The Research On Export Tax Rebate Of Textile Industry Under Current Situation

The textile industry is our country's traditional supporting industry. From the aspect of the domestic situation, in the long term the textile industry will remain one of the most important civil industries in China. The huge domestic market determines that the demand of our 1.3 billion people must be satisfied by us. In the meanwhile, the textile industry can provide 20 million job positions, 80% of which serve for the rural people. From the aspect of oversea market, the market occupation of textile products of China jumped from the third to the first in 1993 and after that, China remains the first position for the next ten years. Hence, the textile industry becomes one of the few industries of China that can remain the first position in the world.In the past few years, due to several domestic and oversea matters, the development rate of our country's textile industry is declining. The profit of textile industry shrinks and the increase rate of exportation become very low. Many enterprises become bankrupted, which lead to a large number of workers jobless. In order to promote our country's textile industry, the government carries out series policies, including the incensement of export tax rebate, in order to enlarge the export of textile production and improve the competition of textile industry. In this paper, we collect the correspond data of the past ten years and construct several mathematics models, running Eviews software to examine OLS expectation, and we prove that the export tax rebate of textile industry cannot increase the exportation. We argue that the incensement of export tax rebate will lead to the degradation of textile industry, worsen the update of the whole industry, and make the competition poorer, through a few aspects of the problem. Furthermore, export tax rebate is very easy to become the target of international trade. Under such special time circumstance, we propose several policies based on the analysis of the circumstance backgrounds of the enterprises and textile industry, in order to improve the competition of textile industry. We shall consider the question, how to use the political tool of tax rebate, reasonably. From the aspect of long term, we shall insist on reducing the textile tax rebate step by step.