Export Tax Rebates Bring Short-Term Benefits To Shandong'S Textile And Clothing Exports.

The export tax rebate policy adjustment since August 1st of this year will bring short-term benefits to Shandong, a major textile and clothing export province in China. The Shandong provincial foreign trade and Economic Cooperation Department estimates that the export of textile and clothing will increase by about 570 million yuan in the 5 months after this year, but its long-term impact will be limited.

It is understood that from August 1st this year, China will increase the export tax rebate rate of some textiles and clothing by 2 percentage points.

Shandong's textile and clothing exports will reach US $7 billion 400 million in the first 5 months of this year, with a corresponding increase in export tax rebates of about 570 million yuan.

Shandong Province Foreign Trade and Economic Cooperation Department official said that in the long run, the small increase in tax rebate rate only partially offset the pressure on RMB appreciation and cost rising, and its long-term impact was limited.

At present, global economic growth is slowing down overall, and external demand is weakening. The increase in tax rebate rate is difficult to change the downward trend of garment exports.

At the same time, domestic bargaining power is weak, foreign dealers will largely reduce the quoted price according to the tax rebate rate adjustment, so it is difficult for domestic enterprises to get all the benefits brought up by the tax rebate rate.