China levies a 25 percent duty on sales of imported vehicles and has not allowed foreign automakers to establish wholly owned factories in the country, the world's largest auto market. China's government has considered allowing foreign automakers to set up wholly owned factories in free trade zones in part to encourage more production of electric and hybrid vehicles - which the government calls "new energy vehicles" - to meet ambitious sales quotas. Tesla would still have to pay a 25 percent duty on cars built in a free trade zone, but it could lower its production costs.
from Yahoo News - Latest News & Headlines http://ift.tt/2zIg9kJ

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