How the US-China Trade War Benefits Hong Kong
The United States of America was the world’s manufacturing leader, and the current president is now looking forward to fulfilling this once again as part of his campaign promises. America’s tariff was extended to numerous home goods and steel, luxury handbags and aluminum. The Chinese products continued to face and escalated from 10% to 25%.
Numerous ecommerce businesses depend on Chinese made products, and the escalation of tariff could affect their businesses and profit margins. Hong Kong has managed to avoid the trade wars between the USA and China and act as a bridge for cross-border, between both countries. Hong Kong is ideal for shipping services since they will have a lot of independence and is partly autonomous.
Shipping from Hong Kong will not be difficult since they have a great tax systems and their own currency. In 1995, the World Trade Organization was founded and Hong Kong was a member so they retained an independent economic and customs area. Hong Kong was able to escape the high tariffs by the United States and the free port it offers for warehousing and shipping services have a lot of demand.
Hong Kong has become the best place for people who want to complete their cross-border order fulfilment when shipping for either China or USA. The united States-Hong Kong policy act which was signed in 1992 has been respected by the Congress ever since because Hong Kong maintained its status as a separate territorial health degree not be involved in the issues regarding cross-border trading. The significance of cross-border trade increases with time since Hong Kong has simple shipping procedures and low tax rates.
Hong Kong is better than shipping from china since they are located at the center of major shipping lanes of the Asia-Pacific region since she can easily access this is Canal, Panama, Southeast Asia and America through its ports. The location of Hong Kong is essential since the shipping ports connect ships from Suez Canal, Panama, America and Southeast Asia. Hong Kong is well connected to China’s mainland and has modern transport systems like railways and roads which connected to China’s major city for speedy deliveries. Hong Kong offers entrepreneurs with direct flights through numerous airlines plus you are connected to different cities so you’ll get a world-class re-export opportunity.
People should take advantage of the competitive prices offered by Hong Kong companies especially if you partner with them to get fulfillment services. Partnering with the Hong Kong company means you do not have to worry about legal issues since they understand the local laws and taxes, so there is smooth flow of trade across borders. Business people have relaxed visa procedures and export formalities, and you can avoid surcharge when you submit the required formalities two weeks before the shipments departure.