China To Tax Metal Exports
China is planning is planning to place a tax on the exports of three types of
metal from January 1 in a bid to make its domestic industry more efficient.
According to a recent report by the Xinhua state news agency, the export tax
on producers of aluminium, copper and nickel is designed to force inefficient
producers out of business, thus speeding consolidation in the country’s
metals sector. The government has yet to disclose the level at which the new tax will be levied. While exports of all three metals have risen considerably this year on the
back of a rise in world prices for base metals, China exports relatively minor
amounts of copper and nickel, and analysts believe the impact of the tax on
these industries will be small However, the tax is likely to hit aluminium smelters harder, given the loss
of an 8% export rebate, which is expected to disappear in January. Observers predict that average monthly exports of aluminium from China will
double in December as producer ship as much out of the country as possible before
the tax rebate is lost. .
|
|
IMPORTANT NOTICE: TAX-NEWS.COM has taken reasonable care in sourcing and presenting the information contained on this site, but accepts no responsibility for any financial or other loss or damage that may result from its use. In particular, users of the site are advised to take appropriate professional advice before committing themselves to involvement in offshore jurisdictions, offshore trusts or offshore investments. All materials on this site copyright TAX-NEWS.COM 1999 to 2007. Contact us for further information.