China imposes 10% export tax on hardwood flooring

Model: | Date:2010-04-29

On 27 October 2006, China’s State Council Tariff Committee released a new policy on import and export taxes, USDA reported.

According to the new policy, solid wood flooring [HS Codes: 44091010 (Coniferous strips (blocks) for parquet flooring, not assembled) and 44092019 (Non-coniferous strips (blocks) for parquet flooring, not assembled)], several other wood products and more than a hundred other tariff categories are subject to a 10% export, effective 1 November 2006.

Although solid wood flooring is eligible for VAT and duty free imported raw material, industry sources indicated that China’s solid wood flooring industry was in a difficult financial position.

Analysts believe that competitive factors would eliminate some small solid wood flooring manufacturers and that other processors would seek a more diverse product mix (laminated wood flooring).

China’s solid wood flooring raw material is mainly sourced from South America, Russia and Asia.