Simplify the domestic certification and tax procedures, increase credit support, and the State Council’s ＂combination boxing＂ helps foreign trade enterprises tide over the difficulties

On June 9, Premier Li Keqiang presided over the the State Council executive meeting to determine the special transfer payment mechanism for new financial funds directly benefiting enterprises and the people; Deploy and support marketable export commodities to explore the domestic market and help foreign trade enterprises tide over the difficulties.

The meeting pointed out that, in accordance with the arrangements of the CPC Central Committee and the State Council, it is an important task for the government this year to do a good job of "six guarantees" and implement the task of "six guarantees", and it is urgent.

In order to help foreign trade enterprises, which involve nearly 200 million people in employment, we should encourage enterprises to expand the international market and support marketable export products to expand the domestic market.

Bai Ming, deputy director of the International Market Research Institute of the Research Institute of the Ministry of Commerce, told the national business daily that encouraging foreign trade enterprises to explore the domestic market, in layman’s terms, means exporting to domestic sales. Under the background of weak global external demand, it is a unique advantage of China market to make full use of the huge potential of domestic market to help foreign trade enterprises tide over the difficulties, and it is also an effective means to further stimulate domestic consumer demand.

Simplify the domestic certification and tax procedures.

The executive meeting of the State Council pointed out that in order to help foreign trade enterprises out of difficulties and support marketable export products to explore the domestic market. To this end, the domestic certification and tax procedures will be simplified.

The epidemic is spreading all over the world, and the country has introduced measures to "stabilize foreign trade" one after another. At the same time, foreign trade enterprises have also demonstrated their magical powers and saved themselves one after another.

Lao Jin, the head of a foreign trade enterprise, told national business daily that in February, overseas customers urged the enterprise to deliver goods, but now the domestic work is normal, but the attitude of overseas customers has changed, and many of them have cancelled orders or suspended execution. "The association encourages us to export some mature products to domestic sales, and we are actively trying."

For foreign trade enterprises, it is easy to say that exporting to domestic sales, but it is still quite difficult to do it. Gao Feng, spokesman of the Ministry of Commerce, said at a regular press conference that according to the survey, there are three major problems in China’s foreign trade enterprises’ export to domestic sales: it is difficult to expand sales channels, it is difficult to turn production lines, and it is difficult to build brands.

Gao stressed that the Ministry of Commerce will take measures to help foreign trade enterprises expand the domestic market, including reducing the cost of domestic sales. Promote relevant departments to implement the policy of temporarily exempting domestic tax deferred interest in processing trade until the end of the year and expanding the pilot of selective taxation in domestic sales to all comprehensive bonded areas, so as to help enterprises expand domestic sales and reduce burdens.

Second, increase domestic sales support. Gao Feng said that the Ministry of Commerce will guide local and business associations to strengthen policy propaganda and production and marketing docking, and support foreign trade enterprises to explore the domestic market. Further expand the scope of implementation of "same line, same standard and homogeneity" for domestic and foreign products, and accelerate the improvement of relevant public information services.

The third is to make good use of the production and marketing docking platform. Run China Processing Trade Products Expo and other professional exhibitions well, build a domestic exhibition and exchange platform, and organize foreign trade enterprises to strengthen docking and negotiate transactions with domestic buyers.

Bai Ming told national business daily that foreign trade enterprises need to cooperate in dealing with quality inspection, taxation and other issues for export products. Similarly, exported products are sold domestically and enter the domestic market, and they are also faced with quality, packaging testing and various certifications. "Simplifying the domestic certification and taxation procedures actually lowers the’ threshold’ for foreign trade enterprises to export to domestic sales."

Strengthen the direct loan business to small and medium-sized micro-foreign trade enterprises

The State Council executive meeting pointed out that financial institutions are encouraged to increase credit support and pledge financing of accounts receivable, inventories and orders. Relying on large-scale e-commerce platform to strengthen direct loan business for small and medium-sized micro-foreign trade enterprises.

This year’s government work report clearly stated that promoting the basic stability of foreign trade. Focusing on supporting enterprises to increase orders, stabilize jobs and ensure employment, increase credit supply, expand the coverage of export credit insurance, reduce the cost of import and export compliance, and support export products to domestic sales.

The previous executive meeting in the State Council also mentioned that financial institutions should be guided to increase foreign trade credit, and policies such as delaying the repayment of principal and interest should be implemented. Small and medium-sized micro-foreign trade enterprises that are greatly affected by the epidemic and have good prospects can be postponed through consultation.

In addition, the Ministry of Commerce has also made a clear statement on increasing credit support for small and medium-sized micro-foreign trade enterprises. Gao Feng said that the Ministry of Commerce has promoted the Export-Import Bank to continuously increase credit support for small and medium-sized micro-foreign trade enterprises, deepen product and service innovation, actively carry out "lending" business, and put credit funds into more small and medium-sized micro-foreign trade enterprises through local small and medium-sized banks.

In addition, innovative small and micro "direct loan" business, relying on big data platform and online, automated and intelligent financial service system, realize "online direct connection" between policy banks and small and medium-sized micro foreign trade enterprises, and more accurately meet the needs of enterprises.

The reporter of national business daily combed and found that around increasing financial assistance and credit support for foreign trade enterprises, many places have continuously refined their measures and started practice.

For example, recently, many departments in Jiangsu jointly issued ten opinions on financial support for foreign trade enterprises, requiring all banking financial institutions to actively release financial products for foreign trade enterprises on the provincial financial comprehensive service platform. For foreign trade enterprises with development prospects but experiencing temporary difficulties due to the epidemic, they should not blindly borrow, cut off or suppress loans. They should reasonably determine the loan interest rate level by reducing the loan interest rate, promoting non-repayment of loans, increasing credit loans and medium-and long-term loans, and continue to reduce the financing cost of foreign trade enterprises.

Guangxi Banking and Insurance Regulatory Bureau and other departments jointly issued the Notice on Strengthening Financial Support to Promote the Stable Development of Foreign Trade and Foreign Investment in Guangxi, encouraging financial institutions to reduce or appropriately reduce the handling fees of remittance and other businesses under cross-border trade, and expanding the coverage of export credit insurance and import prepayment insurance.

Shandong Province issued the List of Policies and Measures for Stabilizing Foreign Trade and Foreign Investment in the Province, encouraging and guiding banking financial institutions to increase credit support for small and medium-sized import and export enterprises and reduce financing costs. Reduce the guarantee rate of enterprises, improve the efficiency of credit approval, allow foreign trade and foreign-funded enterprises to postpone the repayment of principal and interest, and relax the scope of loan renewal. (Reporter Zhang Huaishui)