The hottest export tax rebate rate fell, and the t

The decline of export tax rebate rate accelerates the adjustment of the tire industry

Guide: Recently, the United States, India, Peru and other countries have launched a new round of anti-dumping wave against China's tire export products. At the same time, domestic enterprises have to face the decline of export tax rebate rate of tire products, and tire enterprises with domestic and foreign difficulties are deeply in export trade difficulties. Frequent anti-dumping in June this year

recently, the United States, India, Peru and other countries have launched a new round of anti-dumping against China's tire export products. At the same time, domestic enterprises have to face the decline in the export tax rebate rate of tire products, and tire enterprises struggling at home and abroad are deeply in the dilemma of export trade

frequent anti-dumping

in June this year, Titan tire company and the United States Federation of steel workers (USW) submitted a petition to the U.S. Department of Commerce and the U.S. International Trade Commission, requesting a joint anti-dumping and countervailing investigation of construction machinery, agriculture and other off-road tires from China

the complaint claims that in terms of quantity and amount, such Chinese products exported to the United States occupy a huge share of the domestic market in the United States and continue to grow, which has caused substantial damage to the U.S. industry and continues to pose a threat of material damage

the investigation period of the US side in this case is from October 1st, 2006 to March 31st, 2007, and the alleged dumping margin is 87%. According to relevant data, China exported more than 14.95 million products to the United States in 2006, with a total export volume of more than 370million US dollars. All trade and production enterprises that export the products involved to the United States during the investigation period will face accusations from the United States

in the above-mentioned case, the U.S. complainant claimed to choose India as a substitute country to calculate the dumping margin. However, Chinese tire products have also encountered anti-dumping in India

the General Administration of anti dumping of the Ministry of Commerce and industry of India recently announced that it would make a final determination on the anti-dumping investigation of twill tires of passenger cars and trucks originating in China and Thailand. The lowest CIF price limit for Chinese products is set at $10.06 per inner tube, $3.92 per tire liner, and $121.67 per rubber tire. If the enterprise is higher than the price limit, no anti-dumping duty will be levied. If it is lower than the price limit, anti-dumping duty will be levied according to the price difference. The reason why India made the above ruling is that Chinese respondent enterprises did not receive market economy treatment. It is said that this is not the first time that China's tire export products have been subject to the expansion of the measurement range of C) and the original licensed products; To anti-dumping. In recent years, with the rapid growth of China's tire exports, many countries around the world have set up trade barriers. According to the tire branch of China Rubber Industry Association, since 2001, Australia, Brazil, Peru, Egypt, Argentina, Turkey, South Africa, Mexico, India, the United States and other countries around the world have launched anti-dumping investigations on China's tire exports, of which Peru and other countries have said to impose punitive tariffs on China's tire products

the decline of export tax rebate rate is "forced"

when tire enterprises frequently encounter anti-dumping overseas, the export tax rebate rate of tires has been adjusted from 13% to 5% since July 1, and tire enterprises will face the pressure of increasing export costs

recently, Qingdao Shuangxing, Guizhou tire, Fengshen Co., Ltd. and other companies have announced the impact of the adjustment of export tax rebate rate on the company, and the profit reduction is about more than 10 million yuan

however, insiders said that on the surface, tire enterprises are under the dual pressure of anti-dumping and the decline of export tax rebate rate, but in fact, the impact of the adjustment of export tax rebate rate on most listed companies is temporary and limited. Instead, it can promote the structural adjustment of the tire industry and achieve the purpose of alleviating the pressure of overseas anti-dumping

according to Zhao Yingjie, Beijing Zhongheng Yuance information consulting company, the main reason why China's tire export products frequently encounter anti-dumping is the low price competition strategy of some tire export enterprises. In recent years, China's tire industry has developed rapidly. According to the relevant data of the National Bureau of statistics, the national tire production in 2006 has increased to 430million, second only to the United States, which ranks first in the world, of which more than one third is for export

however, the rapid development of the tire industry is facing uneven structural development. First, there are many manufacturers and small scale; Secondly, the proportion of products with low technical content is significant

at present, the average production capacity of China's tire production enterprises is only 400000 pieces/year, there are only 15 large enterprises with a production capacity of 1million pieces/year, and 3 enterprises with a production capacity of more than 3million pieces/year, while the average production capacity of 46 manufacturing enterprises in the United States is 4.4 million pieces/year. The output of 60 designated tire enterprises in China is less than that of a large foreign company

in addition, due to policy incentives in previous years, many tire projects have been launched in various regions, and there are hundreds of small tire enterprises in Shandong Province alone. These enterprises are small in scale, poor in technology and equipment, and low in product quality. In the process of exporting to developing countries, they compete to hold down prices, and some even dump at a loss. Relying on export tax rebates to maintain profits has seriously affected the image of China's tire exports, which is also the reason why China's tire products are frequently subjected to overseas anti-dumping. Most of the bias ply tires produced by small manufacturers are of low technical content, which runs counter to the trend of meridian in the world tire industry

Liu Jin, an analyst at Haitong Securities, said that the reduction of the export tax rebate rate will force the export price of tires to rise. As large manufacturers mainly export high-end products, it is easier to increase the price; It is not easy for small manufacturers to raise the price of low-end products. Therefore, the adjustment of export tax rebate rate will aim to squeeze the living space of small manufacturers, thus driving the increase of integration in the industry and reducing international trade frictions, which is beneficial to listed tire enterprises such as Fengshen Co., Ltd

the decline in the export tax rebate rate also prompted enterprises to increase investment and develop high-end products such as giant engineering radial tires and environmentally friendly tires with high profits, challenging the monopoly of multinational enterprises on world tire technology and development trends

(source: China Securities Journal)