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Export tax on metals
By Yan Yang (China Daily)
Updated: 2004-12-28 08:45

China will impose an export tax of 5 per cent on its aluminium exports beginning January 1, to rein in the exports of the energy-intensive products.

And a 2-per-cent rate will be collected on nickel, according to the Ministry of Finance.

The government will impose a tax of 10 per cent on exports of blister copper and scrap copper and 5 per cent on refined copper exports.

The move is designed to curb exports of the energy-intensive metals next year, as China is short of such energy and short of enough power to produce such goods.

The ministry announced on December 18 that it will resume export tariffs on resources-related products, but did not release specific rates.

The export tariff on aluminium previously dropped to zero in 1999, while those on copper and nickel dropped to zero in 2000.

Analysts also believe the move may represent the government's latest attempt to rein in investment in aluminum production, a sector seen as overheating.

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