Footwear Export Tax Rebates Or Increase Before October Is Aimed At Steady Employment.

The decision-making level may announce the export rebate rate of some commodities in the near future.

Foreign media quoted sources as saying that China will include furniture,

The tax rebate rate for export commodities such as toys and toys increased from 13%-15% to 17%.

Reported that the new tax rebate policy is likely to be implemented in the month, the source said that the specific time depends on whether the trade data continues to be weak.

In September 6th, the China Chamber of Commerce and Industry Import and Export Chamber of Commerce said that several chambers of Commerce have recently asked the policy makers to raise the export rebate rate of some commodities. "The main export commodities are furniture, footwear and toys which are obviously in decline, and expect the tax rebate to be raised to 17%".

He said that if it goes smoothly, it is possible that the policy will be promulgated before October.

According to other sources, according to the customs monthly report, he was informed that import and export in August remained unchanged, and exports were still growing slightly.

He did not disclose specific figures.

At the end of 8, Wen Jiabao investigated in Guangdong.

During the situation, it has been clear that from the new export orders index and other leading indicators, the next stage of exports will still face more difficulties and uncertainties. The three quarter is the key period to achieve the goal of export growth for the whole year, and targeted measures should be taken.

According to the analysis of the respondents, the tax rebate adjustment proposed by the rumor is mainly in the labor-intensive industry. If the policy adjustment is fulfilled, it means that the decision level is not only to stabilize the growth of foreign trade, but also to stabilize employment.

Aimed at stabilizing employment

When the bad trade data released in July, it has triggered speculation that the policy of steady growth will be overweight.

China's exports increased by only 1% in July compared with the same period last year, while imports increased by 4.7%, and 1.6% and 1.2% respectively after seasonally adjusted exports.

The sharp deceleration of this export takes place on the traditional export peak season of Thanksgiving and Christmas Eve. The three quarter's export is crucial to the growth of China's annual trade volume by "ten".

According to the data released by the customs, the total export volume of footwear in China in the 1-7 months amounted to US $25 billion 690 million, up 9.4% from the same period last year. The amount of toy exports was 5 billion 604 million US dollars, up 6.82% from the same period last year; the export amount of furniture was 27 billion 177 million US dollars, up 28.1% over the same period last year.

The total export of clothing accessories was 82 billion 930 million US dollars, down 0.2% compared to the same period last year.

The foregoing chamber of Commerce said that although the export volume of many categories of commodities still maintained a single digit growth, the number of exports has declined, and the situation worsened in the past two or three months.

A large exporter of toys from a state owned company in Guangdong has said that the reduction in orders has reached about 20% this year.

It's not bad at all.

The global toy giant MATTEL group's main supplier in China has told our reporter that MATTEL's orders for the company have been cut by about half this year. Not only that, the exporters' stable customers have lost nearly half of this year.

Calculated, the company's overall orders fell by more than 50%.

The exporter said that under the circumstances, he could only choose to lay off workers. For example, a factory of 6000 people now had only 2000 remaining people.

The layoffs happen in the traditional production and export peak season.

Clothing, shoes, toys, bags and furniture are typical representatives of China's labor-intensive industries. Taking textile and clothing as an example, the employment of the entire industrial chain from upstream cotton to downstream processing and manufacturing reaches 100 million people.

In fact, on the eve of the July trade figures, there were media reports that the tide of migrant workers returning home again appeared on the coast. Although the official media then passed data from several labor exporting provinces, it was not a homecoming trend, because the scale of migrant workers returning home was far less than that of the financial crisis in 2008.

Puzzlement of competitiveness

China's last drastic adjustment of the export tax rebate rate was in the wake of the outbreak of the financial crisis in 2008, and the export tax rebate rate of many commodities including mechanical and electrical, textile and clothing was greatly increased.

Whether the proposal for raising the export rebate rate can be adopted by decision makers is one of the variables that lie in the current financial situation.

The overall downturn in manufacturing and the real estate market has resulted in a general reduction in local finance. The fiscal and taxation system says that the current value-added tax rate is 17%, but the actual levy is only 12%-13%, and the average level of the current export tax rebate rate is the same. It is difficult to raise the tax rebate again.

According to analyst Wang Qianjin, the tax rebate rate of textile and garment industry will be raised from 16% to 17% of the total tax rebate, which will increase the industry profit of about 10000000000 yuan, which will help to alleviate the downturn in the industry, but the practical significance is still limited.

The large toy exporters also believe that if the tax rebate adjustment is carried out, the symbolism will be more important than the actual effect.

The biggest difficulty for domestic enterprises, he said, is that the competitiveness has become weaker and the external market demand is very weak. "I personally think the effect of tax cuts will be better."

Huo Jianguo, President of the Ministry of Commerce, said that the adjustment of export tax rebate can ease the current pressure of export enterprises, but it is difficult to solve practical problems.

He said that at present, China's export enterprises are heavily burdens, including the cost of raw materials, taxes and poor credit environment. "The government should consider and focus on a more extensive view to alleviate the pressure of enterprises, not just on minor issues."

He cautioned against the fact that China's manufacturing industry has gradually weakened its competitiveness due to cost pressures. He said data in the first half of this year showed that China's share of commodities in the international market has shrunk.

Recently, sporting goods giant

It also announced that it will close its only direct factory in China in October this year, and the factory in Suzhou has 160 workers.

The main supplier of Adidas in China is that Adidas's global orders are shrinking, especially in China.