Rumors have spread among traders in China that in August or September the government might remove all the remaining VAT rebates for exports of steel. However, it is still uncertain whether these rumors have just been invented in order to liven up the market, or whether they may have a factual basis.
For the time being, the only official announcement was made by a spokesman for the State Administration of Taxation at a press conference on July 11. The spokesman said that whether the remaining export rebate applications would be released or not would mainly depend on the effect of the policies announced previously, as well as on the state of economic development. Therefore, the limiting effect on exports of the latest policies announced by the government will have to be seen first.