How the US-China Trade War Benefits Hong Kong
President Donald Trump is looking forward to making America the best manufacturing leader as part of his campaign promises. The president pulled tariffs on washing machines, and solar panel plus the tariff wall was extended to cover everything from aluminum, luxury bags, steel and different home boots. In a mission to accomplish his campaign promises, president import tariffs on washing machines and solar panels plus tariff were prolonged to cover a wide variety of home goods. The plan of the president was to ensure products coming from China had increased tariffs from 10% to 25%.
Numerous ecommerce businesses depend on Chinese made products, and the escalation of tariff could affect their businesses and profit margins. The trade war USA China has made it easy for Hong Kong to avoid the effects of the conflict and serve as a bridge for cross-border commerce for 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. Hong Kong has made a place itself in the trading circle by ensuring they remain an independent economic and custom area especially after the funding of the World Trade Organization. Businesses people get to enjoy the warehousing and shipping services in Hong Kong ports for free since they are not affected by the inflated tariffs so the demand for the ports are high.
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. Since Hong Kong is well known as a separate territory, issues regarding economics and cross product training has been respected when the Congress passed the United States-Hong Kong Policy Act. 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. Ships that use Hong Kong port have access to Panama, America, South-East Asia and the Suez Canal since it is in the center of major shipping lanes. The transport system in Hong Kong is modern, so it is connected to mainland China so you can get deliveries of manufactured goods on time which is a benefit of shipping through hong kong. 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.
If you run a company overseas and want a fulfillment service then you can partner up with the Hong Kong companies, so you get steady flow of quality products at affordable prices. It is easy for overseas entrepreneurs to understand the local laws and taxes of Hong Kong when partnering up with one of the companies so they can smoothly trade across the 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.