Higher Iron Ore Import Price Boosts Customs Revenue in China's Hebei Province

According to the Shijiazhuang customs authorities in China's Hebei Province, in the first quarter of the current year Shijiazhuang customs achieved record high overall tax revenues of CNY 9.96 billion (USD 1.52 billion), up 151.4% YoY with export tariff revenues reaching CNY 296 million (USD 45.2 million), down 8.9% YoY and import tax revenues amounting to CNY 9.664 billion (USD 14.75 billion), increasing by 165.9% compared with the corresponding period of 2010.

The sharply increased import price of iron ore is one factor which has helped boost customs revenues at Shijiazhuang. In recent years, due to the rapid development of the steel industry in Hebei Province demand for iron ore has increased gradually, while international iron ore prices have also been rising continuously. As a result, the tax base has increased further.

In the first quarter of 2011, Hebei imported 23.86 million tonne of iron ore, valued USD 3.72 billion, increasing by 27.7% and 110% respectively on year on year basis.