Which industries will be affected by the new polic

2022-08-03
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Which industries will be affected by the new export tax rebate policy

introduction: on October 14, the notice of the Ministry of Finance and the State Administration of Taxation on adjusting the export tax rebate rate was officially issued. The main contents include: since January 1, 2004, the export tax rebate rate has been structurally adjusted to appropriately reduce the export tax rebate rate; Increase the support of the central government for export tax rebate; Establish central and local

On October 14, the notice of the Ministry of Finance and the State Administration of Taxation on adjusting the export tax rebate rate was officially issued. The main contents include: from January 1, 2004, the export tax rebate rate will be structurally adjusted to appropriately reduce the export tax rebate rate; Increase the support of the central government for export tax rebate; Establish a new mechanism for the central and local governments to jointly bear the export tax rebate; We will promote the reform of the foreign trade system, optimize the structure of export products, and improve the overall efficiency of exports

which industries will be affected by the introduction of the new policy

what is the export tax rebate system

the tax rebate system for export goods has been adjusted three times in history. It is a tax system for a country to refund the indirect taxes paid in the domestic production, circulation and export links. The purpose is to enable export goods to enter the international market at a tax-free price, avoid repeated taxation on Transnational mobile goods, and promote foreign export trade

China has implemented the export tax rebate policy since 1985 and has made three adjustments in recent years. In 1996, due to financial reasons, the Chinese government reduced the tax rebate rate to 3%, 5% and 9% respectively

The Asian economic crisis that began in 1997 caused a sharp decline in China's exports. Since 1998, the government has gradually raised the export tax rebate rate, and the comprehensive tax rebate rate for export commodities has increased from 6% to 15%

in 2003, due to local overheating of the economy and serious export tax arrears, the government adjusted the export tax rebate rate from 15.51% to 12.51%

there are advantages and disadvantages in adjusting the export tax rebate system. It should be viewed dialectically that increasing the export tax rebate rate has a direct stimulating effect on the growth of exports. Especially since 1998, export tax rebates have contributed to China's smooth passage of the Asian financial crisis, expansion of domestic demand and avoidance of deflation

lower part: stretching: tightening and twists from 1999 to 2002, the annual average growth of the amount of tax refundable for export tax rebate was 36.3%, while the annual average growth of the central government revenue was only 21.1%. The amount of tax rebates owed by the government has increased year after year, reaching 247.7 billion yuan by the end of 2002, and is expected to reach more than 340 billion yuan by the end of 2003. At the same time, under the pressure of public opinion from western countries, led by the United States, demanding the appreciation of RMB, reducing the export tax rebate rate will help to alleviate the international expectation of RMB appreciation

it can be seen that in the new policy, the tax rebate rate for products with high scientific and technological content and high relevance encouraged by the state to export is not reduced or reduced, the tax rebate rate for general export products is appropriately reduced, the tax rebate rate for products restricted by the state and some resource products is reduced or cancelled, and the tax rebate rate for agricultural products, deep processing and other products guided and supported by the state is not reduced or increased, which can reduce the financial burden of the state, It is also conducive to easing the pressure of RMB appreciation. Therefore, the introduction of the new export tax rebate policy at this stage can be described as "hitting three birds with one stone"

however, the export tax rebate policy has also brought a heavy burden to the central finance due to the repeated increase of the export tax rebate rate, the urgent need to make up for the three weaknesses and the rapid growth of foreign trade exports

the reduction of the export tax rebate rate will directly increase the cost and pricing of export enterprises, affect the market competitiveness of products, and is not conducive to the export of enterprises. There is no doubt about this, but there are great differences on the extent of the impact. We believe that the current price level of domestic products in the international market will not be greatly affected by the slight reduction of the export tax rebate rate

agricultural textile engineering machinery in some industries will benefit from the support and protection of the new policy.

the average export price of China's textiles and clothing is about 15% lower than that of similar products in the international market. Assuming that China's export price rises by 4.2%, it still has strong competitiveness. According to the growth trend of exports in the first half of this year, after the reduction of the export tax rebate rate, the export growth will remain above 20%

the new policy shows positive support and protection for agriculture and deep processing enterprises, which is very rare for agricultural enterprises. Although the export proportion of agricultural products and processed products is small at present, and the direct impact is limited, the increase of export tax rebate rate will enhance the competitiveness of products in the international market, and the corresponding listed companies will benefit from expanding exports. Such companies include Huaguan Technology (600371), Ronghua industry (600311), St Jifa (600893), etc

in addition, the new policy restricts the export of cashmere raw materials, which will enable it to gain a greater competitive advantage, enhance its competitiveness in the international textile market, and attract foreign enterprises to invest in China. The listed companies Ordos (600295), shengxuerong (000982) and Tianshan textile (000813) will benefit from this

in addition, the export tax rebates of industries encouraged by the state to export such as construction machinery, printed circuit boards and other products remain unchanged. The corresponding listed companies Shenyang Machine Tool (000410) and Shengyi technology will continue to maintain their competitiveness in the international market after we discuss the casting of experimental machines (600183)

some industries such as non-ferrous metal clothing import and export will be negatively affected

the tax rebate reform has a great negative impact on non-ferrous metal, textile and clothing and foreign trade import and export companies. This time, the export tax rebate rate of most non-ferrous mineral products and smelting products has been reduced by a large margin. Between 5% and 13%, the export of copper, aluminum, lead, zinc and other products will be impacted

moreover, due to the rapid expansion of the scale of aluminum, zinc and lead smelting enterprises in recent years, there has been a surplus of products. If the export is blocked and the domestic demand cannot absorb all the supply, the product price will decline. The performance of the corresponding listed companies such as Lanzhou Aluminum (600296), Jiaozuo Wanfang (000) using the common speed regulation system 612, tin (000960), zinc (000751) may be damaged. In addition, the export proportion of zinc industry shares is large, and the impact will be greater

clothing and cotton textile enterprises are also one of the industries with greater damage. Because most of the products of textile and garment enterprises are exported and the proportion is high, and the export gross profit margin of textile and garment products is low, the tax rebate is reduced by 4 percentage points. For some enterprises, the profit space is basically squeezed out, and the enterprises are facing survival difficulties. Therefore, listed companies with significant export ratio and low gross profit margin, such as far East Co., Ltd. (000681), China garment (000902) and Vico essence (600152), have suffered a lot

due to the different reduction ranges of export tax rebate rates for different products, the operating pressures of corresponding import and export enterprises are also different. As the tax rebate rate of textile and clothing, metal ore and smelting products is greatly reduced, the corresponding listed companies Nanfang Co., Ltd. (600250), Jiangsu Shuntian (600287), Zhejiang Dongfang (600120), Minmetals development (600058) and other companies may face greater operating pressure

Sinochem International (600500), which mainly imports and exports steel and chemical raw materials, has been affected to a certain extent due to the reduction of the tax rebate rate of corresponding products by 2 percentage points. Zhongcheng shares (000151) and Zhongji trade (600056), which are mainly engaged in foreign trade of technology and complete sets of equipment, are less negatively affected because the export tax rebate of main products remains unchanged

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