The EU intends to launch an anti-subsidy investigation on Chinese electric vehicles, and the RMB exchange rate will stage a "big counterattack"丨Foreign Trade News Express

The RMB exchange rate staged a "big counterattack"

 

 

Affected by the strengthening of the US dollar index, the RMB came under pressure again in early September, and the RMB exchange rate depreciated rapidly last week.On September 9, the offshore and onshore RMB fell below the 7.36 and 7.35 levels respectively during intraday trading, both hitting new lows in more than 10 years.

 

 

Wind data showed that the onshore RMB exchange rate against the US dollar rebounded sharply on the morning of September 11. As of 10:00, the onshore RMB exchange rate against the US dollar was 7.3241 yuan, up 174 basis points from the closing price of the previous trading day, and the highest intraday price was 7.3111 yuan, regaining the 7.32 yuan mark.

 

The People's Bank of China's official website recently announced that financial management departments have the ability, confidence and conditions to keep the RMB exchange rate basically stable, and will take action when necessary.The RMB exchange rate then rose rapidly, once regaining the 7.3 mark.

 

On September 13, the latest inflation data released by the United States was stubborn, and the market's expectations for the Federal Reserve to raise interest rates in November increased. The US dollar index hovered at a one-week low.The offshore RMB rose above the 7.27 mark against the US dollar at one point, rebounding 928 points from the closing price on September 8.

 

 

Bloomberg reported on the 11th thatImproved credit demand, easing deflationary pressures and RMB appreciation further indicate recent signs of stabilization in China's economy and financial markets.The report also believes that a series of improved economic data in August indicate that the July data may be the low point in China's economic recovery.

 

The special meeting of the national foreign exchange market self-discipline mechanism held on the 11th pointed out that as domestic policies to stabilize the economy and expectations were successively introduced and implemented, the year-on-year growth rate of consumer prices (CPI) bottomed out and turned positive.Import and export data are better than expected, the effects of real estate policies are gradually emerging, consumption has clearly picked up, scientific and technological innovation has continued to make breakthroughs, China's high-quality economic development continues to advance, and the momentum for economic "progress" is accumulating.

 

 

The tax policy for cross-border e-commerce export returns will continue to be implemented

 

In order to support the accelerated development of new business forms and models such as cross-border e-commerce, the Ministry of Finance, the General Administration of Customs and the State Administration of Taxation recently jointly issued the "Announcement on the Continuation of the Implementation of the Tax Policy for Cross-border E-commerce Export Return Goods."

 

The announcement stipulates that for goods (excluding food) declared for export under the cross-border e-commerce customs supervision code (1210, 9610, 9710, 9810) between January 30, 2023 and December 31, 2025, and returned into the country in the same condition due to unsale or return within 6 months from the date of export, import tariffs and import value-added tax and consumption tax shall be exempted; export tariffs collected at the time of export shall be refunded; value-added tax and consumption tax collected at the time of export shall be implemented in accordance with the relevant tax provisions on returns of domestic sales goods; other provisions shall still be implemented in accordance with the relevant provisions of the "Announcement of the Ministry of Finance, General Administration of Customs and State Administration of Taxation on the Tax Policy for Cross-border E-commerce Export Return Goods" (Announcement No. 4 of the Ministry of Finance, General Administration of Customs and State Administration of Taxation in 2023).

 

The announcement extends the deadline for enterprises to declare exports under the cross-border e-commerce customs supervision code from January 29, 2024 to December 31, 2025.

 

 

EU plans to launch anti-subsidy investigation into Chinese electric vehicles

 

The European Commission’s official website disclosed that European Commission President von der Leyen said in her fourth “State of the Union” address to the European Parliament that the European Commission will launch an anti-subsidy investigation into electric vehicles imported from China.

 

According to Bloomberg, von der Leyen said in her speech that "the global electric vehicle market is flooded with affordable Chinese cars. Their prices are low because they have received huge state subsidies, which is distorting our market." At the same time, von der Leyen also emphasized that "we must keep a clear mind about the risks we face."

 

In recent years, China's electric vehicle industry has developed rapidly and its competitiveness has continued to improve. This is the result of unremitting scientific and technological innovation and the construction of a complete industrial chain and supply chain. It is a competitive advantage won through hard work and its own strength. It has been welcomed by global users, including EU consumers. At the same time, it has made great contributions to the global response to climate change and green transformation, including the EU.

 

 

According to statistics from the European Automobile Manufacturers Association ACEA, the sales of pure electric vehicles and plug-in hybrid vehicles in the EU and the European Economic Area in 2022 will be 1.5338 million and 990,000 respectively. If we calculate based on China's export volume of approximately 300,000 new energy vehicles to Europe in 2022,New energy vehicles manufactured in China have a market share of 12% in Europe.

 

However, while the overseas sales of Chinese new energy vehicles are growing rapidly, some believe that the challenges they will face in the future cannot be ignored. These challenges includeFierce competition from Western brands, consumer stereotypes about "Made in China", and the pressure to adapt to the diverse market environment in Europe.

 

India revises import regulations for computers, servers and other equipment

 

The Directorate General of Foreign Trade (DGFT) of India has recently revised theLaptops, Tablets, Computers and Servers (HSN 8471)The above products will require an import license from November 1, 2023, except for the following cases:

 

 

(1) A single laptop, tablet, computer or ultra-small computer purchased from an e-commerce platform and sent by post or courier does not require a license, but customs duties must be paid.

 

(2) Without a license, a maximum of 20 items of such products may be imported per batch and may only be used for research and development, testing, maintenance, etc. However, they must be destroyed or re-exported after completing their purpose.

 

(3) Repaired products sent back from abroad do not require an import license.

 

(4) Products used for local production in India do not require an import license.

 

 

Vietnam issues regulations on technical safety and quality inspection and certification of imported automobiles

 

 

According to VNA, the Vietnamese government recently issued Decree No. 60/2023/ND-CP, which clearly stipulates the quality, technical safety and environmental protection inspection and certification of imported automobiles and imported parts.

 

According to the decree, recalled vehicles include those recalled according to recall notices issued by manufacturers and those recalled at the request of inspection agencies, which make recall requests based on the results of verification of specific evidence and feedback on vehicle quality, technical safety and environmental protection information.

If a vehicle that has been put on the market has a technical defect and needs to be recalled, the importer shall perform the following duties:

 

 

• Importers should notify sellers to stop selling defective automobile products with unresolved faults within 5 working days from the date of receiving the recall notice from the manufacturer or competent authority.
• Within 10 working days from the date of receipt of the recall notice from the manufacturer or inspection agency, the importer must submit a written report to the inspection agency. The report should include the cause of the defect, remedial measures, the number of recalled vehicles, the recall plan, and the timely and comprehensive publication of the recall plan information and the recalled vehicle list on the importer's and agent's websites.
• The decree also clarifies the responsibilities of inspection agencies.

 

 

In addition, if the importer can provide evidence that the manufacturer is not cooperating in the implementation of the recall plan, the inspection agency will consider stopping the technical safety, quality and environmental inspection and certification procedures for all automotive products of the same manufacturer.

 

For vehicles that need to be recalled but have not yet been certified by the inspection agency, the inspection agency should notify the customs at the import declaration place to allow the importer to temporarily pick up the goods so that the importer can take remedial measures for the problem vehicles. After the importer provides a list of vehicles that have been repaired, the inspection agency will continue to handle the inspection and certification procedures in accordance with regulations.

 

Decree No. 60/2023/ND-CP will take effect on October 1, 2023 and apply to automotive products from August 1, 2025.

 

Source: Focus Vision, Beijing News, Global Times, etc.

If there is any infringement, please contact us to delete it.