Forum Post: China doesn't trade fairly and our government allows it at the expense of the 99%

Currency issues with China are grabbing our attention, but China’s system of export tax rebates also plays a major (and under-appreciated) role in the rise of China’s exporting numbers. China charges our imports a VAT tax of up to 17%- US charges nothing. They offer rebates of up to 100% rebate of this tax to their own corporations thereby allowing them to subsidize their trade markets. Our government is sleeping at the wheel! Chinese exporters can more easily undersell their American competitors in the US market. They need not pay the payroll, business and other US taxes paid by US producers, while the taxes Chinese companies paid the Chinese government are refunded to them when they export to the US. http://www.tradereform.org/2011/07/cpa-white-paper-how-chinas-vat-massively-subsidizes-exports/