DROP IN CHINA's EXPORT TAX REBATES!
Post 1 of 40
The Chinese government will adjust export tax rebate as from July 1st.
The industries involved in this adjustment include: Propagation, Minerals, Chemicals and Industrial Products, Plastics and Rubber Products, Peltry and Leather Products, Wood products, Adhesives and steel and iron products.
It is reported that the export tax rebate for most of chemical industry product and other related industrial products may be cancelled, and the export tax rebate for the rests of these products will be reduced from 13% to 9% (or 5%).
Another rumor is that the export tax rebate for methanol, Acetic Acid and other Acetic Acid derivatives may be reduced from 13% to 5%.
Due to export tax adjustments, some export companies will defer their export plan until the formal documents and policy are confirmed.
Paper Products Export Tax Rebate is being reduced by 8% from 13% to 5%.Plastic Products Export Tax Rebate is being reduced by 6% from 13% to 7%
What does all this mean?
Export Tax Rebates is what Trading companies and/or Manufacturers can claim back from the government when they export. The majority of manufacturers take this rebate into account when they cost their goods.
In a Nutshell.
These goods effected by this decrease in the rebate will RISE in price after July 1st.
![[em6]](http://img.alibaba.com/images/eng/style/icon/emoticons_rage.gif){kind=icon}
15 Jun 2007 02:57
Post 2 of 40
Replying to [grigo]:
Dear Grigo
That is true but you have to take such decisions considering macro economics.
Madhur Agarwal
Dear Grigo
That is true but you have to take such decisions considering macro economics.
Madhur Agarwal
15 Jun 2007 06:04
Post 3 of 40
Replying to [grigo]:
Re: DROP IN EXPORT TAX REBATES!
After this cutting/reducing of export Tax rebate the goods prices will go up.Finally the importers have to decide if they should import from china or from any other country by comparing the prices. Importing countries in Indian sub continent may get a lower price from India better than China for some products and it will effect Chinese exporters to make deals.
Why Chinese government do not support to there own exporters who bring foreign curruncy to their country?
Anyone can explain? please ......
Kapila de silva
(Read the posting rules please! NO contact /company/web info allowed!)
Re: DROP IN EXPORT TAX REBATES!
After this cutting/reducing of export Tax rebate the goods prices will go up.Finally the importers have to decide if they should import from china or from any other country by comparing the prices. Importing countries in Indian sub continent may get a lower price from India better than China for some products and it will effect Chinese exporters to make deals.
Why Chinese government do not support to there own exporters who bring foreign curruncy to their country?
Anyone can explain? please ......
Kapila de silva
(Read the posting rules please! NO contact /company/web info allowed!)
15 Jun 2007 11:43
Post 4 of 40
Replying to [kapila]: About Tax Rebate cutdown, it's universal phenomenon. It's not just the case with China, but Pakistani exporters face same problems too.
Its due to World Trade Organization agreement which state to nullify any subsidies to provide level playing to all players. So, it's part of it & chinese are late into it.
Its due to World Trade Organization agreement which state to nullify any subsidies to provide level playing to all players. So, it's part of it & chinese are late into it.
15 Jun 2007 13:58
Post 5 of 40
Replying to [all]:
It is all Right!
Commodity from Yiwu Trading market have hardly made EXPORT
TAX REBATES as they are of small quantities of each mixed items which getting trouble in getting fullset document to have custom declare......
Once you apply for Export Tax Rebates for certain product from
Yiwu Market, there will be higher percentage of having your loaded CONTAINER
open for inspection and checking under the name of Shanjian Bureau.....
oH......Yiwu has exported many products with a differentlydeclared iten name in order to avoid " Inspection"
It is all Right!
Commodity from Yiwu Trading market have hardly made EXPORT
TAX REBATES as they are of small quantities of each mixed items which getting trouble in getting fullset document to have custom declare......
Once you apply for Export Tax Rebates for certain product from
Yiwu Market, there will be higher percentage of having your loaded CONTAINER
open for inspection and checking under the name of Shanjian Bureau.....
oH......Yiwu has exported many products with a differentlydeclared iten name in order to avoid " Inspection"
15 Jun 2007 20:41
Post 6 of 40
Dear All
if some one has the details list of items which have Chinese Govt is going to reduce export rebate or know about that website so plz let me know.
Regards.
Razi
![[em20]](http://img.alibaba.com/images/eng/style/icon/emoticons_victory.gif)
if some one has the details list of items which have Chinese Govt is going to reduce export rebate or know about that website so plz let me know.
Regards.
Razi
16 Jun 2007 01:13
Post 7 of 40
Replying to [grigo]:
The Chinese government wants to achieve a few goals with this policy:
1. Reduce the volume of exports, and increase domestic consumption instead.
2. Become more environmentally friendly and thereby reducing subsedies to polluting industries, such as metals, chemicals, plastics and their derivatives.
3. Bowing to American government pressure and making some concessions in reducing the trade deficit with the US.
4. Reduce the over blowing surplus in foreign currency, which has reached mind boggling figures.
Overall this policy, together with the devaluating the RMB against the US$ in the past 8 months by more than 7% is bad for a handful speculators, investors and export-oriented businesses. But it is good for domestic players, the rising urban middle class and basically the Chinese m , who can enjoy more prosperity in China proper.
I don't know about other industries, but in my industry which is automotive and machinery, all manufacturers are rasing prices by at least 4%.
Ilan
The Chinese government wants to achieve a few goals with this policy:
1. Reduce the volume of exports, and increase domestic consumption instead.
2. Become more environmentally friendly and thereby reducing subsedies to polluting industries, such as metals, chemicals, plastics and their derivatives.
3. Bowing to American government pressure and making some concessions in reducing the trade deficit with the US.
4. Reduce the over blowing surplus in foreign currency, which has reached mind boggling figures.
Overall this policy, together with the devaluating the RMB against the US$ in the past 8 months by more than 7% is bad for a handful speculators, investors and export-oriented businesses. But it is good for domestic players, the rising urban middle class and basically the Chinese m , who can enjoy more prosperity in China proper.
I don't know about other industries, but in my industry which is automotive and machinery, all manufacturers are rasing prices by at least 4%.
Ilan
16 Jun 2007 20:34
Post 8 of 40
Replying to [July 1st is Due)
It seems there is not "special adjusting month allowance"
for exporter to ship their product ordered nearby July 1st!
Many exporters are trying to catch time, working
dat and night in order to have their goodz shipped before
July 1st comes.
And Many containers have been booked overwhelmingly,
which makes exporters hard to get an extra contrainer
from its shipping agent.....
You should try to book the Container, Earlier if you want it
to ship by the end of June......
It seems there is not "special adjusting month allowance"
for exporter to ship their product ordered nearby July 1st!
Many exporters are trying to catch time, working
dat and night in order to have their goodz shipped before
July 1st comes.
And Many containers have been booked overwhelmingly,
which makes exporters hard to get an extra contrainer
from its shipping agent.....
You should try to book the Container, Earlier if you want it
to ship by the end of June......
17 Jun 2007 02:26
Post 9 of 40
Replying to [Rana]:
I understand that WTO wants all players to be equal..but is a Tax rebate the same as a subsidy?? The fact the China taxes its goods is an EXTRA expense partly returned to the factory..or do i no understand??
I understand that WTO wants all players to be equal..but is a Tax rebate the same as a subsidy?? The fact the China taxes its goods is an EXTRA expense partly returned to the factory..or do i no understand??
17 Jun 2007 23:43
Post 10 of 40
Replying to [shawoom]:
Ilan, Todah..
Thanks for this response which makes me feel empathetic to the Chinese..as i suffer the price rise here ;-)
Ilan, Todah..
Thanks for this response which makes me feel empathetic to the Chinese..as i suffer the price rise here ;-)
17 Jun 2007 23:46
Post 11 of 40
Replying to [grigo]: Do you know where can I get a detailed listing of the current applicable export tax rebate for iron and steel products?
Thanks for your help.
Thanks for your help.
18 Jun 2007 02:13