A research report from CITIC Securities reveals that, on January 9, the Ministry of Finance and the State Taxation Administration unveiled a modification to the export tax rebate policy concerning battery products. This policy shift underscores the government's commitment to fostering "anti-overcompetition" (a term reflecting efforts to curb excessive competition that leads to inefficiencies) and to preventing the "externalization of overcompetition," showcasing a robust continuity in policy direction.
In the immediate term, amidst the phased reduction of tax rebate rates and transitional measures, enterprises have the flexibility to adjust battery pricing strategies. Such adjustments could potentially ignite a surge in overseas export demand. Looking ahead to the medium and long term, leading Chinese battery manufacturers with established overseas production capabilities are poised to bolster their global competitiveness. They are expected to capture a larger share of international markets and enhance their profitability. CITIC Securities maintains a positive stance and continues to endorse leading Chinese battery companies.