Time：2024-11-06
Last month, steel scrap imports from Japan, China's largest supplier of ferrous scrap, increased by a similarly hefty 35% from July to 55,558 tonnes, with Japanese scrap accounting for around 83% of the total import volume, the data show.
The tonnage which cleared China Customs in August was mostly fulfilling orders in July, as several weeks are usually needed for import cargoes to arrive at Chinese ports, Mysteel Global noted.
Back in July, steel scrap recycling and processing activities in outdoor sorting yards in China had slowed as summer temperatures soared, leading to a decline in overall scrap supply in the domestic market. Consequently, some Chinese scrap consumers such as electric-furnace steelmakers chose to order ferrous scrap from foreign suppliers as a substitute, according to a Shanghai-based market watcher.
In parallel during July, Japanese steel scrap prices had been trending downward, due both to a supply surplus and to cooling buying interest from users in other countries, she added. The weakening of offer prices from Japanese exporters made it more acceptable for Chinese steelmakers to table orders.
For example, by the end of July, Japanese prices for HS scrap materials had fallen by $80/tonne on month to $390/t CFR China port. In contrast, also by end-July Shagang Group was paying Yuan 2,770-2,830/t ($391-399/t) for the domestically-produced HMS grade scrap including the delivery to its steelworks and the 13% VAT, according to the company's release.
Shagang Group, China's leading EAF steelmaker, is headquartered in East China's Jiangsu province.
Source: GACC
Written by Sean Xie, xiepy@mysteel.com
Edited by Zhenqi Yang, yangzhenqi@mysteel.com
The purchase date refers to the issuing date of valid documents such as unified invoices for motor vehicle sales or special payment letters for customs duties, according to a release on MOF's website.
NEVs qualified for the tax reliefs or waivers include pure electric vehicles, plug-in hybrid electric vehicles (including extended-range electric vehicles) and fuel cell vehicles listed in the catalogs issued by MIIT and State Administration of Taxation.
China's MIIT and taxation agency release the catalogs of auto manufacturers and their NEV models eligible for tax reliefs or waivers from time to time, and the latest list - the 58th batch - was posted on MIIT's website on September 15, Mysteel Global noted.
NEVs in the list of catalogs released prior to December 31 2022 will continue to be exempted from purchase taxes, according to the MOF release.
It's the third time for China to have extended the exemption of purchase taxes on NEVs since the country first introduced the policy in September 2014, as the latest tax exemption is set to expire by the end of this year.
"The extension of the policy is expected to further boost NEVs sales and benefit both NEVs manufacturers and consumers," a market source in Shanghai told Mysteel Global.
Over January-July, China sold 3.19 million units of NEVs, soaring by 120% on year. And the vehicles were exempted from purchase tax of Yuan 40.68 billion ($5.7 billion), a surge of 108.5% percent on year, according to the data from China Association of Automobile Manufacturers.
Source:Mysteel
--Written by Nancy Zheng, zhengmm@mysteel.com
--Edited by Zhenqi Yang, yangzhenqi@mysteel.com
51mocai
Origin Special Steel