Three departments adjust some battery consumption tax policies: starting from April 1, 2027, a 2% consumption tax will be levied on photovoltaic batteries.

On July 17, the Ministry of Finance, the General Administration of Customs, and the State Administration of Taxation issued an announcement regarding the adjustment of certain battery consumption tax policies. Starting from September 1, 2026, a 2% consumption tax will be levied on mercury-free primary batteries, metal hydride nickel batteries (also known as hydrogen nickel batteries or nickel-hydrogen batteries), lithium primary batteries, lithium-ion batteries, and vanadium flow batteries. Starting from September 1, 2027, a 4% consumption tax will be levied on the above battery products. Starting from April 1, 2027, a 2% consumption tax will be levied on photovoltaic batteries (also known as CECEP Solar Energy batteries); starting from April 1, 2028, a 4% consumption tax will be levied on photovoltaic batteries. From September 1, 2026, to December 31, 2028, sodium-ion batteries, solid-state batteries, fuel cells, and perovskite batteries, stacked batteries, and gallium arsenide batteries in photovoltaic batteries are exempt from consumption tax. The document states that the taxpayers producing or commissioning the production of the battery products that enjoy the tax reduction or exemption policies should meet the national standards of the products. Products that do not meet the national standards or do not have national standards are not eligible for the tax reduction or exemption policies. Taxpayers should obtain a testing report indicating that the product meets the corresponding national standards issued by a testing institution before applying for the reduced consumption tax on battery products for the first time. The testing institution should hold a valid "Qualification Certificate of Inspection and Testing Institutions" (with the CMA logo) issued by market supervision authorities at the provincial level or above, and the certificate should include corresponding battery testing items. In addition to the above provisions, other matters related to the collection and management of battery consumption tax will be implemented in accordance with relevant regulations such as the "Interim Regulations of the People's Republic of China on Consumption Tax" and the "Detailed Rules for the Implementation of the Interim Regulations of the People's Republic of China on Consumption Tax". This announcement supersedes any inconsistencies with previous regulations specified in the "Notice of the Ministry of Finance and the State Administration of Taxation on the Collection of Consumption Tax on Batteries and Coatings" (Cai Shui [2015] No. 16) and the "Notice of the Ministry of Finance and the State Administration of Taxation on the Collection of Import Consumption Tax on Batteries and Coatings" (Cai Guan Shui [2015] No. 4). Ministry of Finance, General Administration of Customs, State Administration of Taxation July 16, 2026 This article is from the official website of the Ministry of Finance, edited by GMTEight: Li Fo.