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Your Global Turnkey Cosmetic Packaging Manufacturing Partner-LISSON

Tax cuts down the luxury ordinary people still can't afford to injury

Price seems to be synchronous with tax cuts to reduce, but the high-end brands is staged an 'away I long' inverse drama. Lower tariffs, can only hope to reduce the price on the low-end market? With China's Ministry of Commerce said it would further reduce the import tariffs on month, many people will be the ultimate goal on the terminal market prices, must be the wave of the tax reduction will inevitably lead to big price cuts of end products. The fact, however, was a disappointment. The lower taxes mainly in cosmetics and high-grade alcohol, tobacco, and other luxury takes the lead in execution, but moves only adjust the import tariffs on luxury goods, and it is very difficult and greatly reduce the price of luxury goods. Lower import tariffs, designed to keep purchasing power trapped in mainland, reduce outflow, so as to promote national economic development. In recent years because of limited by high import tariffs, many people choose the high-grade consumer goods to overseas procurement prices are lower, ultimately resulting in a decline in domestic purchasing power, economic drain seriously. Domestic and foreign large price drop is the most main reason to cause the outflow of purchasing power, the purchasing power of outflow especially to watch, clothing, cosmetics, bags and other high-end brand consumption is given priority to. Although lower import tariffs can stimulate the rise in domestic purchasing power, but compared with the overseas purchasing cheaper, there are still % higher than that of domestic price gap, domestic high-end consumption still not everyone will be able to pay for its. Visible tax cuts, also will not let every ordinary common people to be able to let the brand become a status symbol. Editor: yuan

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