China says to scrap export tax rebate for aluminium, copper
by AFP Staff Writers
Beijing (AFP) Nov 15, 2024

China's finance ministry said Friday it was cancelling export tax rebates for metals like aluminium and copper, and certain other goods, beginning next month.

"The export tax rebate for aluminium, copper, and chemically modified animal, vegetable, or microbial oils and fats will be cancelled," a ministry statement read, adding that the measure would take effect from December 1.

The move would increase the cost of selling such materials for local companies in China, the world's top metals exporter.

Aluminium and copper are key materials in the manufacturing, construction and automotive industries and importers of these metals -- including the United States, Japan and South Korea -- may face higher prices after the tax rebate is scrapped.

In addition, the export tax rebate rate for "certain refined oil products, photovoltaic products, batteries, and some non-metallic mineral products" will be reduced from 13 percent to nine percent, according to the finance ministry statement.

In London, aluminium prices jumped more than seven percent at around 1200 GMT. Copper prices also rose more than one percent.

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