VAT
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China reduced VAT on roundwood and lumber
VAT on some commodities and services has been reduced in order to stimulate the economy and support processing within the country. The measure was applied starting April 01, 2019. VAT on roundwood has been reduced from 11% to 10%, for lumber- from 16% to 13%. It is expected that this measure will spur woodworking enterprises to increase purchases and produce finished products, consequently, revive the market. Logs and lumber imports overview Lumber imports to China fell for two consecutive quarters to reach 5.9 million m3 in the 4Q/18. This matches the pattern from previous years of declining import volumes in the third and fourth quarters of the year. Total imports for 2018 were down 2.3% from 2017 but still the second highest volume on record. Continued uncertainty about the future of the Chinese economy, decade-low GDP growth in the 4Q/18, and reduced investments in... Continue reading
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Italy wants to double vat on wood pellets
The Italian government plans to increase the VAT on wood pellets from a current 10% to 22%. With the new tax raise, additional revenues to Italy's budget are expected to go up to € 96 million per year. Italy is Europe's largest pellet consumer with a current annual consumption rate of 3.5 million tons,. Pellets in Italy are used mainly for heating purposes. The new VAT will bring a considerable price increase. For example, a 15 kg bag of pellets in Italy -which now approximatelly costs from 4.8 to 5.6 euro - will be more expensive by 50 Euro cents. For purchases of a ton, the price increase will reach 30-35... Continue reading
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April 9, 2019
China reduced VAT on roundwood and lumber
VAT on some commodities and services has been reduced in order to stimulate the economy and support processing within the country. The measure was applied starting April 01, 2019. VAT on roundwood has been reduced from 11% to 10%, for lumber- from 16% to 13%. It is expected that this measure will spur woodworking enterprises to increase purchases and produce finished products, consequently, revive the market. Logs and lumber imports overview Lumber imports to China fell for two consecutive quarters to reach 5.9 million m3 in the 4Q/18. This matches the pattern from previous years of declining import volumes in the third and fourth quarters of the year. Total imports for 2018 were down 2.3% from 2017 but still the second highest volume on record. Continued uncertainty about the future of the Chinese economy, decade-low GDP growth in the 4Q/18, and reduced investments in... Continue reading
-
China reduced VAT on roundwood and lumber
VAT on some commodities and services has been reduced in order to stimulate the economy and support processing within the country. The measure was applied starting April 01, 2019. VAT on roundwood has been reduced from 11% to 10%, for lumber- from 16% to 13%. It is expected that this measure will spur woodworking enterprises to increase purchases and produce finished products, consequently, revive the market. Logs and lumber imports overview Lumber imports to China fell for two consecutive quarters to reach 5.9 million m3 in the 4Q/18. This matches the pattern from previous years of declining import volumes in the third and fourth quarters of the year. Total imports for 2018 were down 2.3% from 2017 but still the second highest volume on record. Continued uncertainty about the future of the Chinese economy, decade-low GDP growth in the 4Q/18, and reduced investments in... Continue reading