Manufacturing: Manufacturers can reduce their state sales tax rate to 1.5% on electricity, gas and other fuels and 1.0% on water. Local sales tax on water can be reduced to 0.5%. A full exemption from sales tax is only available if there is direct contact with the product being manufactured (e.g. electrolytic processes).
The information on this site should be used only for general guidance and not as a substitute for consultation with a professional tax advisor. Before making any decision or taking any action based upon information located on this site, you should consult with a USTC professional.