"As in prior years, in 2019, the Chinese government attempted to manage the export of many primary, intermediate, and downstream products by raising or lowering the VAT rebate available upon export. China sometimes reinforces its objectives by imposing or retracting export duties. These practices have caused tremendous disruption, uncertainty, and unfairness in the global markets for some products, particularly downstream products where China is a leading world producer or exporter, such as products made by the steel, aluminum, and soda ash industries. These practices, together with other policies, such as excessive government subsidization, also have contributed to severe excess capacity in these same industries. An apparently positive development took place at the July 2014 S&ED meeting, when China committed to improve its VAT rebate system, including by actively studying international best practices, and to deepen communication with the United States on this matter, including regarding its impact on trade. Once more, however, this promise remains unfulfilled. To date, China has not made any movement toward the adoption of international best practices." (Source: user.gov .....2020 US-China trade barriers)
Perhaps our Government should do similar to the Chinese Government when it does not refund VAT (like our GST) on select exports.
That is, to not refund GST inputs for unprocessed ores exported to China. This, IMO, would be a reasonable response to China bunging
80% import duty on our barley exports and virtually prohibiting our beef wine & fish exports.
If China is using this strategy to limit/regulate its targeted exports then surely it would not object to us applying a similar strategy?
And please, do yourself a favour & address the topic rather than resorting to attacking the poster.
This is an conomics thread ; not a shit slinging forum.
If you want to attack the poster, then perhaps you should post on the political threads where that seems to be the norm.
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