On November 17, 2008, the Ministry of Finance (MOF) and the State Administration for Taxation (SAT) promulgated the Circular on Increasing Export VAT Rebates for Certain Labor-Intensive Products, Cai Shui  144, the Circular) to further increase export VAT rebates. The Circular came into effect on December 1, 2008. Prior to the issuance of the Circular, MOF and SAT jointly issued two other circulars to increase export VAT rebates in 2008.
The Circular raised export VAT rebates for:
- Certain rubber and forestry products from 5 percent to 9 percent;
- Certain molds and glassware from 5 percent to 11 percent;
- Certain aquatic products from 5 percent to 13 percent;
- Certain suitcases, handbags, footwear, caps, umbrellas, furniture, bedding, lamps, clocks, watches and the like from 11 percent to 13 percent;
- Certain chemical products, dimension stones, non-ferrous metal products and the like from 5 percent or 9 percent to 11 percent or 13 percent; and
- Certain mechanical and electrical products from 9 percent to 11 percent, 11 percent to 13, or 13 percent to 14 percent.
Though the Circular has been effective since December 1, 2008, the actual implementation date for certain qualified adjustments is based on the export date specified on the Customs Declaration Form for Exported Goods (for Export VAT Rebate Purposes Only).