Shanghai has drawn up a proposal to encourage more out-of-town exporters to ship their cargo abroad via the city's deep-water Yangshan Port, part of efforts to transform the mainland's commercial capital into a global shipping centre.
The city government said yesterday that it would carry out a reform in a pilot scheme where tax authorities would fast-track the rebate procedure for the nation's exporters.
Chinese companies enjoy up to 17 per cent export tax rebate, an incentive to bolster the nation's overseas shipments.
At present, mainland manufacturers can only start the process of claiming the tax refund after the goods are loaded onto vessels bound for overseas ports.
Under the new policy, they would go through customs with their local customs authorities and start claiming the refund before the containers reach ships at Yangshan Port.
The move would help Shanghai gain the upper hand over competitors at home and abroad as well as boost the city's annual container throughput by several million 20-foot-equivalent units (teu), according to Zhu Jianhua, the deputy president of the Shanghai Port and Shipping Administration.
