According to Nandu News, following the announcement by L'Oreal and Estee Lauder two daily chemical giants to lower the price of their imported brand products, on May 28th, Amore Pacific and Shiseido announced on the same day that they would adjust the price system of imported products in the Chinese market. The background of the above-mentioned foreign brands' self-depreciation is obvious. Just a few days ago, in order to speed up the domestic consumption upgrade, the Ministry of Finance will announce the import tariffs on some consumer goods. Among them, the import tariff rate for cosmetics will be reduced from 5% to 2%.

As a larger cosmetics group in South Korea, Amore Pacific said: "Amore Pacific Group will actively respond to the Chinese government's policy of reducing tariffs and adjust product prices, expecting this policy to be active in China's domestic consumer market." Shiseido (China) The statement issued by Investment Co., Ltd. is more direct, saying that based on the Chinese government's import tariff reduction policy for daily consumer goods, Shiseido Group will adjust the price of its imported cosmetics.

But like L'Oreal and Estee Lauder, the above two brands also did not give specific downgrades.

In the eyes of lay people, as L'Oreal, Estee Lauder, Amore, etc. downgrade the price of imported products, it will bring huge benefits to Chinese consumers. However, Feng Jianjun, a daily chemical industry expert and deputy director of the China Cosmetics Marketing Research Center, said in an interview with Nandu reporter: "European and American cosmetics are the main medium and high-end forces in the world. They are the first to announce price cuts. They are only good intentions, and the form is greater than the content. It is very likely that at the end of the day, they have not dropped much. Hundreds of SKUs, just one or two price cuts are also price cuts. Unless it is said that the price of the whole line of products has declined, or the price of the whole brand has dropped."

In addition to duty-free shops for imported cosmetics, general trade also requires customs duties, consumption tax, and value-added tax. According to the inquiry of China Customs' online service hall, the VAT rate of the category of "perfume and toilet water" and cosmetics set (other beauty or cosmetics) is 17%, while the consumption tax rate is generally as high as 30%, and the tariff is not a big one.

According to Feng Jianjun, China has adjusted the import cosmetics consumption tax policy since 2006, and only imposes a consumption tax of 30% on “high-end skin care cosmetics”. However, due to the high-end route, imported cosmetics are generally subject to the 30% consumption tax.

"This tariff reduction will have some impact on the overseas purchase business involved in cross-border e-commerce. Because foreign-invested brands have already announced the reduction of terminal retail prices in China. But overall, the impact will not be as the outside world thinks. First of all, this tariff adjustment only involves skin care products, and does not involve makeup. Secondly, as far as the channel is concerned, it only involves the department store channels in the four channels. The consumer spending power of the department store channel is relatively high. It is not so sensitive to the price of the product. Again, this tariff reduction will reduce the terminal price of imported skin care products by about 10 yuan, which is negligible for high-end consumers.