Export Tax Rebate Policy Adjustment Makes Shoes And Bags Enterprises Mixed With Joy.

From July 1st this year, we will adjust the export tax rebate policy for 2831 commodities and reduce the export tax rebate rate of 2268 commodities that are likely to cause trade friction.

According to the news released by the Ministry of finance, the list of the export tax rebate products, which has been cut down for many years, includes "two high and one capital" products such as non-ferrous metals, mineral fuels, iron and steel, ceramics, paper, leather and leather products that have been repeatedly cut down, including shoes, bags and other products that are considered to be low value-added products.

This is the last time in September last year, the state once again adjusted the export tax rebate rate for some commodities.

This is only one of the "series of policies" launched.

First, policy launches: brand accelerators, in recent years, China's economic imbalance has emerged, especially after the pition period of WTO, economic imbalance has become increasingly prominent.

The most prominent symbol of China's economic imbalance lies in the surplus of foreign trade, which is rooted in the distortion of resource prices.

The distortion of resource prices has led to the excessive development of "two high and one capital" and low value-added processing industry, prompting "two high and one capital" and low value-added products to export vicious competition at a low price.

The reduction of the export tax rebate rate of "two high and one capital" and low value-added products is the general trend. Without accelerating the adjustment of the economic structure and changing the mode of growth, the existing resources and environment are hard to bear, and the economic development will be difficult to sustain.

The emphasis on changing the mode of foreign trade growth and reversing economic imbalances is higher than that of housing. The recent economic policies basically focus on promoting the strategic goal of changing the mode of foreign trade growth, and push forward this goal through fiscal, monetary (including exchange rate and interest rate) and trade policies, and the reduction of export tax rebates is also an important part of these policies.

The reduction of the export tax rebate rate of "two high and one capital" and low value-added products means that China will gradually stop subsidies to foreign countries to use our resources, which will help to reduce our trade surplus on these products and promote the upgrading of China's industrial structure to low resource consumption and high added value.

In view of this, the Ministry of Finance announced at the end of May that export duties were imposed on 142 commodities since June 1st, with the emphasis on 5% to 10% export tariffs on more than 80 kinds of steel products.

In addition, the central bank also expanded the trading range of RMB against the US dollar last month.

It should be said that the strength and scope of a series of combined boxing to alleviate the excessive trade surplus is unprecedented.

Needless to say, for the export enterprises that still rely on cheap labor and other low cost production factors and take the product price as the core competitiveness advantage, it is just like a big stick.

In the face of huge trade friction caused by export volume, the government's intentions are very clear, hoping that these enterprises can change their business ideas as soon as possible.

After all, the situation has changed and the old method has failed. If we want to survive and develop in the current situation, "made in China" needs to keep pace with the times. If we want to be bigger and stronger, we need to keep pace with the times.

Two, the real case: Several expect the export tax rebate rate of several worries to launch, so that the export rebates of shoes, legs and similar products will be reduced from the current 13% to 9%, the decrease will be 4%, while the leather and luggage products will be reduced from 13% to 5% except some special bags from 13% to 9%.

With the confirmation of the tax rebate adjustment, some footwear and luggage manufacturers began to worry about their future survival.

Mr. Wu, a sales manager of a shoemaking enterprise in Wenzhou, said that most of the products of the company were exported, and fierce competition led them to quote very low prices and profit margins at the time of purchase.

Once the export tax rebate rate dropped by 4% in July, it would mean that nearly 40% of the profits would evaporate in a moment, and with the appreciation of the renminbi, the price of raw materials and the increase in wages of workers, the company would be in danger of losing money.

"In the first half of this year, our company has received several large bills, although the profit is only a few points, but the volume is still relatively large. The export tax rebate can still make a steady profit. This is a good thing. The tax rebate rate has been lowered. It is looking at the fact that the foreign tax is going to be busy. It is no good to rush out before July 1st, and it will take a few days to do so.

"In order to ensure no loss, we can only raise our quotations in the future, but we do not know how many customers can accept it, because some products from Vietnam and Southeast Asian countries are also very competitive, and upgrading the product quality and increasing the added value of products is not the competition for our small businesses in a short time. The reduction of the export tax rebate rate in this country is really a great blow to us, and the company will have to face a big test of life and death."

Mr. Wu could not help worrying.

It is also a shoemaking enterprise. The manager of another shoemaking enterprise in Wenzhou, Liu manager, is not so pessimistic about the export tax rebate rate reduction.

He told reporters that the annual output value of their company is around 160 million yuan, and more than 80% of the products are sold to the domestic market.

"Foreign trade orders in previous years, we also do, but only pick some high profit orders or do it in the off-season domestic sales; because of the higher export tax rebate rate, some enterprises will compete to lower the price when they rush for foreign trade orders, so that some good profit orders will not be profitable."

He said that the reduction of the export tax rebate rate will not only eliminate some of the less competitive enterprises, but also force some enterprises to improve product quality and technology content, and enhance the overall competitiveness of the industry.

At the same time, their company is also prepared to take this adjustment as an opportunity to base itself on the domestic market, improve the added value and grade of product brand and expand the export market, and they expect more about this tax adjustment than worry.

Wenzhou Sanli bag Co., Ltd. is a company based on the export of bags and bags. Mr. Li, the head of the company, said in an interview that the government's downgrade of the export tax rebate rate has already been expected.

Mr. Li said that since its establishment in 1998, the company has been exporting bags and has been striving for more export orders and expanding production capacity over the years.

But in September last year, the adjustment of the export tax rebate rate for some commodities made Mr. Li feel that sooner or later, the export tax rate of luggage products was adjusted.

Therefore, from the beginning of last year, we began to actively expand the domestic market, and increased investment in brand, innovation and R & D, and gradually increased the grade and technical content of the products. Now the products have already had a certain amount of sales and popularity in the domestic market. In terms of foreign trade and exports, we have also raised the price with higher product grades to achieve higher profits; although the export tax rebate rate reduction will still have a certain impact on our export, but the loss should not be great.

The introduction of export tax rebate related measures, so that most companies are stepping up shipments to reduce losses.

But experts say haste to rush is not a good way to solve the problem.

Experts suggest that we should negotiate with customers on cost sharing and from a long-term development perspective, correctly grasp the general trend of development, dilute the total volume, pay attention to quality, increase investment in independent brands, innovation and R & D, and enhance the core competitiveness of enterprises.

Gradually realizing the pformation from "quantity increase" to "quality increase" is the way of long-term development of enterprises.

"After that, I heard that export tax rebates will be reduced. I just talked to a guest about a good list, which is a big loss."

Two weeks ago, a member of a foreign trade company heard the news of the drawdown of the export tax rebate, and was worried about whether the customer could understand and accept the price proposal.

Before the export tax rebate was not officially released, many foreign trade clerks were having a headache for rumours that the tax rebate was down.

A company with an annual output value of 30 million yuan has lost its profit of 600 thousand yuan. For the luggage industry that originally had only two or three profit points, it meant that it could not earn money or even lose money.

In fact, 2 months ago, some foreign trade companies did not pick up the list of sensitive products. They could not make a price before the new export tax rebate policy came out. If the foreign merchants did not accept the price increase, they might drive the customers away without raising the price. If the tax rebate fell, they would lose money.

But for production enterprises, we can not stop. "Otherwise, what should workers do?"

A bag and bag business person in charge said.

General enterprises have orders for delivery to three or four months, so 2% of digestion is three or four months. When the list is finished, the next batch will have reason to raise prices to customers.

In a sense, this is not a bad thing. I hope that after the drawdown of export tax rebate, we can shuffle the competitive luggage industry in Wenzhou.

The person in charge of the bag and package enterprise appealed for information that the information should be paid attention to by the parties concerned. It has been reflected by customers that Vietnam, India and other neighboring countries are threatening China in many industries. Customers are considering pferring orders.

No matter how the country is adjusted, we must consider how to continue to maintain our competitiveness.

Three, policy adjustment: release the signal that China's export tax rebate policy for some commodities adjusted for 2831 commodities, and 1/3 of the total export goods that exceed customs duties, has been immediately announced by the relevant enterprises.

Insiders pointed out that the large-scale adjustment of the export tax rebate rate will drive the adjustment of the national industrial structure and export commodity structure, which is of great significance for enterprises to change the mode of economic growth.

"The reduction of the export tax rebate rate will undoubtedly increase the production costs of enterprises, and will bring some pressure to the low profit industries such as textiles."

Gao Peiyong, deputy director of the Institute of Finance and trade of the Chinese Academy of Social Sciences, said that some textile enterprises' profits mainly come from export tax rebates, and the reduction of the tax rate will naturally affect the profits of enterprises.

However, the reduction of the export tax rebate rate in recent years has also played an important role in forcing enterprises to reduce the export of low value-added products, research and develop high value-added products and find new profit points.

The Ministry of Finance said that the country lowered the export tax rebate rate for 2268 items that are likely to cause trade friction, such as clothing, shoes and hats, aimed at easing trade friction and reducing exports of products with low added value and low technology content.

"In the future, we will increase domestic sales and support more independent brand development and export."

Through the establishment of exclusive stores abroad, cooperation with foreign design companies, and even mergers and acquisitions of foreign companies to increase sales of independent brands. "

General manager of Ordos international trading company, Ji Sheng, said in an interview.

In September last year, China has adjusted some of the export tax rebate rates, and this year's policy launch has effectively abandoned the original production and operation mode, looking for new profit points, and is becoming the export that many industries should deal with frequently.

The choice of tax rebate policy must be made.

In recent years, China has cut down the export tax rebate rate of some steel varieties, and conveyed clear signals to the enterprises about the adjustment of the national industrial structure. Some enterprises are pforming their original ideas, reducing the production of low added value and high energy consuming products, and starting to develop and produce high value-added products.

The head of the Ministry of finance also pointed out that because of the policy of "holding pressure" in the policy design, the clear signal of the national industrial structure and the export commodity structure was released, which is conducive to guiding enterprises to reduce the export of "high energy consumption, high pollution and resource" products, reduce the export of products with low added value and low technology content, and increase the export of products with high added value and high technology content, so as to guide enterprises to adjust their investment direction and avoid blind investment and overcapacity.

In the long run, it will be conducive to promoting the pformation of China's economic growth mode and sustainable economic and social development, in line with the long-term interests of the state and the whole people.

Four, policy derivation: the relevant recommendations, although this policy has caused some economic impact on many luggage enterprises, but fortunately the adjustment is not large, most enterprises can still bear the total.