China: SOP prices expected to rise on VAT increase

摘要

Major Chinese SOP producer SDIC Luobupo has yet to increase its prices following news of the 13% VAT increase but is expected to announce a new pricelist soon. Market contacts in China expect that the new VAT and higher freight costs mean SDIC Luobupo will increase its SOP sales price by as much as RMB 350 ($55)/mt. The increase would represent a price jump from RMB 2,800/mt CPT exclusive of VAT to RMB 3,150/mt CPT inclusive of VAT.