China has reduced the import value-added tax (VAT) on 16 agricultural products, including refined and crude sunflower oil as well as refined rapeseed oil. The decision was introduced by the General Administration of Customs of China (GACC) and is aimed at lowering import costs for key agri-food commodities.
According to a report by the United States Department of Agriculture (USDA), the new measure took effect on February 2, cutting VAT from 13% to 9% for most of the listed products. The move is expected to support China’s domestic edible oil market and processing sector.
A new 10-digit tariff line was created specifically for refined sunflower oil, allowing the product to clear customs at the reduced 9% VAT rate. Previously, it was classified under a broader HS code subject to the higher 13% tax rate.
The updated VAT policy also covers crude sunflower oil, rice bran oil, fennel oil, walnut oil, peppercorn oil, apricot kernel oil, grapeseed oil, peony seed oil, as well as vegetable shortenings and microbial fats and oils. However, the Foreign Agricultural Service (FAS) noted that US agricultural products remain subject to additional retaliatory tariffs despite the VAT reduction.
