Is processing and entrepot trade actually part of the industry?
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I've always been a bit confused about industry classification, and recently I've been exposed to business related to processing and entrepot trade. Processing and entrepot trade involves processing the goods first and then selling them through entrepot. I'd like to know, in terms of industry attributes, does processing and entrepot trade belong to the industry? It seems to be a bit different from traditional industry in terms of production mode, economic contribution, etc., but there is also a processing stage, which makes me really about how it should be classified. I hope someone can help me answer this.
Professional consultant answers
Jennifer WangYears of service：4Customer Rating：5.0
Market development consultantConsult
Processing and entrepot trade does not entirely belong to the industry. Industry mainly refers to the work and process of collecting raw materials and producing them into products in factories. Although processing and entrepot trade involves the processing stage, its purpose is not simply to produce products, but more to serve trade.
From the perspective of production mode, the industry focuses on product manufacturing processes and process optimization, and establishes a long-term and stable production system; the processing in processing and entrepot trade may be short-term and order-based, and is arranged flexibly around trade orders.
In terms of economic contribution, the industry promotes the economy by creating product value and providing employment; processing and entrepot trade mainly activates trade circulation and increases trade volume and foreign exchange income. Therefore, processing and entrepot trade is a combination of trade and processing, and it is more appropriate to classify it into the category of trade rather than industry.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
Processing and entrepot trade is not considered as industry. It mainly takes advantage of local cheap labor, venues and other resources to simply process the goods before exporting them. Different from the large-scale production, manufacturing and R & D innovation in the industry, it just adds a processing step in the trade process, and the core is still trade.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
I don't think it belongs to the industry. The industry has its own complete industrial chain, such as R & D, production, sales, etc. Processing and entrepot trade just simply processes the goods, and its main purpose is to make profits from trade, which is quite different from the construction of the industrial system.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
Processing and entrepot trade cannot be regarded as industry. Industrial products often have their own brands, quality standards, etc. While the processed products in processing and entrepot trade may not be of their own brands, but are made according to the requirements of customers, with the focus on reselling, so it is more inclined to trade.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
From the definition, the industry has specific manufacturing attributes. Although there is processing in processing and entrepot trade, this is not the main aspect. It focuses more on making profits by taking advantage of the entrepot, so it does not belong to the industry.
Amanda YangYears of service：3Customer Rating：5.0
Cost control consultantConsult
It doesn't belong to the industry. The industry emphasizes the in-depth processing of raw materials and the creation of new products. The processing in processing and entrepot trade may only be at a shallow level such as packaging and assembly, which serves the entrepot trade and is essentially a trade behavior.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
Processing and entrepot trade does not belong to the industry. The industry generally manufactures products on a large scale and the products have multiple sales channels. After processing in processing and entrepot trade, the products are basically exported directly according to the orders, which is different from the industrial model.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
I don't think it belongs to the industry. The industry focuses on the innovation of production technology and the improvement of production efficiency. The processing stage in processing and entrepot trade may not have a high technological content, mainly to meet the trade needs, so it still has a stronger trade attribute.
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
Processing and entrepot trade should not be classified as industry. Industrial products are supplied to the market for a long term. While processing and entrepot trade processes according to trade orders, and the flow of products is specific, more like a trade activity.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
It doesn't belong to the industry. The industrial production process is complex, with multiple supporting links. The processing in processing and entrepot trade is relatively simple, centered around trade orders, and is a form of trade.