As learned from the Ministry of Commerce Hangzhou customs in Zhejiang Province has begun probes into the country's first case of textile export tax fraud which was estimated to involve some 10 million yuan.

The suspect provided false information or conceal facts when filed for customs declaration in the name of a foreign-funded import and export company since beginning of the year. The suspect has been detained and further investigation into the smuggling is under way.

China has launched duties on textile exports as of January 1 this year. Exporters of cheap products with low added value face lower profits. Pursuit for maximal profits impulse their breach of law.

By People's Daily Online