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EICTA lobbies against smartphone import duty hike

Tuesday 9 December 2008 | 09:30 CET
 
European ICT and consumer electronics association EICTA has criticized a European Commission proposal to increase import duties on multimedia phones with GPS and mobile TV functions. Following "questionable" customs classification of mobile phones in Germany and the Netherlands, the EC is expected to present a proposal to charge customs duties on mobile phones, by moving sophisticated phones into a dutiable customs category, according to EICTA. Mobile phones with increased functionality, such as GPS receivers and mobile TV would face a tax of up to 14 percent, versus 0 percent at present. Member states' Customs Code Committee is due to discuss tariffs on multifunctional devices with mobile phone function on 10 December. "At a time when Europe is confronted with protracted recession, there is a need to reassure consumers. Measures such as this send the wrong message and end up penalising the most critical forces of economic recovery in Europe: consumers and innovators," said Mark MacGann, EICTA Director General. A EC source told Les Echos that no decision was expected in the short term. Member states are divided about the idea of increasing the import duty or not, but when the time comes, they will have to decide on a qualified-majority basis.

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