Steel Industry Calls for Higher Export Tax Rebate

As the steel and petrochemical industries successively issued "comparatively ugly" data, the Ministry of Commerce began to investigate two major industries. It is learned that the Bureau of Industrial Injury Investigation of the Ministry of Commerce is investigating the losses of the two major industries and will report to the relevant departments, but the reporter yesterday. Contacting the Ministry of Commerce of the People's Republic of China understands that the research work has been ongoing and is not specifically aimed at the two major industries. However, relevant professionals have stated that the current call for increasing the export tax rebate rate of the steel industry is increasing.

It is reported that the China Petroleum and Chemical Industry Association and the Sinopec Group have released the latest statistical data on the petrochemical industry. From the statistical point of view, the petrochemical industry that has been making good profits has also begun to enter a full-scale decline. The China Petroleum and Chemical Industry Association stated that the high price of international raw material has oscillated and brought impacts to petrochemical enterprises. The prices of many raw materials have rapidly dropped from the peaks, which has brought great difficulties to the production of enterprises.

The days of the steel industry are even more sad. In addition to the fact that the price has been at the bottom, the statistics released by the China Iron and Steel Association show that as of October, the loss of large and medium-sized steel in the country may exceed 60%. From January to September this year, the steel industry suffered a loss of 1.154 billion yuan, 18.06 times the same period last year.

In this context, the Ministry of Commerce has conducted investigations and studies in the industry. However, after the investigation, what measures were introduced? Currently, people from the Ministry of Commerce did not give a clear statement. According to the reporters from the relevant professionals, the petrochemical industry is concerned. The "boost" plan covers a wide range of issues, including the pricing mechanism of the oil industry and the industrial structure. At present, it may be possible to reduce some of its production capacity to cope with the financial crisis. In the steel industry, the most feasible method is to increase exports. The rate of tax rebate, relevant steel industry associations are already making preparations, and submitted to relevant departments for deliberation.

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