This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

CD International Enterprises Sees Chinese Government's Recent Elimination Of Magnesium Export Tax Having A Positive Impact On Sales And Gross Margins In Fiscal 2013

Stocks in this article: CDII

DEERFIELD BEACH, Fla., Jan. 9, 2013 /PRNewswire/ -- CD International Enterprises, Inc. ("CD International") (OTCQB: CDII), a U.S. based company that produces, sources, and distributes industrial commodities in China and the Americas and provides business and financial corporate consulting services, today announced it sees the Chinese government's elimination of the 10% magnesium export tax, effective January 1, 2013, having a positive impact on sales and gross margins for its Magnesium Segment in fiscal 2013.

The export tax, which has been in effect since 2008, was designed to discourage exports of magnesium and part of the government's overall effort to reduce pollution associated with certain types of industrial production.  Over the past three years many producers have faced increasing pricing pressure from traders believed to be evading export taxes giving them the ability to undercut and drive down market prices of producers subject to the 10% tax.  Management of CD International believes the elimination of this tax will level the playing field and make magnesium more profitable including sales through its IMG sales arm.  With the automobile industry forecasting record global sales, magnesium products no longer subject to this tax will become more competitively priced with other materials leading to a potential for increased sales for the entire industry.

Commenting on the elimination of the magnesium export tax, Dr. James Wang, Chairman and CEO of CD International, stated, "We are pleased to see the government take action to help restore balance to the magnesium industry.  Our company, as well as a number of other Chinese magnesium producers, believes we have faced unfair competition from unscrupulous traders who have avoided taxes and severely depressed gross margins for the whole industry.  Prior to the implementation of this tax our margins were significantly higher and we believe there will be a return to a more normal export pricing environment as we no longer have to face potential unfair competition in the marketplace."

About CD International Enterprises, Inc. 

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs