Expect prices on imported diapers, cosmetics, clothes and shoes to drop next month as the Ministry of Finance will slash import taxes on a number of imported goods categories June 1 in a boost to stimulate domestic consumption.
The ministry is specifically targeting local Chinese consumers, many of whom make massive purchases while traveling abroad to avoid the locall prices inflated due to heavy import taxes.
Here’s a chart of the categories that are having their import taxes slashed:
Though the policy takes effect June 1, there’s no word if and when the savings will be passed on to consumers.
But given the preponderance of malls and online stores in Beijing, don’t expect to have to wait too long to see a drop in prices.
Let’s only hope this is the tip of the iceberg; we’d love to see the prices of other imported items such as denim jeans, cheese, iPhones, and automobiles return from the stratosphere where they are firmly parked now.