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Why is export re - export trade more than import? Come and explore together!

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I recently studied trade data and found that the volume of export re - export trade is more than that of import. I can't figure out why. Are there any experts who can analyze this for me? Is it related to market demand, policy orientation, or other factors? I hope everyone can help me answer this question. Thank you.

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Professional consultant answers

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

Supply chain optimization expertConsult

There are many reasons why export re - export trade is more than import. First of all, from the perspective of market demand, the development of the global economy has led to a strong demand for various products in the international market. Domestic products are competitive in terms of quality and price, which can effectively meet the needs of foreign markets and promote the growth of export re - export trade.

Secondly, policy orientation also plays a key role. Many countries will introduce a series of preferential policies, such as export tax rebates and subsidies, to encourage exports, reducing the export costs of enterprises and increasing their enthusiasm for exports.

Furthermore, the domestic industrial structure also has an impact. In some countries, the manufacturing industry is developed, and a large number of products produced are for export, so naturally, export re - export trade is more active. In addition, geographical location advantages should not be ignored. Regions located at transportation hubs are convenient for the transshipment and export of goods, promoting the development of export re - export trade.

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

Document expertConsult

It may be due to differences in logistics convenience. If the port logistics facilities in the country are complete and efficient, the transportation of goods for export re - export is more convenient and the cost is relatively low, which will attract more goods to be exported and transshipped through the country. In contrast, import re - export may be less due to logistics supporting problems.

Michelle Chen
Michelle ChenYears of service:3Customer Rating:5.0

Business coordination consultantConsult

Perhaps it is a problem of trade channels. In the long - term development process, export re - export trade has established a wider and more mature trade channels and customer network, making it easier to carry out export re - export business, while import re - export trade may lag behind in terms of channel expansion.

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

Customer service consultantConsult

From the perspective of cost, the domestic labor cost and raw material cost have advantages in some industries, making the products produced more competitive in price in the international market, which is conducive to export re - export, while import re - export may be reduced due to cost considerations.

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

Market development consultantConsult

It may be affected by exchange rate factors. When the exchange rate of the domestic currency is relatively low, the export products are relatively cheap in the international market, which will increase the international market demand and promote export re - export trade. Import re - export may be affected due to unfavorable exchange rates.

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

Foreign trade tax refund consultantConsult

The international market competition situation also plays a role. If there are relatively few competitors for domestic products in the international market or they are highly competitive, it is easy to expand the volume of export re - export trade. The competition faced by import re - export may be more complex, resulting in a relatively small quantity.

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

Cost control consultantConsult

It may be related to the degree of industrial chain completeness. The complete domestic industrial chain can provide all kinds of parts and supporting services required for export products, ensuring the supply of export products, thus promoting export re - export trade to be more than import re - export.

Joseph Zhou
Joseph ZhouYears of service:10Customer Rating:5.0

Senior foreign trade managerConsult

Some enterprises, in order to obtain foreign exchange, are more inclined to export re - export trade. By earning foreign exchange, they can enhance their economic strength and international influence, so they will increase export re - export business, making the volume of export re - export trade more than that of import.

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

Settlement and payment expertConsult

The local trade environment is also very important. If the local trade policies are stable and trade procedures are simple, it will greatly promote export re - export trade, while import re - export may be restricted due to cumbersome procedures and other reasons.

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

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