"Two gaoyizi" product export tax rebate rate brewing down

The country is about to drop the "two gaoyizi" product of the export tax rebate rate to limit their export. Yesterday, the Ministry of finance related business division head of the Press Council confirmed this initiative launched by the possibilities. The reporter was informed that this reduction in export refund rate does not mean that the tightening of China's foreign trade policy, and is in line with the country on the inhibition of overcapacity in the policy. Therefore, the textile and garment industries does not adjust.

Zhongshan, Vice Minister of Commerce recently also foreign trade policy position that you want to focus on maintaining stable foreign trade policy, foreign trade this year for the sustainable development of the creation of a more relaxed and facilitate policy environment. September 2009, the State Council on the Suppression of overcapacity in the paper on iron and steel and other six cutting-edge industry status. Related to export, the file that of China solar cell 98% for exports, equivalent to a large number of domestic shortage of energy output. And shipbuilding industries production capacity of more than 70% are dependent on exports, domestic consumption is low.

Department of Commerce, a responsible person said to the reporter, relative to the resources of the tax adjustment for the complexity of the export refund is an immediate way, however, we have been ignored is that the export refund should not be a means of macroeconomic adjustment, it is standard practice in international trade. Markets generally believes that this adjustment in the most affected is the iron and steel enterprises. Yesterday, Baosteel who spoke to the reporter on this matter is also expressed concern that the iron ore price rise in upstream, downstream demand of domestic iron and steel enterprises profit is not high, now if you export this road then blocked, enterprises will be more sad day. Recently, in July, Baosteel steel announced in advance price ex-factory price for the first time during the year. Market participants considered that steel market downturn situation in the short term will not be changed.