Prices
January 7, 2016
Asian Scrap Markets Waiting for Chinese Export Tax Rebate Change
Written by Damon Sun
The following article is by contributing writer Damon Sun of Daido International.
The Asian markets were anticipating the elimination of China’s export tax rebate, which has not happened yet. Likely, it will not happen. Anticipation of the elimination of China’s export tax rebate would have an impact of 9-13 percent increase in China’s exports of some finished products such as billets. The more likely scenario is China’s Customs department cracking down on inspections. The small square billets that are being exported from China is being classified as small square finished bars as opposed to billets. So depending on the situation with customs, prices may move higher if China’s customs starts forcing the correction classifications.
