TOKYO (Reuters) – Japan’s ruling coalition on Thursday proposed tax breaks on low-emission cars and green investments in a suite of incentives worth up to $612 million, as Prime Minister Yoshihide Suga puts carbon neutrality at the centre of his economic recovery plan.
Suga has vowed to cut greenhouse gas emissions to zero in 2050, bringing Japan in line with the European Union and ahead of China’s pledge to achieve the same goal by 2060.
In a nod to Suga’s ambition, his ruling Liberal Democratic Party (LDP) and its ally Komeito Party proposed tax exemptions for firms that increase carbon-free investment in their tax reform plan that will serve as a platform for the government’s tax policies for the year beginning in April.
The tax code revision will introduce national tax cuts of 50 billion to 60 billion yen ($478-574.60 million) and local tax cuts of 4 billion yen annually, LDP tax commission chief Akira Amari said.
The ruling coalition proposed extending by two years tax reductions for environmentally friendly cars and cutting the tax charged on aviation fuel to help airlines hit by the fallout from the coronavirus pandemic.
It also called for other steps to ease the blow from COVID-19 on households and businesses, such as an extension of tax breaks on mortgages and of corporate tax discounts for small and mid-sized businesses.
“We cannot tackle fiscal reform right now, but we must build a foundation to achieve it as soon as possible,” Amari said.
The tax plan follows Japan’s decision on Tuesday to compile a $708 billion economic stimulus package that features support for green and digital innovation.
Suga’s administration sees green innovation as a key area for Japanese business investment that could give the economy a much needed boost.
While Japanese carmakers have seen sales rebound from the pandemic’s hit, they have lagged their global peers in the race to develop electric vehicles.
(Reporting by Daniel Leussink and Tetsushi Kajimoto; Writing by Leika Kihara; Editing by Kim Coghill and Sam Holmes)
TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 103.40 points at 24,542.48.
In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.
The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.
The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.
The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.
This report by The Canadian Press was first published Oct. 16, 2024.
TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.
The S&P/TSX composite index was up 205.86 points at 24,508.12.
In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.
The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.
The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.
The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.
This report by The Canadian Press was first published Oct. 11, 2024.
TORONTO – Canada’s main stock index was little changed in late-morning trading as the financial sector fell, but energy and base metal stocks moved higher.
The S&P/TSX composite index was up 0.05 of a point at 24,224.95.
In New York, the Dow Jones industrial average was down 94.31 points at 42,417.69. The S&P 500 index was down 10.91 points at 5,781.13, while the Nasdaq composite was down 29.59 points at 18,262.03.
The Canadian dollar traded for 72.71 cents US compared with 73.05 cents US on Wednesday.
The November crude oil contract was up US$1.69 at US$74.93 per barrel and the November natural gas contract was up a penny at US$2.67 per mmBTU.
The December gold contract was up US$14.70 at US$2,640.70 an ounce and the December copper contract was up two cents at US$4.42 a pound.
This report by The Canadian Press was first published Oct. 10, 2024.
