Exporters for export tax rebate increase silver
Chinese domestic price of silver relative to the premium market price of silver in London about three years to reach the highest, because exporters to obtain export tax rebates and strengthening the export of silver consumed silver inventory.
According to the Shanghai Gold Exchange, China this month and last month, the price of silver up to 17% compared with the London silver price premium. In the past six years, only two more than the magnitude of the premium. Data show that Shanghai Futures Exchange monitored warehouses, silver inventories had fallen to 115 tonnes, down 80 percent from a peak in February of this year. Precious metals analyst at Capital Futures in Beijing Liu Xu said: "Silver stocks fell because exporters put some silver products classified as silver wire guidance due to increased exports."
Liu Xu said: "This is an open secret in the Chinese silver industry, many exporters are almost undisguised attempt to profit from the export tax rebate in overseas markets for silver wire-guided audio equipment is not so much demand. but this year a lot of silver exports have been labeled a 'wire' label. "
Silver guidance lines, such as wires for audio equipment is classified manufactures, you can enjoy a 17% tax rate. Governments in the hope that this tax measures to encourage the development of domestic high-end manufacturing.
According to the Beijing Antaike Information Development Co., Ltd., during the solar industry to increase demand for silver in China into a net importer of silver, and before 2010, China is largely a net exporter of silver. The company said in a report released Oct. 20 said the Chinese government in that year (2010) the phasing out of the export tax rebate Seng Bank.
Liu Xu said the Chinese government may soon close the tax loophole, because the higher the premium also stimulated Chinese silver silver smuggled back to China. Shenzhen Customs Oct. 15 said it seized smuggled in from Hong Kong, 400 kg of silver.