A price cut swept China's many sectors on Monday, as value-added tax rate reduction officially kicked in.

This year's Government Work Report, which was released last month, said the rate bracket of 16 percent in manufacturing and other industries will be slashed to 13 percent; the rate in the transportation, construction, and other industries will be lowered from 10 to 9 percent, while the lowest bracket rate will remain unchanged at 6 percent.

In order to reduce tax burdens for all industries, the government also adopted supporting measures, such as increased tax deductions for producer and consumer services.

Gao Peiyong, vice-president of the Chinese Academy of Social Sciences, told China Securities Journal that VAT reduction will trigger a domino effect through deduction mechanism, ultimately benefiting economic and social development.

The first day of rate reduction saw industries involved in oil, electricity, natural gas, iPhones and automobiles all cutting their price.

According to data compiled by Chinanews, the maximum retail prices of gasoline and diesel fell 225 ($33.49) and 200 yuan per ton, respectively; railway sector dropped or canceled some freight fees, expecting to give up 6 billion yuan to enterprises.

Prices for iPhone XS and iPhone XS Max declined as much as 500 yuan, and iPhone XR, iPhone 8 and iPhone 7 also had their price fall by 300 yuan.

Meanwhile, automakers' recommended retail price was on a decreasing streak. Imported models of Ford Motor (China) abated as much as 34,000 yuan, compared with Volkswagen Multivan's highest cut of 13,300 yuan and some models of FAW Toyota's 11,000 yuan, said Chinanews.

As China International Capital Corporation Limited analyzed, automobile, real estate and medicine industries will enjoy the largest scale of tax reduction; and the biggest rise in net profit as a result of tax cuts will go to coal, food and beverage, electricity industries.