|
International Export
Law is defined by Cornell University Law School as,
“The mixture of domestic and international law as it
pertains to trade across national boundaries.”
International export law sums up all of the trade
laws of the country of origin, as well as the
destination country. Certain products may require
special packaging, such as food or beverage items.
Financial terms between buyer and exporter must
adhere to the international standard.
Perhaps most important, however, when speaking of
international export law is the subject of tariffs.
A tariff is basically an expense added to the
product when it arrives in its destination country
as an import. These fees must be paid or the goods
will sit on the dock, unable to reach your buyer.
There are many, many reasons for tariffs and they
apply to different products depending on several
factors. Tariffs are sometimes used to protect
domestic interests by protecting the importing
government's revenue and competition with that
particular product.
For example, say you manufacture
LCD computer monitors in Australia, and export them
to Japan. Japan already has a huge market as many of
these items are already made there. However, you are
selling your monitors at a very low price to spark
interest. A tariff could be imposed on your exports
by customs officials regulated by the government
when they arrive in Japan.
Other reasons for tariffs
are to effectively prohibit certain unwanted
products from being imported, or to likewise
prohibit certain countries from being able to import
their products. These types of tariffs are known as
“prohibitive” tariffs and are usually so
astronomically high that the country of origin will
not bother to export there any longer.
With the advent of the World Trade Organization
comes a less restrictive form of tariff system, and
some believe an abolishing of the tariff altogether.
You can find more information about international
export law at the following resources online:
Bilaterals Commission –
www.bilaterals.org
Carleton University Center for Trade Policy and Law
-
http://www.carleton.ca/ctpl/about/index.html
Cornell University Law School -
http://topics.law.cornell.edu/wex/International_trade
World Trade Law.net –
www.worldtradelaw.net
Question? Post it on the
Free Export INFO Blog |