January 19, 2026: China is set to adjust or abolish export tax rebates for battery and photovoltaic products in response to volatility in international trade markets.

The finance ministry and state taxation administration are reducing the export tax rebate rate for the value added tax of battery products from 9% to 6% as of April 1 — and the rebate will then be eliminated completely as of January 1 2027, China’s state Xinhua news agency said on January 9.

Meanwhile, export tax rebates for the value added tax of photovoltaic products will be cancelled as of April 1.

The move has been welcomed by China’s domestic industry, with the China Photovoltaic Industry Association saying that the measure will help restore rational pricing in foreign markets and reduce the risk of trade frictions for China.

Over the long term, the measure will help prevent export prices from falling too rapidly and lower the risk of trade disputes further, according to the association.

Last October, China slapped a raft of export restrictions on technologies critical for manufacturing EV batteries, in a move seen as a fresh bid to remind international markets that China has no intention of relinquishing dominance in the global batteries market for EVs and ESS — despite attempts by the US, Europe and others to try and push back against the Asian battery tiger.