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Official: fuel tax to come when market conditions mature

 

 　　China will levy fuel tax when market conditions become appropriate, China's Minister of Finance Jin Renqing said at the ongoing national working conference on finance.

Jin said that the government will spare no effort in perfecting the related fuel tax reform plans to ensure that the tax collection will be conducive to the sustainable development of the national economy and industrial restructuring.

Fuel tax collection, a sensitive issue, has been on the agenda of China's overall economic plan, but is still awaiting a proper opportunity such as lower international oil price.

The collection of fuel tax is believed by some experts to be one of the sharpest weapons to check China's rising oil demand.

Fuel tax will push more consumers to buy energy-saving cars, and depend less upon car driving. In some European cities, people prefer to use public transportation system although they have their own cars.

Low emission and new energy source to replace gasoline are on the forefront of auto technology, so the tax leverage may promote the technology upgrade and industrial restructure of China's auto manufacture, an expert noted.

 

  
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