China looks to reduce steel production volume
Steel

China looks to reduce steel production volume

The Chinese Ministry of Finance and the State Administration of Taxation (customs tariff commission) has announced that it will abolish export rebates (13% on VAT), with effect from May 1.

The Ministry on April 28 announced that it would remove export tax rebates for 146 steel products from May 1, while waiving import tariffs for some products, including pig iron, crude steel, recycled steel raw materials and ferrochrome, while the earlier rebates of 13% would continue. With the move, China looks to reduce steel production volume in the country.

The products without export rebates would include pig iron, seamless and ERW pipes (all sizes), hollow sections, wire rods, rebar, PPGI/PPGL coils and sheets, CRS, HRC, HRS and plates in carbon, alloy/SS, SS/alloy bars and rods, round/square bars/wires, structural and flat products, steel sheet piles, railway materials, articles of cast iron.

Elimination of export rebates is related to abolishing import duties on pig iron, DRI, ferrous scrap, ferrochrome, MS carbon and SS billets to zero with effect from May 1, 2021. In addition, China has raised the export duties on ferrochrome and ferrosilicon from 15% to 20%, on high silicon steel from 20% to 25% and on foundry pig Iron from the current level of 10% to 15% from May 2021.

The price of steel rebar on the Shanghai Futures Exchange hit a record high on April 30, reaching $848 a tonne, the strongest since trading began in 2009.

As assessed by commodity price reporting agency Argus, spot iron ore for delivery to north China reached $193.50 a tonne on April 27, eclipsing its previous high reached in 2011.

Image Source


Also read: End users are paying for steel price rise

Also read: Steel price cooldown not seen anytime soon

The Chinese Ministry of Finance and the State Administration of Taxation (customs tariff commission) has announced that it will abolish export rebates (13% on VAT), with effect from May 1. The Ministry on April 28 announced that it would remove export tax rebates for 146 steel products from May 1, while waiving import tariffs for some products, including pig iron, crude steel, recycled steel raw materials and ferrochrome, while the earlier rebates of 13% would continue. With the move, China looks to reduce steel production volume in the country. The products without export rebates would include pig iron, seamless and ERW pipes (all sizes), hollow sections, wire rods, rebar, PPGI/PPGL coils and sheets, CRS, HRC, HRS and plates in carbon, alloy/SS, SS/alloy bars and rods, round/square bars/wires, structural and flat products, steel sheet piles, railway materials, articles of cast iron. Elimination of export rebates is related to abolishing import duties on pig iron, DRI, ferrous scrap, ferrochrome, MS carbon and SS billets to zero with effect from May 1, 2021. In addition, China has raised the export duties on ferrochrome and ferrosilicon from 15% to 20%, on high silicon steel from 20% to 25% and on foundry pig Iron from the current level of 10% to 15% from May 2021. The price of steel rebar on the Shanghai Futures Exchange hit a record high on April 30, reaching $848 a tonne, the strongest since trading began in 2009. As assessed by commodity price reporting agency Argus, spot iron ore for delivery to north China reached $193.50 a tonne on April 27, eclipsing its previous high reached in 2011. Image SourceAlso read: End users are paying for steel price rise Also read: Steel price cooldown not seen anytime soon

Next Story
Infrastructure Transport

BMC Gets CRZ Nod For Rs 40 Million Gorai Bridge Rebuild

The Brihanmumbai Municipal Corporation (BMC) has secured Coastal Regulation Zone (CRZ) clearance for the reconstruction of the Poisar River bridge in Gorai, located in Mumbai’s western suburbs. However, the proposed demolition of the existing 100-metre bridge has sparked opposition from local residents, who claim it serves as the only direct access route between the Lower and Upper Koliwada areas. The three-decade-old bridge, situated within the CRZ buffer zone, was recently declared structurally unsafe following a civic audit. The BMC has sanctioned its reconstruction at an estimated cost ..

Next Story
Infrastructure Transport

NHAI Completes Rs 15.9 Billion Four-Lane Stretch On ECR

The National Highways Authority of India (NHAI) has completed the four-laning of the 38 km Puducherry–Poondiyankuppam stretch, ending near Cuddalore, in a development that will cut travel time by up to two hours, according to a report by The New Indian Express. The upgraded section, built at a cost of Rs 15.9 billion under the Bharatmala Pariyojana Phase I, marks a major milestone in the ongoing East Coast Road (ECR) widening programme. The project promises a smoother, faster drive for motorists travelling towards Cuddalore, Chidambaram, Sirkazhi, and Nagapattinam. With this completion, 22..

Next Story
Infrastructure Transport

Encroachments Delay Rs 1 Billion Ghatkopar Bridge Project

The construction of a new cable-stayed rail overbridge at Ghatkopar and the widening of the Andheri–Ghatkopar Link Road (AGLR) have been delayed due to the presence of nearly 250 encroached structures on both sides of the road. In response, Municipal Commissioner Bhushan Gagrani has directed officials to carry out a structural audit of the existing bridge over the railway line and enforce temporary restrictions on heavy vehicles to ensure public safety. The bridge, which starts at the Golibar Road junction near LBS Marg and extends up to the Eastern Express Highway (EEH), serves as a critic..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?