Export tax rebates cancellation forces industry upgrades; Tongyu New Materials hits the 20% daily limit.

(Source: Caixin News)

For relevant foreign trade companies, the cost changes brought about by this policy adjustment have become an established fact, and companies need to make response plans as soon as possible.

On April 7, the electronic chemicals sector surged sharply, with Tongyu New Materials (301630.SZ) hitting a 20-cent limit-up, Dongyue Silicon Materials (300821.SZ) reaching a 20-cent limit-up, and Lingwei Technology (301373.SZ) rising nearly 13%. Guanggang Gas (688548.SH), FiwoTech (688371.SH), Fangbang Co., Ltd. (688020.SH), Ruilian New Materials (688550.SH), Wanrun Co., Ltd. (002643.SZ), and others followed the rally.

In terms of news, recently, the Ministry of Finance and the State Taxation Administration jointly issued Announcement No. 2 of 2026, clarifying that starting from April 1, 2026, the VAT export tax rebate policies for series products such as photovoltaics and batteries will be adjusted. Fluorinated chemical industry chain products such as lithium hexafluorophosphate and trichloroethylene are included in the scope of canceled export tax rebates. These adjustments will directly impact the export links of related industries. The specific product list includes categories such as 2404120000 (non-tobacco or reconstituted tobacco products, non-combustible nicotine-containing products), 28269020 (lithium hexafluorophosphate), 29032200 (trichloroethylene), among others. From April 1, these products will no longer be eligible for VAT export tax rebates.

Industry insiders point out that for relevant foreign trade companies, the cost changes resulting from this policy adjustment are now an established fact, and companies need to quickly develop response plans. In the short term, companies should review existing export orders, accelerate the processing of orders that can be declared before April 1, and fully enjoy the current rebate policies; at the same time, recalculate export costs, consider the adjustment of rebate rates, and negotiate pricing with overseas clients to reasonably transfer cost pressures. In the medium to long term, companies need to accelerate industrial upgrading through technological innovation to increase product added value and reduce dependence on export tax rebate policies; at the same time, optimize market layout, expand domestic market channels, and achieve a dual circulation development of domestic and international markets to hedge against overseas export cost pressures.

Additionally, geopolitical game dynamics continue to ferment. According to CCTV News, at a press conference held at the White House, U.S. President Trump stated that if Iran does not “surrender” before 8 p.m. Eastern Time on April 7, he will strike Iran’s civilian infrastructure