Lizhong Sitong Light Alloys Group (300428.SZ): The adjustment of export tax rebate rates will not have any impact on the company's production and operations.

Lizhong Sitong Light Alloys Group (300428.SZ) announced that on November 15, 2024, according to the Announcement No. 15 of 2024 issued by the Ministry of Finance and the State Administration of Taxation on adjusting the export tax rebate policy, starting from December 1, 2024, the export tax rebate rates of some finished petroleum products, photovoltaic products, batteries, and some non-metallic mineral products will be reduced from 13% to 9%; the export tax rebate for aluminum, copper, and chemically modified animal, plant, or microbial oils and fats will be canceled. The company's main businesses include functional intermediate alloy new materials, recycled cast aluminum alloy materials, and aluminum alloy wheel products. While the functional intermediate alloy new materials and recycled cast aluminum alloy materials are not affected by the export tax rebate policy, the aluminum alloy wheel products, although subject to the export tax rebate, are not included in the adjustment list of this policy, so this adjustment will not have an impact on the company's production and operation. The adjustment of the export tax rebate policy may have a certain impact on domestic and international aluminum prices, widening the price difference between domestic and international aluminum prices. If the overseas aluminum price is higher than the domestic aluminum price, it will further enhance the profitability of the company's export products; if the overseas aluminum price is lower than the domestic aluminum price, it will weaken the profitability of the company's export products.