36549
Car Import Tariffs Need Reform
Economy, Auto

Car Import Tariffs Need Reform

Iran's Customs Administration has proposed that car import tariffs should be calculated based on engine size and vehicle value.  
According to the head of ICA's Tariff Evaluation Office, car import tariffs are currently calculated solely based on engine size, Fars News Agency reported.
Adbolreza Gholami added that ICA has proposed that for the import of passenger cars, the government should factor in both the engine size and the overall worth of the vehicle.
According to the official, the Cabinet has not announced a final ruling on the proposition yet, but the Ministry of Industries, Mining and Trade is open to the idea.
Gholami noted that import tariffs should logically differ for two cars that cost $8,000 and $50 million respectively, although both have 2-liter engines. Other factors that should be looked into are car models and country of production.
"The higher trade profit rates over the past few years have only created a shadow economy" he said, adding that to support local manufacturing units and industries, it is necessary to reduce import tariffs.
Shadow economy refers to illicit economic activity existing alongside the official economy, such as black market transactions and undeclared work.
"High tariffs only result in increasing amounts of smuggled goods entering the country," he warned.
On Monday, Mohammad Reza Modoudi, the head of Iran's Trade Promotion Organization, told Mehr News Agency that vehicle import tariffs of 55% have remained unchanged for the coming year and officially the import ban on vehicles with engines larger than 2.5 liters remains.        

 

Short URL : http://goo.gl/t7WVAM
  1. http://goo.gl/tURTz3
  • http://goo.gl/lRHmhT
  • http://goo.gl/xgburw
  • http://goo.gl/asTgMq
  • http://goo.gl/iw1HuQ

You can also read ...

Italy's Ansaldo Set to Produce Power From Iran's South Pars Gas Flares
Italy's Ansaldo Energia signed a memorandum of understanding...
Fate of Cryptocurrency in Iran Hangs in Balance
Virtual currencies are slowly but steadily gaining traction...
IRISL Returns to the Fold of Int’l Shipping Giants
The Islamic Republic of Iran Shipping Lines plans to replace...
Dairy Exports to Hit $1b
Iran is one of the top milk producers and has ambitious plans...
1st Currency ETF  in the Pipeline
The Iranian capital market’s first foreign currency exchange-...
Money and Credit Council Approves Liquidity Risk Management Rules
Money and Credit Council, a top financial decision-making body...
84% Rise in Rice Imports
More than 1.05 million tons of semi and wholly milled rice...
Iran Insurance Growth at 20%
The collective figure of Iranian insurance companies’ premiums...

Trending

Googleplus