According to sources in the China Iron and Steel Association (CISA), in a bid to tackle the problem of slumping steel exports the CISA recently submitted a report to China's Ministry of Finance suggesting that the export rebate for steel products be increased.
According to the report in question, the current five percent export rebate rate for steel products including cold rolled sheet, galvanized coils, alloy steels, and other high value-added steel products should be increased to 17 percent. In addition, the report also suggests increasing the export rebate from zero to 13 percent for hot rolled coils, regarding which materials a serious overcapacity problem is now being experienced in China. However, the proposals have not yet been approved by the Ministry of Finance, and no further details have been disclosed to the public.