Section Two Shipping Documents International trade attaches so great importance to shipping documents that, to a certain degree, it can be called trade of documents, or “symbolic” trade. This is because shipping documents represent the title to the goods. For example, under letter of credit, the buyer cannot take the delivery of the goods until he obtains the shipping documents; on the other hand, only if the seller releases the shipping documents can he receive the payment. What documents to be used and how to carefully and accurately complete them deserve our adequate attention.
Generally, commercial invoice, bill of lading, insurance policy or certificate, packing list, and weight memo etc, are called shipping documents. In addition, other documents required by the buyers and related to the matter of duty to be paid on the imported goods, sometimes, are also included in shipping documents, they are the pro forma invoice, consular invoice, certificate of origin, certificate of value, certificate of inspection. (See to the shipping documents please refer to your text book)
Bill of exchange Invoice Bill of lading Insurance policy Variety of documents (Leading) Bill of lading Insurance policy
Section Three Terms of Transportation 1 The time of delivery refers to the time limit during which the seller shall deliver the goods to the buyer at the agreed place by the agreed methods. There are the following ways to stipulate the time of delivery in the contract. (1) Stipulate the definite time of delivery ----Stipulate a fixed time (2) Stipulate a period of fixed time, the seller can arrange shipment during whichever date (3). Stipulate shipment within … days after receipt of the letter of credit (4). Stipulate the goods shall be shipped in the near future,
Shanghai/Xiamen/Dalian Guangdong Port(s) China Port(s) 2 Place of shipment & Unloading Port of Shipment Guangzhou Shanghai/Xiamen/Dalian Guangdong Port(s) China Port(s) Port of Destination London EMP
3 Partial shipment & Transshipment 分批装运与转运 1)Partial Shipment分批装运 Partial shipments allowed. (prohibited) Shipment should be effected within Jan/Feb/Mar 2003 in three lots. ……in three monthly lots. ……in three equal monthly lots. Shipment should be effected within May/June in three lots, 500M/T for each.
2)Transshipment 转运 Transshipment: in ocean shipping, is the movement of goods in transit from one carrier to another at the ports of transshipment before the goods reach the port of destination. Reasons for transshipment: Transshipment is necessary when ships sailing direct to the port of destination are not available, the port of destination does not tie along the sailing route of the liner, or the amount of cargo for a certain port of destination is so small that no ships would like to call at that port.
SHIPPING ADVICE FAX: INVOICE No. : TELEX: L/C No.:_ _ TEL: S/C No.: MESSRS: DEAR SIRS: WE HEREBY INFORM YOU THAT THE GOODS UNDER THE ABOVE MENTIONED CREDIT HAVE BEEN SHIPPED. THE DETAILS OF THE SHIPMENT ARE STATED BELOW. SHIPPING MARKS: COMMODITY: NUMBER OF BALES: TOTAL G..T: OCEAN VESSEL: DATE OF DEPARTURE: B/L No.: PORT OF LOADING: DESTINATION:
出口国 进口国 出口国 进口国 FCA CPT CIP *FOB *CFR DDU *FAS *CIF *DES *DEQ DDP EXW 工厂 仓库 敞车 机场 集装箱 码头 码头 火车站 堆场 CY 汽车站 出口国 进口国 FCA CPT CIP *FOB *CFR DDU *FAS *CIF *DES *DEQ DDP EXW 出口国 进口国 DAF 关境 关境
Exercise Please finish the exercise in the text book Case Study: Please read your case book
Chapter 10 Cargo Transportation Insurance In international buying and selling of goods, there are a number of risks,which,if they occur,will involve traders in financial 1osses For instance cargoes in transit may be damaged due to breakage of packing, clash or fire etc.These hazards, and many others, may be insured against. Every year, a certain amount of cargo was destroyed or damaged by perils of the sea in transit, but whichever particular cargo it would be it can not be anticipated. All cargo owners take the risk of loss through the perils. However, foreign traders can insure themselves against many of these risks. Based on the principle that the fortunate helps the unfortunate, the industry of insurance has been developed to overcome these financial losses.
Section One: Marine Insurance(海运保险) Section Two: Risks,Losses and Expense(风险、损失和费用) Section Three: Marine Insurance Coverage(保险险别) Section Four: Insurance Value(保险报价) Section Five: Insurance Premium(保险费用) Section Six: Forms of Marine Insurance Contract(海运保险合同 格式)
海洋运输货物保险保障的风险 海上风险 外来风险 自然灾害 意外事故 一般外来风险 特殊外来风险
Section One Marine Insurance At present, according to the different transportation methods, there are ocean marine transportation insurance, overland transportation insurance, air transportation insurance and parcel post transportation insurance in our country. Among all these, ocean marine transportation insurance is mostly and widely used in international trade practical business. The ocean marine transportation insurance is also the first used insurance and so has the longest history among the all. The overland transportation insurance and air transportation insurance have been developed on the basis of ocean marine transportation insurance.
Definition of Ocean Marine Transportation Insurance Marine insurance is defined as a contract of insurance whereby the insurance in return for premium collected undertakes to indemnify the insured in a manner and to the extent thereby agreed, against marine losses, that is to say, the losses incidental to marine adventure. Such insurance involving the marine conveyance of cargo from one country to another is, then, marine cargo insurance, which is seen as an indispensable adjunct to foreign trade. However, the term “marine insurance” is somewhat misleading because the contract of marine insurance can, by agreement of the parties or custom of the trade, be extended so as to protect the insured against losses on inland waters or land which are incidental to the sea voyage.
Section Two Risks, Losses and Expenses According to the loss or damage caused by risks included in different coverage and the expenses involved, the insurance company is responsible for indemnifying the insured goods. Obviously, risk, loss and coverage are closely related to each other. In order to have a clear understanding of the contents of insurance, these three terms should be clarified.
1 Risks While the cargo traveling to another country, it is likely to encounter various perils which may cause the goods to suffer loss of one kind or another. Marine risks in connection with cargo in transit can be classified into two types: perils of the sea and extaneous risks. Perils of the sea are caused by natural calamities and fortuitous accidents; the latter, by various extraneous reasons, including general extaneous risks and special extraneous risks. a. Marine Risks: a. Perils of the sea: Natural calamities and Fortuitous accidents b. Extraneous risks: General extraneous risks; Special extraneous risks
Perils and Losses Covered by Marine Insurance (海洋货物运输保险的风险与损失) Natural Calamities Perils of the Sea Fortuitous Accidents Perils General ~ Extraneous risks and losses Special ~
Sue and labor expenses Expenses Salvage charges Losses sustained by the insured because of the risks come from not only the loss of the goods or the damage done to the goods, but also from the expenses the insured sustained in rescuing the goods in danger. Transportation insurance not only insures the losses caused by risks but also the losses of expenses. Sue and labor expenses Expenses Salvage charges
2 Losses Marine Losses: a. Total Loss: Actual total loss Constructive total loss b. Partial Loss: General average Particular average
3 Expenses Losses sustained by the insured because of the risks come from not only the loss of the goods or the damage done to the goods, but also from the expenses the insured sustained in rescuing the goods in danger. Transportation insurance not only insures the losses caused by risks but also the losses of expenses. The main expenses include: 1) Sue and labor expense 2) Salvage charges
People’s Insurance Company of China Ocean Marine Cargo Clauses Section Three Marine Insurance Coverage People’s Insurance Company of China Ocean Marine Cargo Clauses the insurance is mainly classified into two groups: Basic Insurance Coverage:FPA,WPA,and AR and Additional Insurance Coverage.
Additional Insurance Coverage附加险别 1 General Additional Insurance Coverage 偷窃提货不着险(Theft,Pilferage and Non-Delivery:TPND) 淡水雨淋险(Fresh Water and Rain Damage) 渗漏险(Risk of Leakage) 短量险(Risk of Shortage) 钩损险(Hook Damage) 污染险(Risk of Contamination) 碰损破碎险(Risk of Clash and Breakage) 生锈险(Risk of Rust) 串味险(Risk of Odour) 受潮受热险(Damage Caused by Heating and Sweating)
Pay attention to:No additional risk can be purchased to insure goods independently. Since the scope of cover of general additional risks is already included into that of All Risks, it is not necessary for the goods to be insured by additional risks if it is insured by All Risks. 2) Special Additional Risk Special additional risk differs from general addition risk in that the former covers loss or damage caused by some special extraneous reasons such as politics, law, regulations and war. On the other hand, like general additional risk, special additional risks can not be used to insure goods alone either.
Special additional risks include: *War Risk *Strike Risk *On deck risk *Import duty risk clause *Rejection risk *Aflatoxin risk *Failure to delivery clause *Ocean Marine Cargo War Risk *Fire Risk Extension Clause for Storage of Cargo at destination HongKong, including Kowloon or Macao
3 Insurance under other Transportation Methods In international trade, in addition that the goods shipped by sea must be insured, the goods transported by land, air and parcel post should also be insured. Therefore, the insurance company may have different clauses and terms to meet the need of different transportation. Overland transportation insurance Air transportation risks insurance Parcel Post Insurance
4 Commencement and Termination of Insurance 5 London Insurance Institute Cargo Clauses London Insurance Institute Cargo Clauses was first made in 1912. The newly revised London Insurance Institute Cargo Clauses in 1982 include 6 kinds: (1) Institute Cargo Clause A; (2) Institute Cargo Clause B; (3) Institute Cargo Clause C; (4) Institute War Clause-Cargo; (5) Institute Strike Clause-Cargo; (6) Malicious Damage Clause;
General Additional Risk 责任起讫范围 Basic Insurance W / W Clause (仓至仓条款) General Additional Risk Strike Risks Special Additional Risk War Risks 水面危险或运输工具上危险
London Insurance Institute Cargo Clauses伦敦保险协会海运货物保险条款 Basic Risk ICC(C) F.P.A. ICC(B) W.P.A. A.R. ICC(A) Additional Risk
协会货物保险条款(Institute Cargo Clause,ICC) The newly revised London Insurance Institute Cargo Clauses in 1982 include 6 kinds: 1、 ICC(A):协会货物条款(A) 2、 ICC(B):协会货物条款(B) 3、 ICC(C):协会货物条款(C) 4、 Institute War Clause-Cargo 5、Institute Strike Clause-Cargo 6、Malicious Damage Clause 除恶意损害险外,其余5种均可单独投保。
The Seller,transferable after endorsement The insured: Insurance Documents 1) Insurance Policy The Seller,transferable after endorsement The insured: Destination Claim at赔付地点: Not late than B/L Date of Insurance:
2) Insurance Certificate 3) Combined Certificate When the goods are exported to Hong Kong, and some countries in Southeast Asia, the insurance company sometimes adds the coverage and insurance amount on the commercial invoice which is made out by a foreign trade company. This is a certificate which combines the invoice with the insurance policy. It is the simplest insurance certificate in use. 4) Endorsement保险更改批单 After insurance has been taken out, if the insured wants to replenish or change the contents of the policy, he may apply to the company for the same. After agreement by the company, another certificate which indicates the relative amendment will be issued. This certificate is called endorsement.
Open Policy预约保单 This type of policy is of great importance for export business, it is convenient method for insuring the goods where a number of consignments of similar export goods are intended to be covered. An open policy covers these shipments, as soon as they are made, under the previous arrangement between the insured and the insurance company.
6 Choosing the right coverage The clear distinction among the clauses F.P.A., W.P.A. and All Risks is of great practical significance. It may help exporters choose the right coverage. Products should be insured in the appropriate category. e.g. Special Additional Risk特殊附加险 1、战争险(War risk) 战争险的保险责任起讫:仅限于水面危险 案例分析:某公司出口某货物,投保一切险加战争险,该船抵达目的港开始卸货时,当地发生武装冲突,部分船上货物及部分已卸到岸上的货物被毁。问:保险公司如何赔偿?
注:罢工险的保险责任期间是“仓至仓”;已投保战争险又加保罢工险时,一般不另行收费。 2、罢工险(Risk of Strike,Riots and Civil Commotions:SRCC 罢工暴动民变险) 罢工险是保险人承保罢工者、被迫停工工人、参加工潮、暴动和民众、战争的人员采取行动所造成的承保货物的直接损失,对间接损失不负责,如由于劳动力短缺或无法使用劳动力,致使堆放码头的货物遭到雨淋日晒而受损、冷冻机因无燃料而中断造成的被保险货物的损失不负责赔偿。 注:罢工险的保险责任期间是“仓至仓”;已投保战争险又加保罢工险时,一般不另行收费。
3、 Failure to deliver交货不到险 被保险货物从装上船开始,6个月仍不能运到原定目的地交货,则不论何种原因,保险公司均按全损赔付。 4、 Import duty risk进口关税险 承保货物已发生保险责任范围内的损失,但被保险人仍需按货物的完好状态完税而遭受的损失。 5、 On deck risk舱面险 6、 Rejection risk拒收险 7、 Aflatoxin risk黄曲霉素险 8、Fire Risk Extension Clause for Storage of Cargo at Destination Hong Kong including Kowloon or Macao存仓火险责任扩展条款
Section Four Insurance Value Insurance value, in marine cargo insurance, is the actual value of the insurable cargo. It is generally calculated as: Cost of goods+amount of freight+insurance premium+percentage of the total sum to represent a reasonable profit for the buyer. Insurable value is the maximum amount payable by the insurance company in case of loss and premium is calculated and paid on the basis of this amount. Section Five Insurance Premium The insurance premium is payable to the insurer when he issues the insurance policy or certificate. The premium charge for the insurance policy is calculated according to the risks involved. A
As to the Insurance Documents, please refer to the text book and understand how to make all those documents
Introduction of the insurance coverage of marine cargo transport Take out Insurance Practice of marine cargo insurance Cautions for insurance Insurance claim
Introduction of the insurance coverage of marine cargo transport Basic risks additional risks responsibilities and time limit of insurance the exclusion of basic coverage F.P.A W.P.A All risks General additional risks Special additional risks
Exercise Please finish the exercise in the text book Case Study: Please read your case book
Chapter 11 Payment 支付
Introduction In international trade, how and when an exporter receives payment for the goods he sends abroad are problems that concern him the most. Payment in domestic trade is a fairly simple matter. It can be made either in advance or within a reasonably short period after delivery. However, these problems are magnified many times in international trade. Much time is unavoidable lost in correspondence, dispatch and delivery.
Who is liable for this loss Who is liable for this loss? Must the seller wait perhaps six months for his money or shall the buyer pay several months before he even sees his goods? What’s more, in a case of non- payment, the seller will be involved in expensive legal action and possibly total loss. Because of these problems, different methods of payment have been adopted in international trade. Generally, in every contract for the sale of goods abroad, the clause dealing with the payment of the purchase price consists of four elements: time, mode, place, and currency of payment.
What should be understood in this unit 1 Instruments of Payment Currency Bills Draft Promissory Note Cheque 2 Modes of Payment Remittance Collection L/C 3 Payment Clause in S/C
Section One Means of Payment in International Trade In international trade, the most frequently used means of payment include currencies and bills. The former is used for account, settlement and payment; the latter for settlement and payment. In practice, sellers of goods, in general, almost never insist on their rights to demand cash for payment, but readily take certain bills, such as bill of exchange(draft), promissory note and cheque (check) for substitutes, among which draft are widely used.
Draft is an unconditionally written order drawn by the drawer for the money tO be paid by the drawee(payer)Drafts are negotiable instruments and may be sold. Promissory Note is a written and signed promise to pay a stated amount of money to a particular person. Cheque is a written order to a bank to pay a certain sum of money from one’s bank account to another person The payer of a check is the drawer of the check.
Bill of exchange 1) Definition of Bill of Exchange A bill of exchange, also called draft, is defined as “an unconditional order in writing, addressed by one person to another, signed by the person giving it, requiring the person to whom it is addressed to pay on demand, or at a fixed or determinable future time, a sum certain in money, to, or to the order of a specified person, or to bearer”. The operation process of draft includes: to draw, presentation, acceptance, payment, endorsement, dishonor and recourse. Drafts are negotiable instruments and may be sold.
Definition Contents Draft Kinds Use
Samples of bills
Samples of bills No. 1022 $ 20,000 London, 10th March, 2009-3-19 On demand pay to Bill Green or bearer the sum of USD Twenty Thousand only. (Signed) Tom White To: Mr. David Smith New York
Samples of bills No: 123/67 Exchange for $ 8000 Guangdong, China, 5th March, 2006 At 60 days sight of this First of exchange (the SECOND of the same and date being unpaid) pay to or to the order of Guangzhou ABC Import and Export Corporation the sum of USD eight thousand only. To: ABC Import and Export Co. Ltd 23 Washington Street New York, USA Guangzhou ABC Import and Export Corporation Manager(Signed)
BILL OF EXCHANGE No.__________________ For At ____________________ sight of THIS SECOND BILL of EXCHANGE (first of the same tenor and date unpaid) pay to___________________or order the sum of Value received and charge the same to account of _____________________ _________________________________________________________________ Drawn under______________________________________________________ L/C No._______________________________dated_______________________ To.______________________________ ___________________________
汇票 BILL OF EXCHANGE No. 汇票编号 Date: 出票日期 For: 汇票金额 At 付款期限 sight of this second of exchange (first of the same tenor and date unpaid) pay to the order of 受款人 the sum of Drawn under 出票条款 L/C No. Dated To. 付款人 出票人签章
1) Content of Bill of Exchange (draft) (1)An unconditional order in writing (2)Addressed by one person/party (the drawer) In A: Tom White In B: Guangzhou ABC Import and Export Corporation (3)To another (the drawee) In A: David Smith, New York In B: A&C Import and Export Co. Ltd, Miami (4) Signed by the person /party (drawer) giving it
2) The Parties to a Bill of Exchange A bill of exchange involves three parties: Drawer: The person who writes the order and gives directions to the person to make a specific payment of money. He is usually the exporter or his banker in import and export trade; usually, he is also a creditor of the drawee. Drawee: The person to whom the order is addressed and who is to pay the money. He is usually the importer or the appointed bank under a letter of credit in import and export trade. In addition, when a time bill has been accepted by the drawee, he becomes an acceptor who is the same person as the drawee. The drawer and the acceptor must be different persons.
Payee Drawer Drawee The relationship among these parties in a bill of exchange may be described as a triangle as above
1)Involved Parties 出票人 (Drawer) 受票人 (Drawee) = Payer 收款人 (Payee) Contents in Draft 1)Involved Parties 出票人 (Drawer) 受票人 (Drawee) = Payer 收款人 (Payee)
3) Classification of Bill of Exchange (1). Commercial bill and Banker’s Bill According to different drawee, the bills of exchange can be classified into commercial bill and banker’s bill. If the drawer is a commercial concern, the bill is called a commercial bill. It is often used in foreign trade finance. If the drawer is a bank, the bill is called a banker’s bill. It is mainly used in remittance.
(2). Clean bill and documentary bill In the transfer of the bill of exchange, if the bill of exchange is accompanied by shipping documents, it is a documentary bill, if not, it is a clean bill. In international trade, mostly it is the documentary bill that is used, occasionally the clean bill is used to collect payment in small or sundry charges,such as commission, interest, sample fee and cash in advance, etc.
(3). Sight (or Demand) Bill and Time (or Usance) bill According to the time when the bill falls due, bills of exchange may be divided into sight (or demand) bill or a time (or usance ) bill. A sight bill demands immediate payment by the drawee at the sight of the bill. In case of a time bill, the drawee is required to accept it first and pay it at a fixed or determinable future time, in other words, it requires acceptance before payment. The fixed or determinable future time may be a certain number of days after acceptance: a) At … days after sight, such as “30 days sight or “60 days after sight”; b) At … days after date if draft, such as “90 days after date of this draft”; c) at fixed date in the future, such as “On May 12, 2006”.
Whether documentary Sight bill Dead time of payment Usance bill Kinds Clean bill Whether documentary Documentary bill Sight bill Dead time of payment Kinds Usance bill Commercial bill Drawer Banker’s bill Commercial Acceptance bill Acceptance Banker’s Acceptance bill
draw use presentation payment acceptance
汇票图样
中国建设银行汇票样本
中国工商银行转帐支票票样
(4). Commercial Acceptance Bill and Banker’s Acceptance Bill In time or usance commercial bill, when the drawer is a commercial firm and the drawee is another commercial firm, the bill after acceptance by the commercial firm or the drwee is called a commercial acceptance bill; when the drawee is a commercial firm or bank and the drawee is a bank, the bill after acceptance by the bank or the drawee is called a banker’s acceptance bill.
Summary 1、According to different the Drawer (1) Banker’s Draft银行汇票 (2) Commercial Draft商业汇票 2、According to Shipping Documents attached按照有无随附货运单据 (1) Clean Draft光票或净票、白票 (2) Documentary Draft跟单汇票 3、According to the time of payment按照付款时间的不同 (1) Sight Draft即期汇票 (2) Usance Bill or Time Bill远期汇票
4) Use Bill of Exchange in Foreign Trade A bill of exchange (draft) is an order to pay. It is made out by an exporter and presented to an importer, usually through a bank. It may be payable immediately on presentation (a sight or demand draft), or so many days after presentation ( a time draft). In the latter case, the drawee writes “ Accepted” across it and signs his name. The exporter can then get immediate payment by discounting the draft and supplying a letter of hypothecation. If a time draft is not honored at maturity, it will be noted and protested by a Notary Public, and represented the drawee. Such a draft, and the corresponding payment terms, “Documents against Acceptance”, obviously involve risk to the exporter or his bank.
(1). To draw To draw is to fill up by the drawer the particulars in a bill of exchange the date of drawing, the name of the drawee, the time and amount of the payment, etc. The draft is signed by the drawer and then sent to the payee. There are three kinds of ways to fill up the payee: * Restrictive payee, such as pay…Co. only, pay … Co. not transferable; * To order, such as pay … Co. or Order or Pay to the Order of … Co. This type requires endorsement when transferable. * To bearer, such as pay bearer. This type requires no endorsement.
(2). Presentation The act of taking the bill to the drawee and demanding that he make the payment or accept the bill is known as presentation. For a sight bill, payment should be made at the same time when the presentation is made, and for a tile bill, the drawee is required to accept the bill when the bill is presented to him.
(3). Acceptance The formal act whereby the drawee adopts the bill as his own obligation is known as acceptance. Acceptance is the written signification by the drawee of his assent to the order of the drawer. This is accomplished in the regular manner by writing the word “Acceptance”, with the date and the signature of the drawee, across the face of the bill. When the bill is accepted by the drawee, he is then known as an acceptor.
(4). Payment Under a sight bill, the drawee is required to make the payment when the bill is presented to him while for a time bill, the drawee is required to accept the bill when the bill is presented to him and make the payment at the maturity of the bill. When paid, the bill is retained by the payer while the receipt is made and signed by the holder of the bill.
(5). Endorsement The bill of exchange is negotiable and transferable as the payee on most bills is to “to the order of…”. Negotiation and transfer is effected with endorsement. If the payee on the bill is to “to the bearer”, then negotiation and transfer is done with mere delivery of the bill. Endorsement is done when the payee has signed his name on the back of the bill with or without additional words conveying instructions or qualifying liability. Generally speaking, there are three main endorsements, namely special, blank, restrictive.
Restrictive Endorsement The endorser may write clearly on the upper part of the signature on the back of the bill the endorsee with restrictive conditions. A restrictive endorsement is one which limits the bill for further negotiation, such as “Pay … only” or “Pay … non-transfer”. Once the bill is restrictively endorsed, it cannot be transferred any more. Demonstrative Endorsement A demonstrative endorsement is one which specifies the person to whom, or to whose order, the bill is to be payable, such as “Pay … or to order of”.
Blank Endorsement A blank endorsement, or endorsement in blank, is one which specifies no payee. The effect of a blank endorsement is to make the bill payable to bearer and to make delivery and without additional endorsement. The bearer or holder of a bill so endorsed may sometimes required, however, to place his endorsement upon it at the time of making a further negotiation.
票汇业务程序图 买卖合同规定以票汇付款 付款人 (买方) 收款人 (卖方) 4 .寄交银行即期汇票 1票汇申请书, 交款、付费 5 背书后交汇票 2 银行即期汇票 6付款 3 寄汇票通知书(票根) 汇出行 (出票人) 汇入行 (付款人) 7 收回垫款或付讫借记通知
Some Expressions used in Draft 汇款/寄钱 to remit/to send money 寄票供取款/支票支付 to send a cheque for payment 寄款人 a remitter 收款人 a remittee 国外汇票 foreign Bill 国内汇票 inland Bill 跟单汇票 documentary bill 空头汇票 accommodation bill 原始汇票 original bill 改写/换新票据 renewed bill
即期汇票 sight bill/bill on demand 见票后... 日付款 ... days' after sight/... days' sight 见票后... 月付款 ... months' after sight/... months' sight 同组票据 set of bills 单张汇票 sola of exchange/sole of exchange 远期汇票 usance bill/bill at usance 长期汇票 long bill 短期汇票 short bill 逾期汇票 overdue bill 宽限日期 days of grace
drawn clauses 出票条款(注:即出具汇票的法律依据) (1)all darfts drawn under this credit must contain the clause “Drafts drawn Under Bank of…credit No.…dated…” 本证项下开具的汇票须注明“本汇票系凭……银行……年……月……日第…号信用证下开具”的条款 (2)drafts are to be drawn in duplicate to our order bearing the clause “Drawn under United Malayan Banking Corp.Bhd.Irrevocable Letter of Credit No.…dated July 12, 1978” 汇票一式两份,以我行为抬头,并注明“根据马来西亚联合银行1978年7月12日第……号不可撤销信用证项下开立”
(3)draft(s) drawn under this credit to be marked:“Drawn under…Bank L/C No.……Dated (issuing date of credit)” 根据本证开出得汇票须注明“凭……银行……年……月……日(按开证日期)第……号不可撤销信用证项下开立” (4)drafts in duplicate at sight bearing the clauses“Drawn under…L/C No.…dated…” 即期汇票一式两份,注明“根据……银行信用证……号,日期……开具” (5)draft(s) so drawn must be in scribed with the number and date of this L/C 开具的汇票须注上本证的号码和日期 (6)draft(s) bearing the clause:“Drawn under documentary credit No.…(shown above) of…Bank” 汇票注明“根据……银行跟单信用证……号(如上所示)项下开立”
Exercise 1 A. Read the bill of exchange below and answer questions. TWO COPIES No. 80W5069-2 Date: 4th DEC. 2008 EXCHANGE FOR USD63,162.00 At 90 DAYS sight of this FIRST OF EXCHANGE (second of the same tenor and date unpaid) pay to the order of OURSELVES the sum of __________________________Value received Draw under LC No. 314955B OF 1ST AUG. 1999 ISSUED BY YOURGOODSELVES TO HORNER HENAN NATIVE PRODUCE & ANIMAL TRUST CO. BY-PRODUCTS IMP. & EXP. CO. PITTSBURG ________________________ MANAGER
1. Who is the drawer/drawee? i.e. who is paying whom? 2. On which day was the draft drawn? 3. Is the Bill in sola (one copy) or two? 4. How much money is involved? 5. This bill only shows the sum of money is figures. Can you write out the same amount in words? Where do you write it . 6. In a bill of exchange, the places of the sender and the receiver are fixed. Where are they respectively? How long is this bill valid? According to the bill, what is the mode of payment used? 9. What do the following abbreviations stand for? USD________ No.___________ LC____________ CO.___________
Exercise 2 B. Figures and words Checks, bills and receipts often contain sums of money in two form: figures and words. Spell out the following figures. 1. £100.00__ 2. US$89.50 __ 3. ¥868,000.00__ 4. STG234.4s.3p __ 5. DM590.00 __
Key A. Read the bill of exchange below and answer questions. 1. Drawer: Henan native produce … Drawee: Hanover Trust Co. 2. 4th DEC, 1999 3. two copies 4. US$63,162.00 5. Unite States Dollars Sixty Three Thousand One Hundred And Sixty Two Only 6. The sender's place is on the bottom right and the receiver's is on the bottom left. 7. 90 days 8. LC 9 US dollars, number, letter of credit, company
Key: Figures and words 1. One Hundred Pounds Sterling Only 2. Eighty-nine Dollars and Fifty Cents Only 3. Yen Eight Hundred and Sixty-eight Thousands Only 4. Two Hundred and Thirty-four Pounds, Four Shillings, and Three Pence Only 5. Deutsche Mark Five Hundred and Ninety Only
Promissory Note 本票 A promissory note is an unconditional promise in writing made by one person to another signed by the maker, engaging to pay, on demand or at a fixed or determinable future time, a sum certain in money, or to the order, of a specified person or to bearer. The main difference between a promissory note and a draft lies in that there are three parties, namely drawer, drawee and payee involved in a draft but only two, drawer and payee in a promissory note. The party of promissory note is the drawer himself.
Promissory notes can be made by commercial firms, called commercial promissory notes, or bankers, called bank promissory notes. Commercial promissory notes can be sight promissory notes or time promissory notes, while bank promissory notes can only be sight. In international trade, most promissory notes are drawn by bankers which are mostly not negotiable.
本票样本
Cheque (Check) A check is an unconditional order in writing drawn on a banker signed by the drawer, requiring the banker to pay on demand a sum certain in money to or to the order of a specified person or to bearer. The payer of a check is the drawer of the check A cheque drawn on a bank overseas cannot be readily negotiated by the exporter If the exporter’s bank were prepared to negotiate it for him then he would receive payment right away but at the cost of the discount.Failing this the exporter would have to ask his bank to collect the cheque for him and this would be both time—consuming and relatively expensive.
中国建设银行现金支票样本
Section Two Modes of International Payment 支付方式从资金的流向与支付工具的传递方向划分,可分为顺汇和逆汇。汇付采用顺汇,托收采用逆汇。 Remittance汇付 (一) Definition & Involved Parties汇付的含义及当事人 1、Definition汇付的含义 2、Involved Parties汇付的当事人 Remitter汇款人 Payee收款人 Remitting Bank汇出行 Paying Bank汇入行或解付行
Remittance汇付 M/T信汇 T/T电汇 票汇D/D Mail transfer Telegraphic transfer Demand Draft
Remittance Kinds Definition M/T T/T D/D
(Telegraphic Transfer, T/T) 电/信汇业务程序图 汇款人 收款人 买卖合同规定以电/信汇付款 1 电/信 汇申请 书、交款、付费 3汇 款 通 知 4 收 据 5 付 款 * (Telegraphic Transfer, T/T) (Mail Transfer, M/T) 2 电/信汇委托通知 * 汇入行 汇出行 6 收回垫款或付讫借记通知
托收(Collection) (一)Definition & Classification Definition: Classification: 光票托收(Clean Collection) 跟单托收(Documentary Collection) (二)Parties Involved
D/P at…days after sight Collection Definition Kinds Clean collection Documentary collection D/P D/A D/P sight D/P at…days after sight
Documentary Collection跟单托收 Principal Payer (1)S/C Exporter Importer (2)Make delivery (8) (6) (3)Draft (5) (4) Bank in Export Country Bank in Import Country (7) Remitting bank Collecting Bank
and gain the documentary. D/P at sight: The buyer shall pay against draft and documentary drawn by the seller at sight and gain the documentary. Principal (Exporter) Payer (Importer) 1 6 3 4 2 Remitting Bank Collecting Bank 5
D/P at…days after sight: The buyer shall duly accept the documentary draft drawn by the seller upon first presentation and make payment when expire. Payer Principal 3 5 6 4 1 8 2 Collecting Bank Notifying Bank Remitting Bank 7
付款交单(document against payment, D/P) 付款人 (进口人) 委托人 (出口人) 合同规定付款交单方式 即期付款交单 (D/P at sight) 5 付款后代收行交单 4 审单无误后付款 3 按委托书指示向买方提示汇票和单据 1 装货,填写托收委托书,开立汇票,跟单交付 7 交款 远期付款交单 (D/P after sight) 2.寄交托收指示书、汇票货运单据 代收行 托收行 6.办理转帐并通知款已收妥
承兑交单(document against acceptance, D/A) 付款人 (进口人) 委托人 (出口人) 合同规定承兑交单方式 3按委托书指示向买方 提示汇票和单据,进口 人承兑汇票,银行交单 1 装货,填写托 收委托书,开立汇票,跟单交付 4 到期日付款 6。交款 2.寄交托收指示书、汇票、货运单据 代收行 托收行 5.办理转帐并通知款已收妥
Classification of Collection 按交单条件的不同,可分为以下两种: 付款交单(Documents against Payment,D/P) (1) D/P at sight即期付款交单 (2) D/P after sight远期付款交单 If the date of payment is late than the date of receipt of cargo若付款期限晚于到货期限,in order to grasp favorable time to resale the goods, the buyer can adopt the following way: Make the advanced payment against documents提前付款赎单 Borrow documents against Trust Receipt凭信托收据借单(e.g.:D/P.T/R)
承兑交单(D/A)的支付程序 Principal Payer Remitting bank (1)S/C (9) (8) (2)cargo (3)draft (6)Accept (7)Document (5)Presentation (8)payment (4)Collection Collecting bank Remitting bank (8)
Discussions: Advantages and disadvantages of remittance Advantages and disadvantages of collection
the doctrine of strict compliance Definition of L/C At the request of the Buyer, Guaranty of payment保证书。 Issued by Bank 付款 Conditioned the doctrine of strict compliance 单证相符,单单一致
Letter of Credit Graph Kinds Definition Using purpose Special use nature Time of payment The way of payment confirmed Usance payable at sight Irrevocable Confirmed Unconfirmed Sight Usance Acceptance Revocable Payment Negotiation Transferable Back-to-bake Anticipatory Standby Revolving Reciprocal
Applicant (Importer) Beneficiary (Exporter) Advising Bank 1 9 8 3 4 5 2 Advising Bank Negotiating Bank Opening Bank Paying Bank 6 7
Parties involved in L/C 1、 Applicant开证申请人,或开证人(Opener) 2、 Opening Bank,Issuing Bank开证银行 3、 Advising Bank,Notifying Bank通知银行 通知行只负责鉴别L/C的真实性,不承担其他义务。 4、 Beneficiary受益人 5、 Negotiating Bank议付银行、押汇银行或贴现银行 6、 Paying Bank付款银行 7、 Confirming Bank保兑银行 保兑银行具有与开证银行相同的责任和地位。
(1) Brief Cable简电本 (UCP500 Article 11 a(ii). L/C的开立形式 1、 To open by Airmail信开本 2、 To open by Cable电开本 (1) Brief Cable简电本 (UCP500 Article 11 a(ii). 简电本不是有效的L/C文件,不能作为交单议付的依据。
L/C的种类 (2) Full Cable全电本 (3)SWIFT L/C(全球银行金融电讯协会) (一)按L/C下的汇票是否随付货运单据 Documentary L/C跟单L/C Clean L/C光票L/C Revolving Credit循环L/C 1、The classification (1)revolving with time按时间循环L/C (2)revolving with amount按金额循环L/C 2、Advantages循环L/C的优点 3、The applicable scope循环L/C的适用范围:be applicable for partial shipment equally适用于分批均匀交货 4、Specimen of Revolving Credit
Reciprocal Credit对开L/C 1、The characteristics对开L/C的特点 2、 The applicable scope对开L/C的适用范围 Frequently used in barter, compensation trade and ect.多用于易货贸易、来料加工或补偿贸易业务。 Back to Back Credit对背L/C或转开L/C 1、对背L/C的适用范围 2、开立对背L/C后,有关条款的变更 Anticipatory L/C预支L/C 1、预支方式(包括向开证行预支和向议付行预支) 2、 Red Clause L/C红条款L/C 3、 Green Clause L/C绿条款L/C 开证行要求受益人必须将预支货款下的货物,以开证行的名义存放在出口国海关仓库,受益人凭“栈单”和以后补交单据的声明书,预支部分货款。
*Differences between Standby L/C & L/G : 1 Different International Custom Practice适用的国际惯例不 同 ISP98: the International Standby Practices 1998 (1998年国际备用信用证惯例) URDG458: Uniform Rules for Demand Guarantees (见索即偿保证书统一规则) URCG325: Uniform Rules for Contract Guarantees (合同保证统一规则) 2 Different Features
Utilization of Various methods of Payment各种支付方式的运用 Remittance Collection A set of original documents L/C
Combination of Collection & Stand-by L/C or L/G托收与备用信 用证或银行保函相结合 Combination of Remittance, Collection and L/C汇付、托收和信 用证相结合 1、 Payment by Installments分期付款 2、 Deferred Payment延期付款 3、Difference between payment by installments and deferred payment The degree of settlement of payment货款清偿程度不同 The time of transformation of title所有权转移时间不同 The interest paid支付利息费用不同
Attention should be paid to the following when using letter of credit Checks and Amendment of the Letter of Credit Once the letter of credit is opened, the opening bank will send the credit either directly to the seller or to the notifying bank. Upon arrival of the credit, the seller should check the credit immediately. If the credit contains unacceptance requirements, they should be rejected at once, preferably fax, asking for amendments. Please try to finish the exercise of L/C amendment
Payment in Installments & Deferred Payment分期付款与延期付款 Put into Production投产 Commodity Inspection商检 Re-inspection验收 Shipment装船 Cargo Arrival到货 10% 10% 10% 10% 60% Deferred Payment延期付款: Take delivery of goods交货 Put into Production投产 …… Check & Accept验收 03.8. 04.8. 10% 10% 10% 10% 10%
Please look at the following drafts and try to understand what you have studied in this chapter
托收的程序 返回 代收银行 托收银行 进口商 (受票人/买方/付款) 出口商 (出票人/卖方/委托人) (6) (2) (1) (5) (7) (4) (3) 进口商 (受票人/买方/付款) 出口商 (出票人/卖方/委托人) 货物 返回
即期付款交单程序 返回 出口商 (卖方/委托人) 合同 进口商 (买方/付款人) 进口地银行 (代收行) 出口地银行 (托收行) (1) (7) (5) (4) (3) 返回
远期付款交易程序 返回 出口商 (卖方/委托人) 合同 进口商 (买方/付款人) 进口地银行 (代收行) 出口地银行 (托收行) (1) (5) (4) (3) (6) (2) (6) 返回
远期承兑交单程序 返回 出口商 (卖方/委托人) 合同 进口商 (买方/付款人) 进口地银行 (代收行) 出口地银行 (托收行) (4) (3) (1) (6) (2) (5) 返回
信用证流通过程 返回 出口商 (卖方/受益人) 合同 进口商 (买方/开证人) 付款行 开证行 通知行 议付行 (4) (5) (3) 付款行 开证行 通知行 议付行 (4) (5) (3) (9) (8) (1) (6) (2) (7) 返回
四、信用证业务的一般结算程序: 受益人 开证申请人 通知行 议付行 付款行 开证行 1 合同 采用信用证支付方式 14 B/L 5 装运 1 合同 受益人 开证申请人 采用信用证支付方式 14 B/L 5 装运 6 B/L 15 提货 4 通 知 信 用 证 7 交 单 议 付 8 垫 付 货 款 13 交 单 11 提 示 付 款 2 申 请 开 证 船公司 12 付 款 通知行 议付行 10 偿付 付款行 开证行 9 寄单索汇 3 开立信用证,寄交通知行
Instrument of Payment 详解 现 金 支 票 汇 票 本 票 箭头表示返回相应连接
Modes of Payment 详解 银 行 保 函 出 口 保 付 代 理 汇 付 托 收 信 用 证
Exercise Please finish the exercise in the text book Case Study: Please read your case book
Unit 12 Disputes, Claim and Arbitration Disputes arise in international trade for many reasons,for instance,a buyer may breach a contract by wrongfully refusing to accept goods or failing to pay for the goods when payment is due:a seller may violate a contract by failing to make an agreed delivery, delivering goods that do not conform to the contract etc. Usually a claim will be made, after the disputes, by the injured party against the other party. The objective of this chapter Dispute and Claim Force Majeure Arbitration
Section One Dispute and Claim Breach of Contract Breach of contract means the refusal or failure by a party to a contract to fulfill an obligation imposed on him under that contract, resulting from, e. g. , repudiation of liability before completion, or conduct preventing proper performance. The contract is discharged where the breach results in the innocent party treating it as rescinded and where it has the effect of depriving the party who has further undertakings still to perform of substantially the whole benefit which it was the intention of the parties as expressed in the contract as the consideration for performing those undertaking.
1) Breach by the Seller 2) Breach by the Buyer 3)Both Parties are held responsible As to the case, please refer to your case book
Disputes In international trade, disputes often arise between the two parties when one party thinks that the other fails to carry out the duties stipulated in the contract wholly or partially, which very likely leads to claim, arbitration and legal action. Claim Claim means that in international trade, one party breaks the contract and causes losses to the other party directly or indirectly, the party suffering the losses may ask for compensation for the losses. In some contract, the two parties often stipulate clauses on settlement of claim as well as inspection and claim clauses.
Claim related to imports Claim Clauses 1) Discrepancy and claim clause 2) Proofs 3) Period for claim 4) Penalty
Problems Should be Paid Attention to When a Buyer Files a Claim 1) Proofs for claiming 2) Claim amount 3) Claim Period 4) Seller's Responsibility for Settlement
The sellers may settle the claim upon the agreement of the buyers in the following ways: (1) Agree to the rejection of the goods and refund to the buyers the value of the rejected goods in the same currency as contracted herein, and bear all direct losses and expenses incurred from the rejection, including interest, banking charges, freight, insurance premium, inspection charges, storage charges and all other necessary expenses required for the custody and protection of the rejected goods. (2) Devaluate the goods according to the degree of inferiority, extent of damage and amount of losses suffered by the buyers. (3) Replace the defective goods with new ones which conform to the specification, quality and performance as stipulated in the contract, and bear all expenses incurred and direct losses sustained by the buyers. The sellers shall, at the same time, guarantee the quality of the replaced goods for a further agreed period.
Clauses in respect of claim in an import and export contract can be fixed as follows: (1) Discrepancy and claim clause: Claim amount: Period for claim (2) Proofs (3) Penalty:
Section Two Force Majeure Force majeure means that the frustration of the contract by the party in question results from natural or social forces including flood, earthquake, typhoon, fire, war and government decrees of prohibition beyond the control of man. This party shall be free from liability for performance, or be given an option of prolonging the performance of the contract owing to the above-mentioned event or series of events.
In order to clarify what the term of force majeure covers under a particular contract, different ways have been adopted. 1 Stipulate the Force Majeure Clause in a General Way 2 Stipulate the Force Majeure Clause in a Way to List the Contents 3 Stipulate the Force Majeure Clause in a Way to Colligation
Section Three Arbitration Dispute commonly to be settled by 3 ways: Conciliation Arbitration Litigation
The definition of arbitration Arbitration means that the two parties, before or after the disputes arise, reach a written agreement that they will submit the disputes which cannot be settled through amicable negotiations to the third party for arbitration. Normally a board of arbitration consists of three arbitrators. Firstly, the plaintiff and the defendant choose one arbitrator respectively. Then, the two arbitrators so chosen by the plaintiff and defendant choose a third arbitrator.
Issues should be considered in the negotiation of arbitration : (1)Place of Arbitration (2) Arbitration Body (3) Applicable arbitration rules (4)Arbitral Award Examples of arbitration clauses (Read your text book)
Issues should be considered in the negotiation of arbitration The differences between arbitration and legal actions can be generalized as follows Issues should be considered in the negotiation of arbitration Examples of arbitration clauses Please read your text book
Summary 无法预见 无法预防 无法避免 无法克服 意外事故 推迟履行合同 免除履行合同
一般的贸易商业风险不属于不可抗力,如汇率 洪水 暴风 干旱 地震 自然原因 不可抗力 战争 罢工 禁运 社会原因 一般的贸易商业风险不属于不可抗力,如汇率 波动,商品价格升降
Exercise Please finish the exercise in the text book Case Study: Please read your case book
CHAPER 13 MODE OF INTERNATIONAL TRADE)国际贸易方式 This part is mainly for students’ self study 经销与代理(Distribution and agency) 寄售与展卖(Consignment , fairs and sales) 招标投标与拍卖(Invitation to tender and submission of tenders, auction) 期货交易与套期保值(Futures trade at commodity exchange and hedging ) 对销贸易(Counter trade) 加工贸易(Processing and assembling trade) 国际电子商务(International electronic commerce) 返回目录
定销( Fixed distribution) ㈡特征(Features) ㈠定义(Definition): It means that the distributor allocates and sells the goods on behalf of the exporter. 定销( Fixed distribution) 包销( Exclusive sales) ㈡特征(Features) The relation between the supplier and the distributor is Principal to Principle;the distributor sells goods in his own name and on his own account. 返回目录
㈢经销协议的内容(The contents of distribution agreement) 1.经销协议的范围(The scope of the agreement) 2.经销地区(The area of distribution) 3.经销数量或金额(Quantity and amount) 4.作价方法(Methods of pricing) 5.其他义务(Other obligations) 6.经销期限(Period of distribution)
佣金代理 (The commission agent) 独家代理 (The sole agent) 代理(Agency) ㈠定义(Definition) It means that the agent signs contracts with a third party on behalf of the principle or does other matters relating to the sales in compliance with the instruction from his principal, while the principal shall be responsible for the agent’s business activities and the obligations incurred therein. 佣金代理 (The commission agent) 独家代理 (The sole agent) 总代理 (The general agent) ㈡特点(Features) The agent can’t surpass the scope of authority and he can’t sign contract in his own name. He is a middleman and receive commission. He is free from the responsibilities of the contract. 返回目录
寄售(Consignment) ㈠定义(Definition) It means that the consignor delivers the goods to the place of consignment abroad first, then entrusts the consignee with the task to sell the goods according to the conditions and methods stipulated in the agreement of consignment. ㈡特征(Features) l The consignor shall first deliver the goods to the agent or consignment agent. l Before the commission agent sells out the goods, the title to the goods still belongs to the consignor. l The commission agent is commissioned to sell the goods for the consignor and he will deal with the goods according to the order of the consignor only. l The consignment agent will not under any risks and expenses and he only charges commission for his service. 返回目录
㈢寄售协议的内容(The contents of agreement ) 1.寄售商品的作价办法(The pricing methods) 2.佣金问题(About commission) 3.货款的收付(Payment) ㈣寄售的优缺点(The advantages and disadvantages of consignment) 1.Advantages: To the seller To the consignment agent To the buyer undertake large risks 2.Disadvantages (To the consignor) period of capital turnover is too long 返回目录
2.我国开展的展卖方式(The mode of fairs and sales) International fair 1.定义(Definition) 2.我国开展的展卖方式(The mode of fairs and sales) International fair Chinese Export Commodities(Guangzhou trade fair) 开展展卖业务应注意的问题 ①Choose the proper commodities ②Choose the good partner ③Choose the proper place to exhibit the goods ④Catch the good opportunity to exhibit the goods 返回目录
招投标(Invitation to tender and submission of tenders) 公开招标 非公开招标 ㈡ 投标(Submission of tender) 拍卖(Auction) ㈠ 定义(Definition) It is a kind of spot transaction in which the auctioneer is entitled to sell the goods according to certain principles and regulations. ㈡ 种类(Kinds of the auction) 增价拍卖 (Mark-up auction) 减价拍卖( Mark -down ) 密封递价(Sealed bids or closed bids) 返回目录
㈢拍卖的程序(The procedure of auction) 准备阶段 (Preparation) 买方审查 (Inspection by the buyers) 正式拍卖(Formal auction) 成交与交货(Making payment and taking delivery of the goods) ㈣拍买的特点(The features of auction) 1.It is processed in an organization. 2.It has its particular law and regulations. 3.It is the spot transaction 返回目录
㈢期货市场的构成(The formation of the futures market) 期货交易(Futures trading) ㈠定义(Definition) It is an organized market at which futures contracts of particular commodities are sold according to its regulations at a stipulated time. ㈡期货交易与现货交易的区别(The differences between futures trading and spot transaction) The object of the transaction The place and time of transaction The form of transaction The ways of carrying out contract The legal relations between partner The purpose of transaction ㈢期货市场的构成(The formation of the futures market) 1.期货交易所(Futures exchanges) 2.期货佣金商(Futures Commission Merchant) 3.清算所(Clearing House) 4.期货交易的参加者(Participants of futures transaction) ①套期保值者(Hedger) ②投机者(Speculator) 返回目录
套期保值(Hedging) ㈠定义(Definition) It means that when the seller (buyer) sells (buys) the actual commodity, he will buy (sell) the futures contract of the same amount at the commodity exchange. From the viewpoint of long period of time, prices at the commodity exchange are almost the same as those at the actual commodity market, so the loss or profit in actual commodity business may be compensated or offset by the profit or loss in the same amount at the commodity exchange. Hedging includes selling hedging and buying hedging. 返回目录
㈡套期保值的具体做法 1.卖期保值(Selling Hedge) 2.买期保值(Buying Hedge) ㈢进出口商的套期保值策略(Tactics) Sign the import contract with fixed price 1.The buyer Basis trading Sign the export contract with fixed price 2.The seller Sign the export contract with fixed basis Sign the contract with fixed basis and conduct Ex-pit Trade
㈡对销贸易的形式(The forms of counter trade) 1.易货贸易(Barter trade) ㈠定义(Definition) Counter trade is a mode of trade which makes use of the agreed commodity or service as a mode of payment for the equipment, technology imported from abroad. ㈡对销贸易的形式(The forms of counter trade) 1.易货贸易(Barter trade) 2.补偿贸易(Compensation trade) 3.互购(Counter Purchase) 4.转手贸易(Switch Trade) 5.抵消贸易(Offset Trade) ㈢对销贸易的作用(The function of the counter trade) 返回目录
加工和装配业务( Processing and assembling trade) 1.Assembling with parts supplied by customers 2.Processing with customer’s materials and draft and samples 3.Processing of imported materials ★来料加工和进料加工的区别(The difference between the processing and assembling and processing of imported materials) The processing of imported materials : our enterprises purchase raw materials from aboard, process them into products and sell them to the markets abroad. The import of raw materials and export of products are not so related closely as the former. The processing and assembling trade: factories abroad provide raw materials and accept qualified products. Our enterprises are not responsible for losses and profits nor undertake risks of sale. So it is a transaction that combines import of raw materials or parts with export of products. 返回目录
Exercise Please finish the exercise in the text book Case Study: Please read your case book