China’s APT exports up 29% m-o-m in April following VAT cut

China exported 524 tonnes of ammonium paratungstate (APT) in April 2019, an increase of 28.7% from the 407 tonnes shipped in the prior month, according to official, but unconfirmed, data seen by Fastmarkets MB.

Market participants attributed the significant month-on-month increase to a three-percentage-point reduction in China’s rate of value-added tax for the manufacturing sector to 13% from 16%, effective April 1.
The move saw Chinese exporters lower their offer prices for APT at the beginning of April, which in turn stoked interest among downstream buyers and traders and many had placed orders for shipment in early April, market sources said.

“If we purchased raw materials in March, the input tax is 16% VAT. Then if we sold in April, the output tax would only be 13% VAT, which meant a reduction in tax fees of 3%. Therefore, at the beginning of April, we cut offer prices slightly to facilitate business,” a China-based...

Published

Huaqing Fu

May 30, 2019

10:37 GMT

Shanghai