Re: Chinese New Tax Refund System
13-June-2007
Dear Sir or Madam:
According to reliable source, the Chinese Export Tax Refund System will be surely(likely) adjusted recently. (This reveals that)our products to you will(would) not be(take) benefit from 13% tax refund any more, and possibly the new tax refund percentage for(to) us(our products) is (might be ranging from) 5% or 0%. To ensure the better cooperation and both sides’(mutual) benefit, we will (take below countermeasures to) your POs as below:
1. PO reached(accepted by) us before June 13, 2007, and leaved any China’s port before the new tax refund system become effective, will using(maintain) current price;
2. For your PO reached(accepted by) us before June 13, 2007, we will try to arrange them to leave any China’s port before the new regulation become(s) effective. And regarding the our stock for your company, we hope your company can also accept our arrangement of sending them to you before the new regulation become(s) effective, and arrange relative PO to us according to the stock quantity that we will show(send) you today. Otherwise, the increasing cost due to the new regulation will be taken by your company;(Otherwise we cannot suffer the resulted loss from this new tax regulation)
3. For your PO reached(accepted by) us on or after June 13, 2007, please fill in the price column with “TBA (To Be Advised)”. Only after the new regulation (is) announced and becomes effective then we should negotiate the new price. And the new price will be used(effective) both for your PO reached(Issued to) us on or before June 13, 2007 and the products leaved China’s ports after the new regulation become effective.
4. Our company will keep close eyes(watching, observing) on the announcement of the new tax refund system, and will keep you informed in the first second(moment);
5. We are regret for any inconvenience caused by this event. And at the same time we will try our very best to reduce your cost and worries due to the Chinese Government Policies change.
6. Your prompt reply on this issue will be highly appreciated.
20点 
回复:关于7月1日的退税调整，我们已经作出反应－… 
