According to China's Financial Ministry, China may cut the exports rebate for some certain products. It is reported that the rebate for the exports of aluminum products will fall to 9% from current 13%, meanwhile the current rebate for the stainless products is 5% and may be cancelled in future.
Last year, China's government revoked the rebate for the exports of HR, heavy and medium plates and section steel etc. While China's government still did not revoke the rebate for some specific steel alloys, such as the boron-added products.
As for the non-ferrous metal, the rebate for the exports of aluminum products will fall to 9% from current 13%, which may cause a panic for the traders in the market.
"China's aluminum exports have suffered from the anti-dumping and countervailing measures from US, Canana, Australia and Turkey. If the government adjust the rebate rate, the domestic aluminum enterprises' competitiveness and enthusiasm to develop new market will be dented drastically' an analyst said.