WLY(SZ:000858) Zheng Quan Shi Bao Wang·2024-10-18 00:16Group 1 - The Hong Kong government has announced a reduction in the excise tax rate on spirits, specifically lowering the tax on imported spirits priced over HKD 200 from 100% to 10% for the portion above HKD 200, while maintaining the tax on the portion below HKD 200 [1] - Following the tax adjustment, the price of the 2024 production of Guizhou Moutai in Hong Kong is expected to decrease from HKD 3,380 per bottle to HKD 2,680 per bottle, representing a reduction of 20.7% [1] - The adjustment in excise tax is anticipated to create significant price reduction opportunities for high-end Chinese spirits like Moutai and Wuliangye in the Hong Kong market, which has historically been a key export region for mainland Chinese liquor [1] Group 2 - The reduction in excise tax is expected to lower operational costs for liquor companies, potentially enhancing their competitiveness in the international market [2] - Despite the tax reduction, the current sales volume of high-end Chinese liquor in international markets remains limited, with price not being the primary barrier to growth; rather, the consumer demographic is a more significant constraint [2]