• Welcome to China Foreign Trade Agency!

Who should bear the freight in agency export tax rebate?

NO.20260103*****

Problem Analysis: *****, Solution: *****, Process and Cost: *****

Get the solution

Our company recently intends to find an agency company for the export tax rebate business. When discussing the cooperation details, there are doubts about the freight bearing. We are not sure whether the freight should be borne by the principal or the agent in the process of agency export tax rebate, or if there are different divisions according to different situations. We hope that friends who know about this can help answer, and talk in detail about various possible situations, so that we can have a clearer direction in the subsequent negotiations.

Quick Consultation :

Professional consultant answers

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

Foreign trade tax refund consultantConsult

In the agency export tax rebate business, the subject of freight bearing is usually determined according to the entrustment agency agreement. Generally, there are the following common situations: If both parties clearly agree in the agreement that the principal shall bear the freight, then all the relevant costs such as domestic freight, international ocean freight, and air freight from the start of the goods transportation to the destination will be paid by the principal. This may be due to the principal's consideration of the transportation channel and cost control. Conversely, if the agreement stipulates that the agent shall bear the freight, the agent shall be responsible for the relevant expenses. In addition, there is also a situation of division according to the transportation stage. For example, the domestic transportation is the responsibility of the principal, and the international transportation is borne by the agent. This division method takes into account the resource advantages of both parties in different transportation links. Therefore, when your company negotiates with the agent, it should clarify the details of freight bearing in combination with its own business plan and cost budget and write them into the agreement to avoid subsequent disputes.

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

Customer service consultantConsult

Usually, if the agent is responsible for the whole - process logistics arrangement, for the convenience of cost accounting and management, the agent may bear the freight, but the final cost may be included in the agency service fee and passed on to the principal.

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

Compliance and risk managerConsult

If the principal designates a specific transportation company and has a high degree of control over the transportation process, in this case, the principal is more likely to bear the freight, after all, the transportation is chosen according to the principal's wishes.

David Li
David LiYears of service:6Customer Rating:5.0

Senior customs declaration consultantConsult

If the transportation risks of the goods are clearly divided in the agency agreement, the party that undertakes more risks is often more likely to bear the freight to balance the responsibilities of both parties.

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

Cost control consultantConsult

In some agency export tax rebate businesses, if the agent has a preferential transportation channel with long - term cooperation, it may take the initiative to bear the freight and obtain certain profits through the transportation price difference.

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

Document expertConsult

If the profit margin of the exported goods is large, the principal may also be willing to bear the freight to ensure the smooth progress of the business and simplify the expense settlement with the agent.

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

International logistics consultantConsult

When the transportation mode is complex and involves the conversion of multiple transportation tools, both parties may negotiate to share the freight by stage or proportion to ensure fairness and reasonableness.

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

Supply chain optimization expertConsult

If the agency business is in an all - inclusive mode and the agent is responsible for all links from the goods leaving the factory to delivery to the customer, the freight is most likely to be borne by the agent.

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

Market development consultantConsult

In some urgent shipping situations, if the principal requires to speed up the transportation speed, the additional freight generated may be borne by the principal.

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

You may also like

What is the import process for ammonia international freight forwarding? Does anyone know?

I want to understand the import process for ammonia international freight forwarding and am concerned about potential issues due to improper handling of ammonia as a hazardous chemical. The best answer suggests first finding a professional agency like Zhongshitong, providing detailed cargo information to prepare declaration documents, completing the import hazardous chemical registration, preparing basic documents and related materials, declaring in advance, and releasing the goods after inspection and payment of fees, ensuring transportation complies with regulations.

How should the freight for export tax rebate agency be calculated? Does anyone know?

The company plans to hire an export tax rebate agency but has doubts about freight calculation. They inquire about how the freight for export tax rebate agency is calculated—whether it's based on weight, volume, or other standards. The best answer states that freight calculation varies depending on the transportation method. For sea freight, it is charged by volume or weight, with additional fees; air freight is based on weight, involving chargeable weight; land freight is more complex, related to transportation distance, etc. Different agencies may have varying calculation methods, so it's necessary to communicate and clarify the fee standards.

How exactly is the sea freight import agency fee calculated? Does anyone know?

The company plans to import goods by sea and wants to understand how sea freight import agency fees are calculated. It's unclear whether it's based on the value, weight, volume of the goods, or other methods. The best answer states that sea freight import agency fees consist of basic agency fees (often 1%-3% of the cargo value, etc.), customs clearance fees, document fees, transportation and storage fees, and miscellaneous charges. Specific fees vary depending on the business situation, and it's recommended to consult a professional agency company for a quote.

How can an export freight insurance agent start import business?

An export freight insurance agent practitioner wants to expand into the import sector and inquires about preparations in terms of processes, channels, and resource integration. The best answer suggests first researching the import freight insurance market to understand cargo risk characteristics; establishing supplier and client contact channels; familiarizing with import procedures; integrating resources; and enhancing team professional training to facilitate the business transition.

Which freight forwarding export company offers good services? Please give me some suggestions!

Our company needs to export goods through freight forwarding. Since we have no relevant experience, we hope to find an export agency company that is professional, efficient in customs declaration, logistics arrangement and foreign exchange settlement, and has reasonable charges. The best answer pointed out that when choosing a freight forwarding export company, professional capabilities should be considered. For example, Zhongshitong performs excellently in customs declaration, logistics and foreign exchange settlement, with transparent charges and high cost-performance ratio, making it a good choice.

Who should bear the freight for export tax rebate agency?

Our company has engaged an export tax rebate agency to handle relevant business. Now when it comes to the freight issue, we don't know whether it should be borne by our side or the agency. I'd like to ask everyone, under normal circumstances, who should bear the freight for export tax rebate agency? Are there any industry practices or relevant regulations to define the attribution of this cost? I hope friends who are knowledgeable in this regard can help answer this question. Thank you!