Posted on 03 Sep 2008
Chinese steel export tax rebate cancellation delayed
The rumored removal of 5% export rebate for all steel products under 72 prefixed HS codes effective as of September 1st 2008 is deferred by about 2 weeks.
Changjiang Times cited Mr Shen Junhua export head of Wuhan Steel's foreign trade unit as saying that "The circular does not reveal when the policy will take effect. It is possible the rebates won't be canceled."
He added that "We'll follow the market closely about what to do next."
The industry analysts said if China's steel exports further reduce, the international price would keep strong and thus grant the top ore miners to seek for a higher price in the coming new year benchmark price talks. This is the top consideration why the policy is postponed, as reported.
Incomplete statistics said around 20 million tonnes steel exports enjoy rebates every year.
