How many kinds of trade are there?

There are three main ways of trade: general trade, raw material processing trade and processing and assembly trade with supplied materials. Feed processing trade and feed processing assembly trade are collectively referred to as processing trade.

In addition, there are compensation trade, consignment trade, small border trade, border trade, leasing trade, entrepot trade, barter trade and so on.

General trade is a trade mode relative to processing trade, which refers to the import and export trade mode of unilateral import clearance or unilateral export clearance. The goods it trades are normal trade import and export goods ordered unilaterally by enterprises. General trade import and export goods are a kind of goods under customs supervision. The Customs Law stipulates that when goods and means of transport enter or leave the country, the consignor or his agent must file a declaration with the customs at the port of entry and exit, submit the required certificates and documents, accept the inspection of the declared goods and means of transport by customs officers, and pay customs duties and other taxes levied by the customs according to law before the customs can approve the release of the goods and means of transport.

Processing trade refers to the business activities of importing all or part of raw and auxiliary materials, spare parts, components and packaging materials from abroad, and then re-exporting the finished products after processing or assembly by domestic enterprises. According to the ownership and income right of imported raw materials, processing trade is divided into processing with supplied materials and processing with imported materials.

Processing with supplied materials refers to the processing trade in which foreign businessmen provide imported materials and parts, do not pay foreign exchange when importing, and the finished products are sold by foreign businessmen, and the operating enterprises charge processing fees. The ownership and income rights of imported raw materials belong to foreign investors.

Feed processing refers to the processing trade in which imported materials and parts are imported by operating enterprises and finished products are exported by operating enterprises. The ownership and income right of imported raw materials belong to the operating enterprise.