not go back to Chongqing to buy anything for a small price."

Yesterday, Ms. Tan, who lives in the Golden Island Garden in Yubei District, told the Chongqing evening news reporter that even if the tariff dropped, the price of luxury goods in Chongqing would be much higher than that in the same brand and Hong Kong and Macau.

For example, she said, a big bag would sell for more than 10 thousand yuan in Chongqing, but only six thousand or seven thousand in Hongkong.

And a Swiss watch, which she bought in Macao for more than 20 thousand yuan, returned to Chongqing and found that the bid price was more than 30 thousand yuan.

The same brand name glasses, she bought in Macao more than 1000 yuan, and Chongqing shopping malls in the price of more than 3000 yuan.

"Luxury goods in Chongqing are indeed expensive."

None of the high-end consumers who interviewed by the Chongqing evening news reporter did not feel this way.

They say that even if Chongqing's luxury goods are depreciate at a lower tariff rate, they will still not be cheap, and they will still not buy it in Chongqing.

"Besides, shopping and bringing home abroad is not only cheap, but also more memorable."

Is there any reduction in price after tax?

"The tariff will drop, and our retail price will not change."

Yesterday, Mr. Chen, head of a watch and jewellery shop in Chongqing, told an interview with the Chongqing evening news reporter that the watches and jewellery they run are all unified prices nationwide.

Although import tariffs will drop, the drop is too small, which has little effect on the price of luxury goods in the shops.

"Since the tariff is going to drop, the cosmetics, clothing and bags will definitely be reduced."

Ms. Li, director of a large shopping mall in Guanyin Bridge, is quite different from Mr. Chen.

She said that the price of high-end luxury goods in Chongqing is at least 20% to 30% higher than that in Hong Kong and Macao, mainly because tariffs are too high.

If tariffs fall, profits should be given to customers.

Half of the luxury goods shops surveyed said that tariffs would drop, and prices would follow suit. 1/3 of the shops said they would not reduce their prices, but some luxury stores in Sun Moon square said they could not disclose.

An interview with the head of the Chongqing Municipal Commission of Commerce said that luxury goods in the market will be reduced by tariff reduction.

But with the decline of luxury goods prices, there will be a shopping backwash in Chongqing.

Whether the purchasing agent is shrinking after tax reduction or not?

On the issue of tariff reduction on imported luxury goods, online overseas purchasing sellers do not seem to be worried.

Because in their view, even so, they are still cheaper than the domestic price.

Online search shows that luxury goods purchased abroad are mainly concentrated on women's bags and watches.

Chongqing, Taobao Han pack overseas purchasing seller, "Yue Yue Han Yi" said: "the reduction of import tariffs depends on how much it can be reduced.

As long as there is enough gap between the final retail price and the foreign retail price, we still have the market.

For example, clothing and brand overseas purchasing is at least 20% to 40% cheaper than that in China, and tariffs should not be reduced so much? "Li Qiang, member of Taobao business alliance of Chongqing, said: even if the tariff is reduced by 15%, the purchasing price of many luxuries will be at least 20% above domestic cost.

Comparing the overseas and domestic prices of some luxury goods, we found that the average overseas purchasing price of women's bags was 30% to 40% cheaper, the average overseas watches were 25% to 40% cheaper, and the average overseas purchasing price of cosmetics was 30% to 50%.