Brazil to Raise Import Duty on Fastener Making Machinery

Reportedly, Brazil will likely cancel the import duty relief for NCM 8462.10.90 –Ex 18 in September, which is originally to expire on December 31. And the import duty rate will be raised to 14% from previous 2%, with impact on importing fastener machinery.

The duty relief system, temporarily reducing the import duties, involved many fastener manufacturing equipment. But recently a Brazilian company protested over the relief system by claiming it is able to manufacture any kind of forming machines and thread rollers.

Brazil's automobile sector has the most demand for fasteners. As the main auto maker and market, last year, the country made 293,000 Volkswagen Golf cars, requiring 1,200 fasteners for each car.