Chinese Drink Makers endeavor to lower tax on alcohol
By 2009-2-12 13:26:50
Tsingtao Brewery Co. and Wuliangye Yibin Co. led a rally in Chinese beer and liquor makers on speculation the government will lower a tax on alcohol to boost consumption.
Tsingtao Brewery, the largest Chinese beer maker by market value, climbed 3.7 percent to 20.90 yuan at the close. Wuliangye, a Sichuan-based liquor maker, rallied 8.4 percent to 17.90 yuan, the biggest gain since Sept. 19. Yantai Changyu Pioneer Wine Co., a wine and liquor maker, jumped 7.8 percent to 52.49 yuan. The benchmark Shanghai Composite Index slid 0.2 percent today.
“People believe the government will implement stimulus measures to help different industries,” said Yan Ji, an investment manager at HSBC Jintrust Fund Management Co. in Shanghai, which manages about $850 million.
China may approve a stimulus plan for its light industries, including lowering consumption tax on alcohol, cosmetics and luxury products, the Shanghai Securities News said, citing unidentified people close to the matter.
The plan, which may get the go-ahead “soon,” also includes imposing higher tariffs on imported luxury goods to boost sales of domestic companies, and increasing tax rebates for 631 light industrial products, the newspaper said.
Tsingtao Brewery, the largest Chinese beer maker by market value, climbed 3.7 percent to 20.90 yuan at the close. Wuliangye, a Sichuan-based liquor maker, rallied 8.4 percent to 17.90 yuan, the biggest gain since Sept. 19. Yantai Changyu Pioneer Wine Co., a wine and liquor maker, jumped 7.8 percent to 52.49 yuan. The benchmark Shanghai Composite Index slid 0.2 percent today.
“People believe the government will implement stimulus measures to help different industries,” said Yan Ji, an investment manager at HSBC Jintrust Fund Management Co. in Shanghai, which manages about $850 million.
China may approve a stimulus plan for its light industries, including lowering consumption tax on alcohol, cosmetics and luxury products, the Shanghai Securities News said, citing unidentified people close to the matter.
The plan, which may get the go-ahead “soon,” also includes imposing higher tariffs on imported luxury goods to boost sales of domestic companies, and increasing tax rebates for 631 light industrial products, the newspaper said.
From china wine news