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Must re-export trade be operated by domestic enterprises?

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I've been recently studying trade-related knowledge and don't quite understand re-export trade. I'd like to ask whether re-export trade can only be done by domestic enterprises? Or can foreign enterprises also engage in re-export trade? I hope for a detailed explanation, preferably with examples, to help me better understand.

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Professional consultant answers

Elizabeth Li
Elizabeth LiYears of service:3Customer Rating:5.0

Compliance and risk managerConsult

Re-export trade is not necessarily limited to domestic enterprises. Both domestic and foreign enterprises can engage in re-export trade.

When domestic enterprises conduct re-export trade, goods are transported from the producing country to a third country or region designated by the domestic enterprise. The domestic enterprise acts as an intermediary in this process, not directly consuming the goods but profiting through resale. For example, China's Zhongshitong Company purchases goods from Country A, bypassing Chinese customs, and directly transports them to Country B for sale.

Foreign enterprises can also engage in re-export trade. For instance, a company registered in Singapore may purchase products from Malaysia and sell them directly to European clients without passing through Singapore. The key to re-export trade lies in planning the cargo transportation route and trade process. The geographical location of the enterprise is not a limiting factor; what matters is whether the enterprise can integrate resources and seize trade opportunities.

Robert Chen
Robert ChenYears of service:6Customer Rating:5.0

Customer service consultantConsult

Re-export trade has no strict restrictions on the location of enterprises. Foreign enterprises with extensive international trade experience commonly operate re-export trade. For example, some well-known international traders have offices worldwide, leveraging regional resource advantages for re-export trade.

Amanda Yang
Amanda YangYears of service:3Customer Rating:5.0

Cost control consultantConsult

Re-export trade is not exclusive to domestic enterprises. Many offshore companies frequently participate in re-export trade. Though registered abroad, they actively engage in this field due to flexible trade policies and low-tax advantages.

Sarah Zhang
Sarah ZhangYears of service:8Customer Rating:5.0

Document expertConsult

Re-export trade is not restricted by whether an enterprise is domestic or foreign. Some small foreign enterprises may leverage unique channels to sell specialty products from producing countries to other nations through re-export trade, earning profits.

Andrew Huang
Andrew HuangYears of service:7Customer Rating:5.0

Supply chain optimization expertConsult

Both domestic and foreign enterprises have opportunities to participate in re-export trade. For example, enterprises in some Southeast Asian countries, though small in scale, expand their markets by selling local products globally through re-export trade.

Joseph Zhou
Joseph ZhouYears of service:10Customer Rating:5.0

Senior foreign trade managerConsult

Re-export trade imposes no geographical restrictions on enterprises. Some foreign enterprises utilize their brand influence in international markets to connect supply and demand across different countries through re-export trade.

Jennifer Wang
Jennifer WangYears of service:4Customer Rating:5.0

Market development consultantConsult

Whether domestic or foreign, enterprises can conduct re-export trade and achieve commercial profits as long as they comply with trade rules and relevant policies.

James Liu
James LiuYears of service:10Customer Rating:5.0

Foreign trade tax refund consultantConsult

Re-export trade is not limited to domestic enterprises. Foreign enterprises can also leverage their advantages, such as familiarity with local markets, to engage in re-export trade.

Emily Liu
Emily LiuYears of service:10Customer Rating:5.0

Settlement and payment expertConsult

Both domestic and foreign enterprises can conduct re-export trade. Enterprises may choose suitable opportunities to participate based on their resources and market conditions.

William Yang
William YangYears of service:5Customer Rating:5.0

International logistics consultantConsult

Re-export trade is not exclusive to domestic enterprises. Foreign enterprises often generate income through re-export trade within international trade networks.

The relevant questions or replies only represent the user’s personal stance and do not represent any views of this website.

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