What are the import and export trades? How does each method work? Many newcomers to foreign trade do not know much about the import and export trade methods. Today, the editor will continue to introduce four trade methods:
Consignment and agency trade
It refers to the trading form in which the consignor delivers the goods to the consignor agreed in advance, and the consignor sells the goods on behalf of the consignor in the local market according to the conditions agreed in advance or according to the consignment and agency agreement. After deducting the commission and other expenses of the consignor from the proceeds, the remaining amount is paid to the consignor in accordance with the method stipulated in the agreement.
The relationship between the consignor and the consignor is not a buying and selling relationship, but a commission relationship, and the consignor has no ownership of the goods.
Border small-scale trade
It refers to the trade activities between enterprises approved to operate border small-scale trade in border counties (banners) and border cities along the land border of my country that have been approved by the state to open to the outside world (hereinafter referred to as border areas), and enterprises or other trade institutions in the border areas of neighboring countries through land ports designated by the state, including various trade forms such as barter trade and spot trade.
Processing trade imports
refers to machinery and equipment provided for import by the other party at a price or without a price under the processing with supplied materials and processing with imported materials trade, including equipment repaid with labor fees (or price difference) and equipment imported by foreign-invested enterprises under processing trade without deduction of investment quota.
For equipment imported by foreign-invested enterprises under processing trade, all equipment deducted from the investment amount shall be counted as “equipment imported by foreign-invested enterprises”. Whether the investment amount shall be deducted shall be subject to the results of the review and approval of the customs tax reduction and exemption approval department in charge of the enterprise.
Foreign contracted engineering export goods
refers to equipment and materials exported by companies approved by the Ministry of Foreign Trade and Economic Cooperation with the right to operate foreign contracted engineering projects for contracting foreign construction projects and carrying out foreign cooperation projects such as labor cooperation, but does not include engineering equipment and materials exported by enterprises in border areas approved by the Ministry of Foreign Trade and Economic Cooperation with the right to operate foreign economic and technical cooperation with neighboring countries of my country for contracted engineering and labor cooperation.
I hope the above content is helpful to you, and Lianlian Cross-border Payment will continue to bring more information.