Introduction to Trade- category -
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Forward exchange contracts for protection
When we hear of forward exchange contracts, we tend to be drawn to investment-related matters, but they are useful to reduce risk with respect to necessary trade. It is better to make a reservation for each trade if necessary. Is Forward Contract a Loss? It is sometimes said that forward exchange contracts can cause losses. The question is: "Do forward exchange contracts... -
The cost will go down if you are willing to transport them in stacks in international shipping.
We want to reduce costs when shipping internationally. Recently, transportation costs have increased due to the decrease in the number of ships in the midst of the Corona disaster and the natural decrease in container bodies during that time. To add insult to injury, there is the problem of Russia and Ukraine, and airline costs are also rising due to airspace restrictions... -
That there is no institutional assumption that the EXW will be export duty free.
When taxation is involved in export-related matters, it is difficult to ask a tax accountant. Both tax and export are specialized areas, and it is difficult to get an answer on how to encompass both. By the way, in principle, EXW is not eligible for export duty exemption. In the case of EXW delivery, if the counterparty is a sea... -
Difference between a Surrendered B/L and a Sea Waybill or Express B/L
Sea Waybill or Express B/L When you are loading a ship with trade-related cargo, you will find a Surrendered B/L Sea Waybill Express B/L. Even a regular B/L (Bill of Lading) is hard to understand. But when other variations appear, it is even more confusing. Let's take a look at what they have in common... -
Shipping date and sales recording date to be taken care of when having the shipment transported under the instructions of the nomination
The following is a summary of the timing of sales recording that is of concern to the other party when instructing the other party to ship by nomination. In the FOB terms, here is the cost burden when you instruct the other party to ship by nomination and have them ship. Since we will bear the cost burden, we will help you to determine and select the... -
How to deal with Incoterms when the definition differs from the other party's
When dealing with foreign countries, we encounter differences in the interpretation of Incoterms. Incoterms, while defined, are a part of private law. There will be a certain amount of freedom in how contracts are made. But, in a situation where the other party and the Incoterms are defined differently... -
UN number: UN number required for international transportation of dangerous goods
The MacBook Air I recently bought is marked "UN3481" on the side. Since the MacBook Air is being sent from China, it has this notice on it in transport. This is something that often comes up when shipping internationally, so I will summarize the UN in this article. [UN number and... -
In case of EXW delivery, sales tax is charged even if the counterparty is an overseas business.
One of the most confusing terms when exporting is the case of EXW and sales tax. In the case of trade, Incoterms change from time to time. If the counterparty is a foreign business, it is easy to be drawn into CPT or FOB and forget to include consumption tax when the terms become EXW. This is the part you need to pay attention to just in case. [EXW... -
Can FOB be used for air transportation?
You may be thinking whether FOB can be used for air transportation. As it turns out, you cannot use it. Use FCA instead. Here are the reasons why. FOB is Free on Board. FOB is "Free on Board", which is translated as "delivery by ship" in Japanese. FOB is translated as "free on board. -
Is DDU still available, and is DAP an alternative in Incoterms2020?
I still see DDU when using Incoterms. DDU stands for Delivered Duty Unpaid. It is still loved (?). The reason why DDU is still loved (?) and the reason why we should use DAP now are as follows. DDU is used because it is easy to understand.
