F Reign Trade
Total Page:16
File Type:pdf, Size:1020Kb
JUL. 2014 No. 541 Sponsored by CCPIT Since 1956 CHINA’S F REIGN TRADE SPECIAL REPORT Rural Financial Service to be Improved and Innovated SURVEY China’s Express Industry Surges Eric Y. T. Chuo, Global Chairman & CEO of HIWIN Group, an Innovative Precision Machinery Manufacturer 国内邮发代号:80-799 国内刊号:CN11-1020/F 国际邮发代号:SM1581 国际刊号:ISSN0009-4498 Follow us on WeChat http://www.ccpit.org 重庆市腾龙磨料磨具有限公司 CHONGQING TENGLONG ABRASIVES CO., LtD. Situated in Yanjia Industrial Park of Changshou Defined by good stability, high safety and long District, Chongqing city, Chongqing Tenglong durability, the company’s series products such as vitrified Abrasives Co., Ltd. (hereinafter referred as Tenglong abrasives with diameter less than 900 mm, high-speed Abrasives for short) is a sole proprietorship engaging fiber resin slices and grinding films are widely used in the in R&D, production and sales of vitrified abrasive and domains including woodworking, machinery, ship building resin abrasive series products. Tenglong Abrasives and automobile. Tenglong is also able to provide tailored boasts of advanced management model, world- production and processing of complicated heterotype, class production equipment and leading production super thick, super thin, super soft and imported out-of-print technologies among the domestic counterparts. abrasives based on customers’ requirements. Tenglong’s Tenglong Abrasives has been growing fast and all abrasives gain great popularity in both the domestic and of its progress is attributed to the great support from the international markets and have been certificated by the Changshou District Business Promotion Bureau (namely ISO9001 international quality system. the District Foreign Trade and Economy Commission) With the philosophy “quality and customer come and the District Finance Bureau. In particularly, Huang first”, Tenglong Abrasives is striving to provide quality Guangmu, Deputy Chairman of the Business Promotion products as well as satisfactory and convenient after- Bureau and Tao Ran, Chief of Foreign Trade Division sale services for customers. Tenglong Abrasives has made special visit to Tenglong Abrasives to lend support, set pre-sales, under-sale and after-sale service branches which significantly encouraged the companies’ executives across the country and its mature after-sale service and general staff and boosted the company’s product system brings great popularity for its products among exports year on year. domestic and overseas customers. CHONGQING TENGLONG ABRASIVES CO.,LTD. Marketing Department: No.106,Unit B,Jinke hardware electrical building,Jiulong Industrial Park,Chongqing City,China. Tel: 86-23-68666208 Fax: 86-23-68669492 Add: No.9,South Hequan Road,Yanjia Industrial Park,Changshou District,Chongqing City Tel: 86-23-40715816 Fax: 86-23-40716702 Web: www.tlmlmj.cn E-mail: [email protected] POLICIES PBOC guidelines to boost foreign trade flat 3 percent for many small businesses, ef- fective July 1, according to China Daily. The 4 percent and 6 percent rates were eliminated to make the system fairer, the ministry said. An executive meeting of the State Coun- cil, the cabinet, said last week the move is expected to reduce companies’ tax burden by about 24 billion yuan ($3.84 billion) a year. Zhang Bin, a tax policy researcher at the Chinese Academy of Social Sciences, said the move will simplify tax collection and lower the tax burden for some companies, so it’s good news for all. At present, VAT rates range from 2 per- cent to 17 percent. The rate cut will mainly benefit the water sector, small hydropower China’s central bank issued guiding opinions to support stable growth of for- facilities, building materials producers and eign trade. The People’s Bank of China said in a statement published on its website biological products manufacturers, all of that it will encourage financial institutions in the banking sector to broaden funding which now pay 6 percent VAT. channels for Chinese enterprises, innovate financial products and services, and fur- Also benefitting will be consignment ther expand financing through export credit insurance, chinadaily.com.cn reported. stores, pawnshops and auction houses, which The PBOC will support qualified financial leasing companies to expand now pay a VAT rate of 4 percent. funding channels by issuing financial bonds and participating in pilot projects for This reform mainly targets small and credit asset securitization. Apart from simplifying cross-border trading and yuan medium-sized companies involved in the settlement procedure for direct investment, the central bank will also support sale of certain commodities, he said, add- cooperation among financial institutions and payment service providers on cross- ing that the new policy won’t mean much border yuan settlement. change for the shift from business tax to Multinational corporations are allowed to carry out centralized cross-border VAT, because the companies are already yuan fund operations, including two-way cross-border yuan cash pool business, ac- subject to VAT and generally not eligible to cording to regulations of the PBOC. Financial institutions can provide cross-border claim VAT credits. yuan settlement service for trade in goods and services developed by individuals based on the institutions’ knowledge of the clients and due diligence check. China introduces ratings on local govt bonds Small firms get a break on VAT Credit ratings will be introduced to a The Ministry of Finance announced that the value-added tax rate will be a local government bond-issuance pilot, in a 、 FIGURES 6.7% 0.5% 12.5% Foreign direct investment China’s foreign trade volume declined China’s retail sales (FDI) into the Chinese main- 0.5 percent year on year from January to grew 12.5 percent year on land fell 6.7 percent year on April to $1.32 year to 2.13 trillion yuan year to $8.6 billion in trillion, cus- ($348.36 billion) in May, May, the Ministry t o m s d a t a the National Bureau of Sta- of Commerce said. showed. tistics (NBS) said. 2 QUOTES move to enhance risk prevention, the China’s economy Ministry of Finance announced, Xin- is not heading to a hard hua News Agency reported. landing. As long as The ratings will come in nine China moves in the right levels, which are AAA, AA, A, BBB, direction, makes good BB, B, CCC, CC and C. The AAA rat- use of Oriental wisdom ing indicates an extremely low default and draws on Western risk, with C suggesting inability to experiences, its economy repay debts, according to a document will keep growing at a released by the ministry. moderate to high pace in The new rule came after four more the long run. local governments — Beijing, Jiangxi, — Chinese Premier Ningxia and Qingdao — were allowed Li Keqiang to issue bonds directly in May. A total of 10 local governments are authorized for independent bond issuance and re- payment. Bond-issuance by local gov- ernment was initiated in October 2011. The Chinese government is encouraging investment in many ar- Local governments are required eas for the sake of economic growth, as investment still plays a criti- to publicize credit ratings for their cal role for the country. More non-public capital is welcome in areas bonds, the local economic develop- that could stabilize the economy. ment, fiscal income and expenditures, — Huang Min, head of fixed-asset investment department with as well as the liabilities, according to the National Development and Reform Commission (NDRC) the new rule. Increased overseas patent filings from Chinese applicants showed a positive sign for China’s innovation and economy. A changing picture was observed as patent filings abroad by Chinese companies and re- search institutes have been growing rapidly. — Carsten Fink, chief economist of the World Intellectual Property Organization (WIPO) 、 4t 2.5% 1.4% China’s foreign China’s consumer price index (CPI), China’s producer price exchange reserves a main gauge of inf lation, in- index (PPI) contracted 1.4 have risen to creased 2.5 percent year on year percent year on year in May, around $4 trillion, in May, up from 1.8 percent in following a 2-percent decline said a foreign ex- the previous month, official data in April, data from the NBS change official. showed. showed. 3 POLICIES China announces details of targeted RRR cuts Regulator to streamline crowd funding in China China’s central bank announced that it will cut the reserve requirement ra- tio (RRR) by 0.5 percentage points for banks engaged in proportionate lending China Securities Regulatory Commis- to agricultural and small firms, Xinhua reported. sion (CSRC) is mulling plans to regulate The cut took effect from June 16, said a statement released by the People’s crowd funding, an online financing vehicle, Bank of China (PBOC), the central bank. to ward off risks, according to China Busi- The statement provided the details following a cabinet decision late last ness News on June 16, a move that will put month to launch narrow-based RRR cuts for banks engaged in lending to agri- the brakes on the booming Internet finance culture-related businesses and small and micro-sized companies, in efforts to industry. enhance financial support to the real economy. Industry insiders told the newspaper that Banks eligible for the cut include those whose new loans to agriculture- CSRC regulations on peer-to-peer and crowd related entities accounted for at least half of their total new lending in the last funding services are expected to be released fiscal year; banks whose outstanding loans to agriculture-related entities ac- earlier than those of the country’s banking counted for at least 30 percent of their total outstanding loans in the last fiscal regulatory commission, as CSRC Chairman year will also be qualified for the cut, the statement said. The same rule applies Xiao Gang has launched field investigations to banks engaged in lending to small and micro-sized companies, according to on the industry.