China’s steel suppliers preparing for tax rebate cuts

Chinese steel mills and traders have been making preparations to shield their business from the impact of any cuts to export tax rebates on certain steel products being mulled by the central government. Industry sources say there’s a new sense of urgency to the planning amid increasingly loud rumors in and out of China that the rebate cuts will be announced in a few weeks.

As of the morning of March 18, no official announcement had been released, and tax policy department officials at China’s Ministry of Finance – the department responsible for formulating such policies – declined to comment on the issue. Meanwhile, the market chatter has intensified lately, Mysteel Global notes, with the