The preferential tariffs and taxes on critical commodities sold in Taiwan have been extended from the end of September to March 2026, the Cabinet said Tuesday, citing a need to stabilize inflation.
The preferential tariffs cover soybean, wheat and corn imports, which are exempted from sales taxes, while imported wheat, butter and milk powder used for baking are tariff-free, and frozen beef has a 50 percent reduction on tariffs, the Cabinet said.
Photo: CNA
The extension also means that the NT$2 (US$ 0.07) per liter reduction on the commodity tax on gasoline will remain in place, as well as the NT$1.5 per liter reduction on the commodity levy on diesel, and the 50 percent cut in the tax on Portland cement, according to the Cabinet.
The Cabinet’s decision on Tuesday marked the 16th round of preferential tariffs or taxes implemented since 2021 to stabilize domestic inflation.
Although the prices of some items such as agricultural and industrial raw materials have stabilized and returned to the same levels as at the end of 2021, the prices of some other products such as butter and frozen beef have remained high, according to the Cabinet.
Given the risk of inflation, the preferential tariffs and taxes have been extended to March 2026 to boost consumer purchasing power and lower the business sector’s operating costs, the Cabinet said.
It said the Ministry of Economic Affairs has been asked to continue to negotiate with business associations and individual companies to adjust product prices in response to the latest round of preferential tariffs and taxes to allow consumers to benefit from the government’s policy.
Meanwhile, the Department of Consumer Protection has been checking the prices of moon cakes at the four largest convenience store chains in Taiwan, the four major hypermarket and supermarket chains, and the five top online shopping sites, ahead of the Mid-Autumn Festival holiday, when such products are usually in high demand, the Cabinet said.
The checks found that the prices of 53.8 percent of moon cakes are the same or a bit lower than last year, while 46.2 percent are more expensive, but the hike has been under 10 percent, the Cabinet said.
In addition, a consumer price inspection task force will carry out random checks to monitor the prices of meat and other food items ahead of other upcoming national holidays such as National Day on Oct. 10 and Taiwan Restoration Day on Oct. 25, the Cabinet said.
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