19 December 2007 11:34 [Source: ICIS news]
BEIJING (ICIS news)--China will keep up pressure to reduce its exports in 2008 after cutting subsidies this year and it was considering slapping taxes on exports of energy-intensive and environmentally unfriendly products, industry sources said on Wednesday.
He estimated that plastic converters would lose $1.2bn in revenue from the eight percentage point subsidy cut.
The rebate cuts have failed to reduce exports, which grew by about 20% to nearly $24bn in November from the same month a year ago, Guo said, adding that the world’s reliance on
Buyers found it hard to switch their purchases to other countries and the cuts created an opportunity for converters to raise their prices, he said at the 2007 China Petroleum and Petrochemical Economics conference organised by the China Petroleum and Chemical Industry Association (CPCIA).
Part of the costs was absorbed by middlemen, he added.
Strong demand globally and within
For exports of energy-intensive and environmentally unfriendly products such as aluminium and caustic soda,
However, producers could also face more trade protection measures after anti-dumping cases in
The industry could also face higher operating costs next year as prices of raw materials such as salt and electricity were rising, he added.
Electricity, which made up more than 50% of chlor-alkali costs, could increase as coal prices were forecast to rise 10%, Zhang said, adding that
The central government would soon release standards on emission and safety for products in the chlor-alkali chain in addition to the recent announcement from the country’s top economic planner restricting investment, Zhang said, adding that these would raise entry barriers to the industry..
The standards will also affect existing plants as
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