The tax rate is falling, and the motor price may rise?
In response, many buyers have asked to re-negotiate prices with the owners. The buyer or the owner believes that the tax rate has dropped, and the dry manufacturing can really make a big profit, and the price of the pump must drop. Is this really the case? Why does the tax rate fall and the price may rise?
Because the VAT is reduced from 17% to 16%, in fact, the tax rate after the 1% VAT offset is reduced! Let the enterprises all over the country enjoy the national tax reduction policy, not to lower the price! It is not just a tax reduction for individual companies! More attention should be paid to the fact that the environmental protection tax has already been levied this year, and the price of raw materials has increased by 10%-30%. It is impossible to make up for the 1% tax reduction. Therefore, please do not ask the State Council to lower the corporate tax to make a price reduction! Otherwise, the state will lose its fairness in reducing taxes for national enterprises! Therefore, the unit price of the transaction with the customer will not decrease due to the decrease in tax rate from May!
There are also several reasons for this:
1. Increase investment in environmental protection
All over the country, the environmental protection rectification storm has started, and large-scale production suspensions have occurred in various foundries. If the factory wants to resume production, it must invest a lot of money to replace equipment and improve the process. Many small and medium-sized factories, because they can't afford the high cost, directly shut down the door, causing market tension.
2. Peak production and factory production time reduction
Even if there are some factories that are still insisting, invest a lot of money and rectify them according to national standards. It’s hard to pass, it can be produced. As a result, just two days after the production, due to the weather, it was forced to produce peaks and shut down! !
3. Raw material prices have risen
4. Worker costs rise
The phenomenon of labor shortage is more common, young people are not willing to do it, no one is giving money, and workers’ wages are rising every year!
In fact, no matter which industry, the veteran is seeking quality, the novice is fighting the price, the professional is now more and more expensive, if you ask the price is very cheap, not cheap, but you are trained by the novice!





