China strengthens new regulations on steel export management, focusing on tax compliance and market order

Recently, five major government departments in China SA542 Type B steel jointly issued new regulations on steel export management, focusing on strengthening tax compliance audits and regulating export order, aiming to enhance export transparency and optimize the overall image of China's steel in the international market.

The new regulations propose that steel exports must undergo tax registration and verification during the customs declaration process, further strengthening corporate responsibility and preventing the evasion of tax obligations through non-standard means. At the same time, we will strengthen control over the issue of some enterprises using "quick registration cancellation" and other operations to evade supervision, and promote the legal and compliant operation of market entities. For behaviors such as false declarations and non-standard operations, relevant departments will handle them in accordance with the law, and those with serious circumstances may bear corresponding legal SA542 Type B steel responsibilities.

Since the adjustment of the steel export tax rebate policy in 2021, some export enterprises have participated in international trade through "proxy exports" and other means, resulting in sustained pressure on market prices. In this context, relevant departments have launched this round of policies aimed at guiding enterprises to compete rationally, preventing low prices from disrupting market order, and further maintaining the fair image of China's steel products in the international market.

The industry generally believes that the new regulations will help curb disorderly competition, promote the adjustment of export structure towards high added value and high quality, and enhance the international competitiveness of China's steel industry chain.

In addition, in early March this year, the authorities released a signal to promote structural optimization in the steel industry by reducing production capacity. Although the specific scale of SA542 Type B steel production reduction is not yet clear, the market expects a moderate contraction in steel production this year, possibly around 50 million tons. The continuous release of policy signals also demonstrates the regulatory authorities' firm attitude towards the healthy development of the industry.