Announcement No. 29 of 2026 was issued on 12 October. Annex 1 cuts the export VAT rebate on 67 new energy vehicle codes from 13% to 9%. Annex 2, headed as a list of e-cigarette devices and other products, removes the rebate entirely for 24 commodity codes.
According to KPMG China, 20 of those 24 codes are bamboo products, including bamboo materials and flooring, bamboo plywood, chopsticks and skewers. KPMG advised exporters to check HS codes line by line rather than rely on product names.
The rate that applies depends on the export date on the customs declaration. Export consumption tax rules are unchanged. A separate, earlier change cut battery rebates to 6% for April to December 2026 and removes them from 1 January 2027.
Sources
- KPMG China: China Tax Alert, Announcement No. 29 of 2026 on export rebates (opens in a new tab)
- State Taxation Administration: China to cut NEV export tax rebate for high-quality auto industry growth (opens in a new tab)
- Global Trade Alert: China cancellation and reduction of export tax rebates for new energy vehicles and e-cigarettes (opens in a new tab)
A summary of the public sources above, checked when it was published. General information, not legal, tax or financial advice.