FEATURE: How will stricter export tax regulations impact China's stainless exports?

Source: Mysteel Apr 03, 2025 10:20

On March 28, five key Chinese government departments including the Ministry of Finance, the State Taxation Administration (STA) and others, announced the introduction of stricter tax regulations on goods exports, aiming to close loopholes in export management and enhance tax compliance. Specifically, the aim is to comprehensively strengthen supervision of "Buying Bill Export (Export without VAT)" practices as they relate to steel, by enterprises evading taxes through false contracts, low-priced invoices or underground foreign exchange settlements.

This policy shift has sent ripples through China's steel export sector, especially among stainless steel exporters where the practice of purchasing export license documentation to evade domestic taxes has long been a persistent issue. Chinese stainless items have gained increasing popularity among overseas buyers due to their competitive pricing