Luxury Cars Imported To China Face New Taxes
Dealers of imported luxury cars with big engine capacities are halting their sales and seeking higher prices before the passenger car tax rise is to finally start on Sept. 1.
Import price of cars with engine capacities of 3 to 4 liters would be increased by 13%, and 33% for those above 4 liters, as a result of the new tax, brought in to promote oil-friendly cars and reduce oil consumption.
Luxury car dealers of brands like BMW temporarily halted their sales until the tax comes into force. The tax rise would have the biggest impact on auto producers from the European Union (EU) and Japan as luxury cars mainly came from those two regions.
