At the regular press conference of the Ministry of Foreign Affairs on the 10th of this month, if the United States would levy taxes on all Chinese goods, China would substantially reduce taxes: VAT minus 3%, corporate income tax reduced by 2%.
The Sino-US trade war has been on and off for more than half a year, and has been affecting the domestic market. In several rounds of Sino-US trade wars, chemical products have always occupied an important position in the sanctions list. After the first round of US taxation High-end manufacturing has become the main target of the second round of taxation, including chemical products, plastic products and metal products, etc. The Minister of Finance Liu Kun said recently that under the active fiscal policy, this year's tax reduction and fee reduction will be further increased. In addition to the policy of reducing tax and fee reduction of 1.1 trillion yuan for the whole year as determined at the beginning of the year, a series of measures to promote the development of the real economy and support scientific and technological innovation have been introduced. It is estimated that the scale of tax reduction and reduction for the whole year will exceed 1.3 trillion yuan. This means that a larger tax cut may come, which indirectly indicates that China's cost reduction measures will continue to increase.
At present, the market news has been passed down to the Fourth Plenary of the tax reduction plan - VAT minus 3%, corporate income tax minus 2%. Before the topic of tax reduction, the market has long been rumored, if the rumors are true, then it is also considered for the enterprise Substantial benefit.
In view of the recent market conditions, the short-term domestic polyethylene market is weak or weak. Although the US sanctions against Iraq may cause a shortage of resources in a short period of time, the fact that some oil-producing countries are increasing crude oil production will offset this supply. The lack of. As early as September, the United States pardoned India’s import of Iranian crude oil, which laid the groundwork for the United States to loosen its sanctions against Iran. Once the US’s attitude toward Iran’s sanctions is loosened, the large amount of bullish expectations and risk sentiment accumulated in the previous period will Released in a short period of time, then it will strongly suppress international oil prices in a short period of time, but the news of extended production cuts will prevent crude oil prices from over-diving in the next period of time. Overall, the current international crude oil The market is intertwined, short-term international oil prices or shocks are dominant, and the domestic polyethylene market is relatively limited. From the demand side, although the downstream operations have improved to varying degrees, most companies continue to purchase, and terminal demand is lacking. Obvious support, Zhongyu believes that there will still be some downside in the short-term domestic polyethylene market.