Export Tax Rebate Rate To 13% Wuxi Textile Enterprises Annual Revenue Increased By 15 Million U.S. Dollars

In anticipation, the export rebate rate of some textile and garment export commodities increased from 11% to 13% in August 1st. This is the first time since 2006 when the export tax rebate rate policy was lowered.

This policy benefits 1370 textile and garment export enterprises in Wuxi, accounting for 97.7% of the total number of textile export enterprises in the city.

According to reports, at present, there are more than 1400 textile and garment export enterprises in Wuxi. Influenced by many factors, such as the weakening of international market demand, rising prices of raw materials, continuous appreciation of RMB and rising labor costs, Wuxi textile export enterprises have doubled their pressure and slowed down.

In the first half of this year, the textile and garment enterprises in the city exported 2 billion 160 million US dollars, an increase of 15.1% over the same period last year, accounting for 12.6% of the total export volume of the city, which is lower than the average increase of 16 percentage points in the whole city.

The adjustment involves 762 kinds of products, the main products are polyester staple, cotton cardigan, dyed cloth, etc., the export amount of US $1 billion 520 million, accounting for 95.8% of the city's textile exports.

Although only two percentage points, but for many textile and garment export enterprises, it is undoubtedly a timely relief.

At present, the average profit rate of Wuxi textile and garment export enterprises is 3%-5%, and the export tax rebate rate is raised. The profit of foreign trade enterprises is estimated to increase by 1 percentage points. It is estimated that the textile and garment export enterprises in the city will increase revenue by about 15 million US dollars.

Exporters feel that the drought has come to a good time. The director of sunshine import and export company said that the export tax rebate will increase by about 3 million yuan a year.

The director of the Municipal Bureau of foreign trade and economic cooperation said that there was no sunset industry, only sunset products. Although the export tax rebate rate adjustment was a drop in the bucket for corporate profits, the adjustment sent a signal that the state still encouraged exports of traditional superior products.

However, judging from the overall situation at home and abroad, textile enterprises will still face various challenges. The fundamental way out for textile and garment enterprises in Wuxi is in pformation and upgrading. We should focus on the optimization and development of enterprises themselves, and seek survival and development through strengthening internal management, adjusting product structure, developing independent brands, and improving scientific and technological content.