The business scope includes business activities such as buying and selling, and can also engage in activities as a broker or agent. However, no matter how a trading company engages in business activities, its function is only to issue invoices. From the perspective of international taxation, it is another way for multinational taxpayers to set up trading companies in international tax havens to avoid international taxation. If a foreign trade operator fails to register in accordance with these measures, the customs shall not go through the formalities of import and export declaration and clearance.
The main job of a trading company is buying and selling, and it is a middleman in commodity circulation. The trading company first looks for manufacturers who can produce goods, buys goods from manufacturers who produce goods, and then looks for people who need this kind of goods.
All foreign trade units, manufacturers, transportation, insurance departments and notary inspection agencies can directly entrust commodity inspection companies to identify import and export commodities. The commodity inspection company may also accept the entrustment of relevant parties and send personnel abroad for inspection and appraisal. We can also handle consulting business and technical services related to commodity inspection, such as expediting export commodities, debugging and maintenance of imported mechanical and electrical instruments, etc.
People's Republic of China (PRC)'s Foreign Trade Law Article 11 The State may exercise state-run trade control over the import and export of some goods. The import and export business of goods subject to state-owned trade management can only be operated by authorized enterprises; However, unless the state allows the import and export business of some state-owned trade-managed goods to be operated by unauthorized enterprises. The catalogue of goods subject to state-owned trade management and authorized operation shall be determined, adjusted and published by the competent foreign trade department of the State Council in conjunction with other relevant departments of the State Council.
In violation of the provisions of the first paragraph of this article, the customs shall not release the goods that belong to the state-owned trade administration without authorization.
Thirteenth foreign trade operators shall submit documents and materials related to their foreign trade activities to the relevant departments in accordance with the provisions made by the competent foreign trade department of the State Council or other relevant departments of the State Council according to law. The relevant departments shall keep business secrets for the providers.