Australia scraps 'nuisance' tariffs to remove red tape, lower living costs
Australia scraps 'nuisance' tariffs to remove red tape, lower living costs
Australia said on Monday it would remove import tariffs on a wide range of goods including toothbrushes, toasters, hand tools and clothing in a bid to eliminate red tape for businesses and bring relief to families battling higher living costs.
Removing the tariffs will streamline about A$8.5 billion ($5.62 billion) worth of annual trade and save businesses over A$30 million in compliance costs each year, Treasurer Jim Chalmers said in a statement.
"(The government) will abolish almost 500 nuisance tariffs from 1 July this year ... these reforms are an important step towards simplifying Australia's trading system," Chalmers said.
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Most goods are now imported duty-free after successive trade agreements but businesses spend time and money proving their imports are eligible for tariff concessions, a compliance cost they often pass on to consumers.
The move, which Chalmers said was the biggest unilateral tariff reform in two decades, will abolish 14% of Australia's total tariffs. The full list of tariffs to be axed will be finalised in the May federal budget, he said.
This article was produced by Reuters news agency. It has not been edited by Global South World.
