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.
Professional consultant answers
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 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 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 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 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 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 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 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 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.