Xinhua news agency has reported China will cut tax rebates on exports of energy-consuming and resource-intensive products within the next three months.Sectors including textiles, metallurgy, iron and steel would see their tax rebates cut by an average of 2 per cent in a policy scheduled to take effect in September or October, Xinhua cited Caijing magazine as saying.
Chinese Commerce Ministry spokesman Chong Quan, said "The Chinese Government wants to see a trade balance. We don't deliberately seek a rising surplus."
Xinhua said the rebate cuts were likely to anger domestic firms, which say key sectors such as steel would suffer.
