What basic qualification requirements need to be met to carry out international transit trade in Jiangmen?
Importing from China?
Need help with sourcing, customs or shipping?
Your China Import Partner
Reliable sourcing and import agency services.
I am the person in charge of a hardware products export enterprise in Jiangmen. I plan to expand the Southeast Asian market through transit trade recently, but I have no prior experience in transit business.
I do not know where to start preparation, for example, what qualification documents are required? Which is more cost-effective for logistics routes, Jiangmen Port or Nansha Port? How to operate foreign exchange settlement in a compliant manner?
I am afraid of stepping into pitfalls accidentally and being inspected by customs or encountering problems in tax rebate, and I have no clear idea about the whole process. I want to know the specific steps to smoothly carry out transit trade.
JohnYears of service：6Customer Rating：5.0
Export Tax Rebate AdvisorStart a Chat
The full-link operation of carrying out transit trade in Jiangmen must start with document preparation. First，confirm the consistency of documents such as the certificate of origin，bill of lading，and commercial invoice of the transit goods，especially the order bill of lading must be clearly specified to avoid losing control of the cargo ownership. In addition，it is required to file for transit trade declaration with the customs in advance，submit the transit contract，manifest information and destination country customs clearance documents to ensure a logical closed loop of documents.
In terms of core node connection，it is recommended to select Jiangmen Port or Nansha Port as the transit port to leverage the linkage advantages of the Pearl River Delta port cluster. During the logistics process，attention should be paid to the storage time of goods at the transit port，to avoid port detention fees incurred after exceeding the free storage period. At the same time，sign a clear cargo ownership transfer agreement with the logistics provider to ensure that the goods are not misappropriated or misdelivered during transit.
The abnormal contingency plan should cover customs inspection，inconsistent documents and other situations. In case of disputes over customs valuation，the genuine trade contract and third-party price proof shall be provided，if there is error in the documents，the customs broker shall be contacted in time for cancellation and re-declaration to avoid missing the shipment schedule. In addition，cargo transportation insurance shall be purchased to cover the risk of loss or damage during transit.
The final compliance implementation shall focus on foreign exchange settlement and tax rebate. Foreign exchange income from transit trade shall be settled through an offshore account or the CIPS system to ensure consistency between capital flow and cargo flow，in terms of tax rebate，all documents of the transit links such as storage certificates and transportation documents at the transit port shall be retained for the verification of tax authorities.
WilliamYears of service：10Customer Rating：5.0
International Logistics AdvisorStart a Chat
Attention shall be paid to valuation risks for customs declaration of Jiangmen transit trade. Customs will conduct valuation based on the origin of goods, terms of delivery and market price. If the declared price is lower than the price of similar goods in the same period, price query may be triggered.
In this case, supporting documents such as certificate of origin, original manufacturer invoice, and long-term cooperation agreement between the two trading parties shall be provided to prove the rationality of the price. In addition, the words "transit trade" shall be indicated on the customs declaration form of transit trade, to avoid confusion with general trade which causes subsequent problems in tax rebate or foreign exchange settlement.
OliviaYears of service：5Customer Rating：5.0
Senior Customs AdvisorStart a Chat
For logistics route optimization of Jiangmen transit trade, routes of "Jiangmen Port - Hong Kong - destination country" or "Nansha Port - Singapore - destination country" are optional. As a free port, Hong Kong features high transit efficiency and low storage cost; Singapore is suitable for transit trade demand targeting the Southeast Asian market.
It is recommended to choose direct shipping routes or fast transit flights to reduce the staying time of goods at the transit port. Meanwhile, negotiate the demurral clauses for container detention fees with the logistics provider to avoid extra costs caused by shipment schedule delay.
DanielYears of service：8Customer Rating：5.0
Legal AdvisorStart a Chat
Tax planning for transit trade shall focus on VAT deferral. When carrying out transit trade in Jiangmen, if the goods do not enter the territory of China, you can apply for VAT deferral to avoid paying value-added tax in advance.
In addition, reasonably set the pricing for related party transactions to comply with BEPS rules, so as to avoid being identified as profit transfer by tax authorities. At the same time, retain all documents of the transit links such as storage fee invoices and transportation documents as the basis for tax declaration.
SophiaYears of service：7Customer Rating：5.0
Senior Customs AdvisorStart a Chat
Foreign exchange settlement for transit trade shall be conducted through compliant channels. It is recommended to use the CIPS system for cross-border RMB payment, or receive foreign exchange through an offshore account, to ensure the consistency of capital flow, cargo flow and document flow.
In addition, documents such as transit trade contract, bill of lading and commercial invoice shall be provided to the bank to prove the authenticity of the transaction. If multi-currency settlement is involved, pay attention to the exchange rate fluctuation risk, and lock the exchange rate through forward foreign exchange settlement and sale.
SarahYears of service：3Customer Rating：5.0
Foreign Exchange AdvisorStart a Chat
Attention shall be paid to the risk of soft clauses in letters of credit for transit trade. When signing the letter of credit contract, soft clauses such as "the bill of lading shall be signed by the designated person of the issuing bank" shall be avoided to prevent losing control of cargo ownership.
In addition, force majeure clauses shall be clearly specified in the contract, so that liability for breach of contract can be reduced in case of shipment delay or port closure. Meanwhile, apply for the cargo ownership transfer letter of guarantee to ensure that the goods can be smoothly transferred to the subsequent buyer during transit.
CharlotteYears of service：4Customer Rating：5.0
Currency Exchange AdvisorStart a Chat
When the transit trade goods are inspected at Jiangmen Port, attention shall be paid to the integrity of the seal. If the seal is damaged, contact the logistics provider in time to re-seal the goods, and submit the seal replacement certificate to the customs.
In addition, if abnormal images appear during the machine inspection, cooperate with the customs for unpacking inspection, and prepare the cargo list and certificate of origin in advance to pass the inspection quickly. If the goods need to be sent for laboratory test, follow up the progress of the test report to avoid shipment schedule delay.
EmilyYears of service：3Customer Rating：5.0
Client Success AdvisorStart a Chat
Jiangmen transit trade supply chain planning shall take inventory linkage into consideration. It is recommended to sign long-term agreements with customers in destination countries, and adjust the inventory of transit goods according to order volume to avoid overstock.
In addition, when selecting trade terms such as CIF or FOB, the division of responsibilities between the two parties shall be clearly defined: under CIF term, the seller shall bear the transportation and insurance costs, while under FOB term, the buyer is responsible for the aforesaid costs. At the same time, leverage the industrial cluster advantages of the Pearl River Delta to integrate upstream and downstream resources and reduce procurement and logistics costs.