Citing the iPad's price in particular... but also mentioning video cameras, and other computer products, ChinaTechNews.com is reporting that IT products being imported into China will have their import tax rate cut in half.

That's down from 20% to 10% or a difference of almost 500CNY (USD 76.25) for the iPad for example.

"A representative from the customs duty collection division at the Beijing Capital International Airport told local media that they have received the related notice. Staff from Shanghai Pudong Airport, Fuzhou Customs, and Shenzhen Customs also confirmed the issuance of the notice and said the tax rate has been adjusted."-Source

ChinaTechNews.com says no reason is given for the tax break.

I haven't seen this news appearing yet on Western blogs who might typically cover it such as the WSJ China Real Time Report for example or even TechCrunch.

TechCrunch recently published a video interview with Mike Daisey "Keen On... Mike Daisey: Why Apple is Committing a Great Sin Against Humanity". and several others highlighting Mike's work in further exposing Foxconn's poor treatment of their workforce. Those videos and this news got me thinking...

A 10% from out of nowhere tax break is pretty significant and in a sense it's also a big opportunity. Here are 3 possible opportunities it could afford companies like Apple (and other big western brands selling in China):

1. Give the 10% back to Chinese employees at companies like Foxconn, get a major big hit of goodwill locally and around the world.
2. Reduce by 10% the price to local, price conscious Chinese consumers with immediate effect.
3. Hope that the media pay no significant heed to the story and when it passes in a few days gobble up 10% more profit on China sales.

Fingers crossed on either 1 or 2 happening... but if I were a betting man I'd put my cash on #3.

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