In entrepot trade, the goods are not substantially processed in the home country but only transshipped through the home country. Generally speaking, in the import link, if the goods enter a specific area such as a bonded zone in the transit country and are temporarily stored without entering the domestic market for sale, usually there is no import duty, import value-added tax, etc., because they are not actually imported into the customs territory of the transit country.
When the goods are re-exported from the bonded zone or other areas, there is also no export duty involved. However, if the goods are taken out of the bonded zone and enter the domestic market of the transit country for sale, at this time, in the import link, it is necessary to pay duties, value-added tax, etc. according to the import tax rate of the transit country for these goods, and the tax rate is determined according to the regulations of the transit country's customs and the tariff classification of the goods.
As for the export link, as long as it complies with the export regulations of the transit country, it generally enjoys a zero-tax rate policy, and no export duty is levied. It may also involve export tax rebates, but corresponding conditions need to be met. In short, the specific tax rates need to be determined according to the relevant laws, regulations and trade policies of the transit country.
Professional consultant answers
Michelle ChenYears of service：3Customer Rating：5.0
Business coordination consultantConsult
In entrepot trade, the goods are not substantially processed in the home country but only transshipped through the home country. Generally speaking, in the import link, if the goods enter a specific area such as a bonded zone in the transit country and are temporarily stored without entering the domestic market for sale, usually there is no import duty, import value-added tax, etc., because they are not actually imported into the customs territory of the transit country.
When the goods are re-exported from the bonded zone or other areas, there is also no export duty involved. However, if the goods are taken out of the bonded zone and enter the domestic market of the transit country for sale, at this time, in the import link, it is necessary to pay duties, value-added tax, etc. according to the import tax rate of the transit country for these goods, and the tax rate is determined according to the regulations of the transit country's customs and the tariff classification of the goods.
As for the export link, as long as it complies with the export regulations of the transit country, it generally enjoys a zero-tax rate policy, and no export duty is levied. It may also involve export tax rebates, but corresponding conditions need to be met. In short, the specific tax rates need to be determined according to the relevant laws, regulations and trade policies of the transit country.
Joseph ZhouYears of service：10Customer Rating：5.0
Senior foreign trade managerConsult
If the goods in the import of entrepot trade are in special supervision areas such as bonded zones, there is basically no import tax. But if they enter the domestic market for sale, it depends on the regulations of the transit country's customs, and the tax rates vary for different products. In normal circumstances, there is no export duty when exporting, and the specific situation still depends on the policies of the transit country.
Emily LiuYears of service：10Customer Rating：5.0
Settlement and payment expertConsult
The key to the import and export tax rates of entrepot trade lies in the policies of the transit country. For imports, if they do not enter the domestic market, there is mostly no tax; if they enter the domestic market, it is based on the import tax rate of the transit country. For exports, most have a zero tax rate, and some have tax rebates, which vary for specific products.
David LiYears of service：6Customer Rating：5.0
Senior customs declaration consultantConsult
If the goods in the import of entrepot trade are in a specific duty-free area, no import tax is levied. For exports, generally no export duty is levied. If the goods enter the domestic market of the transit country and then are exported, the tax rate is determined according to the export policy of the transit country.
William YangYears of service：5Customer Rating：5.0
International logistics consultantConsult
If the goods in the import of entrepot trade are temporarily stored in a specific area, there are no import taxes and fees. If they enter the domestic market for sale, it is based on the import tax rate of the transit country. For exports, the general tax rate is zero, but it must comply with the relevant export rules of the transit country.
Sarah ZhangYears of service：8Customer Rating：5.0
Document expertConsult
If the goods in the import of entrepot trade do not enter the customs territory of the transit country, there is no import tax; if they enter the domestic market, it is levied according to the import tax rate of the transit country. For exports, generally there is no export duty, and some can enjoy tax rebate preferential treatment.
Elizabeth LiYears of service：3Customer Rating：5.0
Compliance and risk managerConsult
In the import link of entrepot trade, if it is in a bonded zone or the like, there is no import tax; if it enters the domestic market, it is based on the import tax rate of the transit country. In the export link, generally no export duty is levied, and tax rebates can be obtained if the conditions are met.
Robert ChenYears of service：6Customer Rating：5.0
Customer service consultantConsult
When importing in entrepot trade, if the goods are in a specific area, there are no import taxes and fees. When entering the domestic market, it is based on the import tax rate of the transit country. For exports, generally no export duty is levied, and according to the export policy of the transit country, it can be seen whether there is a tax rebate.
Andrew HuangYears of service：7Customer Rating：5.0
Supply chain optimization expertConsult
When importing in entrepot trade, if the goods are stored in areas such as bonded zones, there is no import tax involved; if they enter the domestic market, it is based on the tax rate specified by the transit country. For exports, generally there is no export duty, and there may be tax rebates.
James LiuYears of service：10Customer Rating：5.0
Foreign trade tax refund consultantConsult
If the goods in the import of entrepot trade do not enter the domestic market, there is no tax; if they enter the domestic market, it is based on the import tax rate of the transit country. For exports, the general tax rate is zero, and the specific situation is determined according to the export policy of the transit country.