Instead of raising taxes to import raw materials PP, one of the important raw material of plastic industry, from 0% to 3% since the beginning of 2014, the Ministry of Finance has agreed to lower the rate fell hard for the now.
Huynh Thi My, Secretary General of Vietnam Plastics Association (VPA) said the Ministry of Finance has approved the association's proposed roadmap for increasing import duty polypropylene.
Specifically, the import duty this year is 1%, 2% in 2015 and 3% in 2016. This rate replaces the original message of the Ministry of Finance, raise taxes from 0% to 3% from May 9/2013.
With the change in the tax rate above, VPA growth forecast imports of plastic industry in 2014 is 13%.
This is the 2nd consecutive year with growth plastics imports after collapsing in 2012. The tariff change will entail changes in the market structure of raw material supply.
PP is one of three main materials (PP, PE, PVC / PET) for production of plastics. Domestic supply of resin only reached 150,000 tons, while the annual demand of 750,000 tons of Vietnam, the annual enterprise to import 600,000 tonnes. Therefore, the amount of tax corresponding to an increase of 3% of the original was great.
