Takehome:
- New safeguard measures will impose duty on imported sugar for 3 years beginning May 22, 2017.
On May 22, 2017, the Ministry of Commerce of China announced new safeguard measures for imported sugar to buffer the sharp increase in the volume of imported sugar. Duty under safeguard measures will be charged for imported sugar for 3 years, starting from May 22, 2017 to May 21, 2020. However, the rate of duty will decrease each year:
- From May 22, 2017 to May 21, 2018: rate of duty under safeguard measures is 45%.
- From May 22, 2018 to May 21, 2019: rate of duty under safeguard measures is 40%.
- From May 22, 2019 to May 21, 2020: rate of duty under safeguard measures is 35%.
The formula for calculating duty under safeguard measures is:
Duty under safeguard measures = duty paid value x rate of duty under safeguard measures
Sugar here refers to the general term of products that take sucrose as the major ingredient, which includes both raw sugar and commercial sugar.
Products imported from developing countries (districts) with an import quota less than 3% and the total import quota of the country (district) less than 9% will not be subject to this new safeguard measure.