China lowers import tax on oil products to 1 percent

China's Ministry of Finance announced today that it will start to reduce import tariff of oil product by another 1 percent effective on January 1 of 2008.

Starting on January 1, import tax on oil product, including gas, diesel and aviation gasoline will be reduced to one percent.

The tax cut is made to encourage oil companies to increase energy import and ensure domestic supply.

In November, China has just lowered import tariff on oil products to 2 percent from 6 percent.