Manufacturing and other industries VAT cut by 3 percentage points, high-end equipment manufacturing or benefit first

On the basis of tax cuts and fee reductions of about 1.3 trillion yuan in 2018, deepen the VAT reform, reduce the current 16% tax rate in manufacturing and other industries to 13%, and reduce the current 10% tax rate in transportation, construction and other industries to 9%, to ensure that the tax burden of the major industries is significantly lowered; keep the 6% one-percent tax rate unchanged but ensure that all industries have only reduced or not increased their tax burden by adopting complementary measures, such as increasing the tax credits for the production and living service industries. The tax rate will remain unchanged at 6%, but by adopting supporting measures such as increasing tax credits for the production and living services industries, the tax burden of all industries will only be reduced but not increased, and we will continue to move forward in the direction of advancing the tax rate to three grades and two grades and simplifying the tax system.

VAT, as an out-of-the-money turnover tax, can be focused on in terms of the degree of impact: the dividends of the lower tax rate will be enjoyed more by industries or companies with strong bargaining power; from the point of view of the profit elasticity, the low net profit of the company's greater elasticity.

Mechanical equipment, chemical, automotive, non-ferrous metals, household appliances, construction materials, computing equipment, coal mining and other industries will benefit. There are also brokerage firms said that the government's support for heavy assets, high technology content of the manufacturing sector, high-end equipment manufacturing will be a key encouragement of a direction. Aerospace equipment, advanced rail transportation equipment, marine engineering equipment and high-tech ships, high-grade CNC machine tools, robots (300024), semiconductor equipment, power equipment, high-performance medical equipment, agricultural equipment and other high-end equipment manufacturing industry will benefit.

From the A-share subject, the decline in value-added tax on CITIC Heavy Industry (601608), Sany Heavy Industry (600031), China CNC (601766), China Heavy Industry (601989), Star Anchor Chain (601890), Huazhong numerical control (300161), Beidouxingtong (002151), Xinsong Robotics, Exton (002747), AVIC Aircraft (000768), and the company's aircraft (000768). , AVIC Aircraft (000768), Air Development Control (000738), Starlight Agricultural Machinery (603789) and other listed companies may have a positive impact.