Yesterday, the Ministry of Finance and the State Administration of Taxation issued a notice on increasing the export tax rebate rate of some products, including some steel products such as plating and stainless steel, and the export tax rebate rate was increased to 13%. The implementation of this policy will effectively reduce the cost of steel export, improve the competitiveness of export enterprises, and have a positive impact on the steel industry at the moment when the export volume of steel continues to decline.
In January this year, steel export volume was affected by the Spring Festival holiday, showing a seasonal decline. In February, China's novel coronavirus pneumonia spread, some countries were worried about infection, and took restrictive measures on China's steel export, resulting in the February steel exports continued to fall. According to the data released by the General Administration of customs, from January to February 2020, China's cumulative export of steel reached 7.811 million tons, a year-on-year decrease of 27.0%, the fastest speed reduction since March 2018.