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2) - Would not be such a good idea. Remember that a good chunk of these get exported to outside. Raising a protectionist barrier will just encourage other count
by option_greek 14y ago
2) - Would not be such a good idea. Remember that a good chunk of these get exported to outside. Raising a protectionist barrier will just encourage other countries to do the same.
- michaelt 14y agoThe current situation, according to [1], is that there is a higher import tax on components than on assembled boards. This is, as I understand it, because there's no import duty on components that are part of information technology products such as computers[2] - but components which are not yet part of such a product are subject to import duty. To fix this we don't need to raise a protectionist import duty for IT products - we can just drop the import duty on electronic components. [1] http://www.raspberrypi.org/archives/509 http://www.raspberrypi.org/archives/509 [2] http://www.charleswalker.org/import-duties http://www.charleswalker.org/import-duties
- Zenst 14y agoMaybe a better way to tackle this would be to balance things up by imposing a weight based import duty that we shall call the enviromental TAX. This would be the way to address this and also balance out the whole import/export aspect, especialy if every country sat down and looked it from a impact perspective. But in a way that if you import a product in component and in part form that they both at least cost the same import TAX wise, that would be a start at least. But at the very least the current situation is only accomodating with large plants like Sony's who are able to talk to goverments about TAX breaks and deals to actualy make a plant and the cost of import viable. This needs to be addressed as a whole and allow even medium sized companies to compete, so that even little people have some hope. Sadly until enough people that people listern to speak up this situation will just stagnate on as it is. I'm full of hope this news item may eventualy put some momentum behind the needed changes and at the very least get them on the table in goverment so they start to look at the issues.
- Zenst 14y agoHmmm, you raise a fair point in that, when you look at the import/export tax offset then its a whole new area in regards to importing compenents and manufacturing in the UK and then exporting. Not sure if import/export TAX works like VAT in that you can offset VAT you pay against what you charge, though I suspect paying import TAX and then exporting that item and expecting some kind of offset would make sence.