General Administration of Customs:
In accordance with the regulations of the people's Republic of China on Import and Export tariffs and the second Amendment to the Asia-Pacific Trade Agreement approved by the State Council, it has been decided that, with effect from 1 July 2018, those countries originating in Bangladesh, India, Laos, Korea, Sri Lanka's imports are subject to the Agreement's rate of tax on the second Amendment to the Asia-Pacific Trade Agreement.
According to the data released by the Customs and Excise Department, the import MFN tax rate of 28030000 carbon (carbon black and other forms of carbon not listed in tax lines) has been reduced from 5.5 to 3.6. What is the actual impact on the carbon black market?
According to customs data: Bangladesh, India, Laos, South Korea, Sri Lanka, the five countries, China imports from South Korea and India.
Carbon black in 2017 comes from South Korea and India imports over the total volume
From the figure, we can see that domestic imports of Korean carbon black is relatively large, the amount of imported Indian carbon black is relatively small, the two countries' total exports account for 13% of the total export volume, so how big is the impact on the domestic market?
First, in terms of the major imported carbon black varieties, the main domestic imports of pigment carbon black, conductive carbon black and other high-end carbon black; second, in terms of the amount of money, the tax rate was lowered. Carbon black imported from South Korea and India will be about 200 yuan cheaper per ton. Third, in terms of quantity, about 13000 tonnes of carbon black were imported from South Korea and India in 2017, compared with about 5.53 million tonnes of domestic carbon black in 2017.
In summary, according to SHENYANG SUNNYJOINT analysis, MFN tariff reductions may have an impact on other high-end carbon black markets, such as domestic pigments, electric conductors, etc. But the domestic carbon black market is still dominated by rubber carbon black, and in terms of quantity, the import volume is compared with domestic production. A small number, so overall, the MFN tax rate cut to the carbon black market shadow is limited.As a big supplier of rubber chemicals in China and North America market, Shenyang Sunnyjoint Chemicals Co., Ltd. will keep an eye on the carbon black market fluctuate.