China looks to reduce steel production volume
Steel

China looks to reduce steel production volume

The Chinese Ministry of Finance and the State Administration of Taxation (customs tariff commission) has announced that it will abolish export rebates (13% on VAT), with effect from May 1.

The Ministry on April 28 announced that it would remove export tax rebates for 146 steel products from May 1, while waiving import tariffs for some products, including pig iron, crude steel, recycled steel raw materials and ferrochrome, while the earlier rebates of 13% would continue. With the move, China looks to reduce steel production volume in the country.

The products without export rebates would include pig iron, seamless and ERW pipes (all sizes), hollow sections, wire rods, rebar, PPGI/PPGL coils and sheets, CRS, HRC, HRS and plates in carbon, alloy/SS, SS/alloy bars and rods, round/square bars/wires, structural and flat products, steel sheet piles, railway materials, articles of cast iron.

Elimination of export rebates is related to abolishing import duties on pig iron, DRI, ferrous scrap, ferrochrome, MS carbon and SS billets to zero with effect from May 1, 2021. In addition, China has raised the export duties on ferrochrome and ferrosilicon from 15% to 20%, on high silicon steel from 20% to 25% and on foundry pig Iron from the current level of 10% to 15% from May 2021.

The price of steel rebar on the Shanghai Futures Exchange hit a record high on April 30, reaching $848 a tonne, the strongest since trading began in 2009.

As assessed by commodity price reporting agency Argus, spot iron ore for delivery to north China reached $193.50 a tonne on April 27, eclipsing its previous high reached in 2011.

Image Source


Also read: End users are paying for steel price rise

Also read: Steel price cooldown not seen anytime soon

The Chinese Ministry of Finance and the State Administration of Taxation (customs tariff commission) has announced that it will abolish export rebates (13% on VAT), with effect from May 1. The Ministry on April 28 announced that it would remove export tax rebates for 146 steel products from May 1, while waiving import tariffs for some products, including pig iron, crude steel, recycled steel raw materials and ferrochrome, while the earlier rebates of 13% would continue. With the move, China looks to reduce steel production volume in the country. The products without export rebates would include pig iron, seamless and ERW pipes (all sizes), hollow sections, wire rods, rebar, PPGI/PPGL coils and sheets, CRS, HRC, HRS and plates in carbon, alloy/SS, SS/alloy bars and rods, round/square bars/wires, structural and flat products, steel sheet piles, railway materials, articles of cast iron. Elimination of export rebates is related to abolishing import duties on pig iron, DRI, ferrous scrap, ferrochrome, MS carbon and SS billets to zero with effect from May 1, 2021. In addition, China has raised the export duties on ferrochrome and ferrosilicon from 15% to 20%, on high silicon steel from 20% to 25% and on foundry pig Iron from the current level of 10% to 15% from May 2021. The price of steel rebar on the Shanghai Futures Exchange hit a record high on April 30, reaching $848 a tonne, the strongest since trading began in 2009. As assessed by commodity price reporting agency Argus, spot iron ore for delivery to north China reached $193.50 a tonne on April 27, eclipsing its previous high reached in 2011. Image SourceAlso read: End users are paying for steel price rise Also read: Steel price cooldown not seen anytime soon

Next Story
Products

Viva ACP Launches FR A1-Rated Honeycomb Panels for Fire Safety

Viva, Asia’s largest manufacturer and supplier of aluminium composite panels (ACP) introduced its FR A1-rated Honeycomb Panels, setting a new industry benchmark for fire safety and architectural excellence. Engineered to deliver exceptional performance, these panels combine advanced fire-resistance technology with aesthetic versatility, offering a revolutionary solution for safety-critical environments.The FR A1 rating represents the highest standard of fire resistance under the European Standard EN 13501-1, signifying non-combustibility and zero contribution to fire, smoke, or toxic emissio..

Next Story
Real Estate

Almal Real Estate Expands into Commercial, Global Markets

Almal Real Estate Development is soon to announce its upcoming expansion into new verticals and international markets as part of its strategic growth plans for 2030. The company, known for its innovative luxury residential and hospitality developments, is preparing to diversify into the commercial sector with the introduction of The Smart Space, a network of business centers in UAE featuring five-star amenities. Additionally, Almal is entering new markets in Bali and Thailand as a community developer, focusing on villa and townhouse projects.The expansion into the commercial real estate sector..

Next Story
Infrastructure Urban

NABARD Approves Rs 9.03 Billion for 127 Projects in Himachal

The Himachal Pradesh government has secured approval from the National Bank for Agriculture and Rural Development (NABARD) for 127 projects worth Rs 9.03 billion for the 2024-25 fiscal, Chief Minister Sukhvinder Singh Sukhu announced. During a meeting with MLAs from Kangra, Kullu, Kinnaur, Solan, Chamba, Bilaspur, and Lahaul-Spiti districts to discuss priorities for the 2025-26 budget, Sukhu said the approved projects include 50 MLA-priority schemes under the Public Works Department, valued at Rs 4.12 billion, and 23 MLA-priority schemes under the Jal Shakti Vibhag, costing Rs 1.79 billio..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?