BEIJING, Oct. 12 (Xinhua) -- China announced on Monday that it will cut the value-added tax (VAT) export rebate rate for new energy vehicles (NEVs) to 9 percent from 13 percent starting April 1, 2027.
VAT export rebates for e-cigarette devices and related products will be scrapped from the same date, according to a statement jointly issued by the Ministry of Finance and the State Taxation Administration.
Export consumption tax policies for products subject to the tax will remain unchanged, with existing tax refund or exemption arrangements continuing to apply, the statement said.
The adjustment came as China has continued to optimize export tax rebate policies.
The country scrapped VAT export rebates for photovoltaic products from April 1, 2026, while cutting the rebate rate for battery products to 6 percent from 9 percent on the same date. The rebates for battery products will be eliminated from Jan. 1, 2027.
China is the world's largest market for NEVs, a category that includes battery electric and plug-in hybrid vehicles. The sector has expanded rapidly in recent years, with automakers increasingly looking to overseas markets for growth.
China exported 1.053 million vehicles in September, up 61.4 percent year on year, including 571,000 NEVs, more than double the number a year earlier, according to the latest data. NEVs accounted for more than half of total vehicle exports for the fourth consecutive month. ■
