Textile And Garment Export Tax Rebate Rate Increased To 17%

In November 19th, the State Council held a executive meeting to discuss and identify 6 policies and measures to promote the healthy development of the textile industry, including further reducing the tax burden on enterprises, and raising the export tax rebate rate for textiles, clothing and some light industrial products.

This reporter learned that textile and garment products export tax rebate rate up to 17% has been approved at the meeting.

This is the fourth large-scale export tax rebate rate raised in China in the second half of this year. The executive session of the State Council from the last time that the export tax rebate rate of some commodities was raised was only last week.

In addition to deciding to continue to raise the export tax rebate rate of textiles, clothing and some light industrial products, and clean up and cancel all unreasonable charges involved in light textile enterprises, the conference decided to suspend the "real pfer" policy for margin trading of textile processing trade, and make full use of the central foreign Trade Development Fund to support light textile enterprises in marketing, R & D and mergers and acquisitions.

In July 31st this year, China raised the export rebate rate from 11% to 13%, and then raised to 14% in October 21st.

With this adjustment, the export tax rebate rate of textile industry has reached the highest level in history.

Previous studies have suggested that a percentage point change in the export rebate rate of the textile industry will affect the profit of 4 billion yuan in the industry.

At the same time, according to the industry statistics, processing trade ledger margin "real pfer" occupy the textile industry liquidity is also as high as 8 billion yuan per year.

Customs data show that textile and apparel exports in the first 10 months of this year were US $153 billion 710 million, an increase of 8.6% over the same period last year, a decrease of 12 percentage points over the same period last year.

The conference also identified other measures to promote the textile industry, including promoting the "home appliances to the countryside" in the whole country, subsidized farmers to buy household appliances, increasing support for the earthquake stricken areas and minority areas in the border areas, boosting consumption and promoting production, increasing the scale of financial support for small and medium-sized enterprises in various levels of finance, supporting light textile projects with good market prospects, promoting obvious employment and remarkable economic and social benefits, and increasing investment in credit guarantee system and service system construction.