On April 1st, Environmental Tax Officially Opened!

- Apr 03, 2018-

The environmental protection tax law of People's Republic of China was formally implemented in January 1st this year. The tax law stipulates that environmental tax will be declared quarterly. On April 1st, environmental protection tax will usher in the first period. A large number of manufacturing enterprises will pay for the sewage, including the textile industry.
In 2017, environmental supervision is the history of the most stringent, the storm went all the textile industry news . In 2018, the storm of environmental protection was more intense and no slack. A round of inspection has accelerated the shuffling of the whole textile and even the bulk of the industry. The survival of small and medium-sized enterprises is becoming more and more difficult, and the concentration of the industry will be more and more concentrated.
What is the impact of environmental tax levying on textile enterprises?
One: the whole price rise
From raw materials to excipients and then to finished products, the production of various links expropriate environmental tax, layer by layer together, can be called the whole line price increase, especially polyester raw material, dye fee and so on, its price range will be very astonishing.
Two: trade shuffle
The expropriation of environmental tax will further aggravate the cost pressure of textile enterprises, and may further accelerate the market shuffle. In the end, the small and medium enterprises who have survived the suffering will eventually withdraw from the market under higher cost pressure and be eliminated.

Three: Bankruptcy
High rent, high labor, high cost, and a high tax, a lot of small brands, small enterprises in the textile industry, will not be able to bear financial pressure, in 2018, "bankruptcy, running" will become a normal.

The environmental tax is coming. Bankruptcy, reshuffle and price increase will become the normal. The competition of the 2018 textile industry will be more intense. Are you ready?