2. China agrees to cut import duty on Indonesian stearic acid to 10%.(Trade)

After lengthy negotiations China fmally agreed to cut the import duty on Indonesian stearic acid from 16% to 10% and include it to the scheme of early harvest program (EHP) under the ASEAN-China Free Trade Agreement (FTA). The new tariff is expected to be effective one month after the announcement. Earlier in 2003, China waited for Indonesia's proposal to include stearic acid into the EHP scheme but Indonesia did not include it into the scheme under the ASEAN-China free Wade agreement. The import duty, therefore, remains 16% while Malaysia already enjoys a lower import duty of 10%