SteelOrbis Shanghai
On November 19, convened by China's Coking Coal Industry Association, the coking coal associations and enterprises of several regions in China exchanged ideas and came up with six proposals on how to enlarge the coking coal market and adjust the industry structure. The proposals in question include decreasing the taxes on coking coal and chemical products, raising the export tax rebate for deep processing products, and establishing a price linkage mechanism between the coking coal, coke and steel industries.
The participants at the meeting reached a consensus that the export tax on coke should now be reduced from 40 percent back down to 25 percent or even be removed altogether.
On August 20 this year the interim export duty on coke was raised from 25 percent to 40 percent, in the largest coke tariff adjustment since early this year. As a result of this restrictive measure, China's coke exports dropped to just 530,000 metric tons for October.
Besides the tax adjustment, the Coking Coal Industry Association also advised the restoration of the five percent tax rate for chemical products and the 10 percent tax for deep processing products, as well as the subsidization of municipal gas producing enterprises.