What is the new VAT rate in North Macedonia?

A new tax reform passed by Parliament September 19, 2023, moved a few hundred non-essential products to a new VAT preferential rate of 10 percent. For imports into North Macedonia, VAT is assessed on the customs value of the goods plus the customs duty and excises.

How does tariff risk affect a battery energy storage system (BESS) project?

Mitigating tariff risk in battery energy storage system (BESS) projects is crucial for ensuring project financial viability, as tariff changes can significantly affect cost structures and overall project economics.

Does North Macedonia have a free trade agreement?

Preferential tariffs apply to countries with which North Macedonia has signed a bilateral Free Trade Agreement, as well as to countries participating in multilateral trade agreements, such as the EU Stabilization and Association Agreement (SAA), European Free Trade Agreement (EFTA), and Central European Free Trade Agreement (CEFTA).

Will China impose tariffs on lithium-ion EV batteries?

An interesting issue will be the imposition of tariffs. There are existing tariffs pursuant to Section 301 of the Trade Act of 1974 on some Chinese-origin lithium-ion EV batteries and non-lithium-ion battery parts, which were increased to 25% in September 2024.

Is North Macedonia a WTO member?

North Macedonia joined the World Trade Organization (WTO) in 2003. As a WTO member, North Macedonia has committed itself to the three basic rules of trade conduct: legislative and regulatory transparency, equal rights and privileges for foreign and domestic firms and citizens, and most-favored nation treatment.

When will Chinese-origin lithium-ion non-EV batteries be taxed?

Tariffs on Chinese-origin lithium-ion non-EV batteries are scheduled to increase to 25% effective January 1, 2026. Otherwise, batteries of non-Chinese origin storage batteries have not been subject to multi-front targeted tariff or duty actions.