Does entrepot trade belong to import and export? Come and discuss together!
Solved#Entrepot trade#
I've always been a bit confused about the nature of entrepot trade. I'd like to ask everyone whether entrepot trade belongs to import and export. My company is planning to carry out entrepot trade business recently, but in some policy interpretations and business plans, I'm not sure about the boundaries between entrepot trade and regular import and export trade. For example, are there big differences between the two in terms of cargo transportation and customs declaration? I hope friends who know the business can tell me about it so that I can have a clearer understanding of the nature of entrepot trade.
Professional consultant answers
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
Entrepot trade belongs to import and export trade in a broad sense, but it differs from general import and export. In general import and export, goods are directly transported from the producing country to the consuming country; while in entrepot trade, the producing country and the consuming country do not trade directly. The goods are first transported to the transit country and then transferred to the consuming country, and the enterprises in the transit country participate in the transaction to make a profit.
From the perspective of customs declaration, general import and export are declared with the information of the actual producing country and consuming country; when declaring in the transit country for entrepot trade, special information such as the source and final destination of the goods needs to be indicated in accordance with the relevant regulations of entrepot trade.
In terms of cargo transportation, direct transportation is more common in general import and export; due to the addition of a transit link in entrepot trade, the transportation arrangement is more complex, and factors such as warehousing and transshipment at the transit point need to be considered. Although entrepot trade is different from general import and export, because it involves the cross-border transfer of goods, it is classified as import and export trade in a broad sense.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
Entrepot trade is a special form of import and export. Because the goods do cross the national border, only there is an additional transit link. For example, if goods produced in country A are resold to country C via country B, it is entrepot trade for country B. Although the goods may not be processed in country B, they are transferred under the supervision of the customs in country B, involving import and export related operations such as customs declaration.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
Entrepot trade belongs to import and export in a broad concept. In some free trade ports, many goods are involved in entrepot trade. The entry and exit of these goods from the port must follow the customs' supervision requirements for import and export. Therefore, from the perspective of actual operation and supervision, it can be regarded as import and export trade.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
It can be said that entrepot trade belongs to import and export in a broad sense. In terms of taxation, entrepot trade has its special features, but it is still related to import and export tax policies. For example, tariffs, value-added taxes, etc. will also apply relevant regulations according to different situations in entrepot trade.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
Entrepot trade belongs to import and export. In international trade statistics, the data generated by entrepot trade will be included in the import and export trade data, which indicates that it is regarded as part of import and export at the trade statistical level.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
Entrepot trade is a special type of import and export trade. From the enterprise's perspective, carrying out entrepot trade also requires handling cross-border transportation of goods, document processing, etc., which has a similar process to regular import and export business, only with the additional characteristic of transshipment.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
From the essence of economic activities, entrepot trade belongs to import and export. It involves the transfer of goods between different countries, changing the geographical location of the goods, which conforms to the characteristic of cross-border movement of import and export goods.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
Entrepot trade should be considered as import and export. It, like regular import and export, involves the cross-border movement of goods. Only that entrepot trade has an additional intermediate transfer link. In the international trade system, it also occupies a part of import and export trade.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
Entrepot trade belongs to import and export in a certain sense. Its goods flow across the national border, and it follows some basic rules of import and export trade in the trade process. Although there are differences in operation, the essence is still cross-border trade of goods.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
Entrepot trade belongs to import and export in a broad sense. Just like in some international logistics hub cities, a large number of entrepot trade activities occur, and these activities as a whole are regarded as part of the city's import and export trade.