basic-guide-to-exporting_Latest_eg_main_086196

More documents

Recommendations

Info

specified in the EAR under a specific ECCN are classified as “EAR99.” U.S. Postal Service forms andonline systems of major freight carriers may require you to enter “EAR99 NLR,” which means “NoLicense Required.” Details on EAR99 can be found in the “ECCN Questions and Answers” section ofbis.doc.gov.It’s a good idea to establish a companywide rule that emphasizes the importance of ECCNs andthe associated HS Numbers (see Chapter 12). If the inventory-management system doesn’t listan ECCN or HS number for a product, then that item is ineligible for international shipping. Ifpossible, adapt your inventory-management software so it flags problematic orders. You needto be especially careful with items that require ECCNs; you don’t want to inadvertently violateexport-restriction regulations.International Traffic in Arms RegulationsThe International Traffic in Arms Regulations (ITAR) control the sale of items used for militarypurposes. If you produce or sell these products, you need to learn about the ITAR. Details can befound at pmddtc.state.gov.Start by finding out whetheryour products for export(hardware, technical data, and/ordefense services) are on the U.S.Munitions List (USML), found inPart 121 of the ITAR. If they are,then explore the ITAR websitefor complete information onthe ITAR, or call your local U.S.Commercial Service office.Exporting items on the USMLwithout proper licensing hasvery serious legal consequences.If you don’t know whether yourproducts are regulated by theITAR, consult your local U.S.Commercial Service office.Denied Persons or EntitiesBoth BIS and the U.S. Departmentof the Treasury’s Office of ForeignAssets Control (OFAC) and theBureau of Industry administerand enforce economic and tradesanctions against certain foreigncountries, regimes, companies,and individuals, based on U.S.Export Control RegulationsProgramExportAdministrationRegulation(EAR)InternationalTraffic in ArmsRegulations(ITAR)Office ofForeign AssetControl (OFAC)NuclearRegulatoryAgencyOverseeingAgencyU.S. Department ofCommerce’s Bureau ofIndustry and SecurityU.S. Departmentof StateU.S. Department ofCommerce’s Bureau ofIndustry and SecurityU.S. Departmentof StateU.S. MilitaryU.S. Department ofthe TreasuryU.S. Departmentof EnergyScopeDual-use productsExport of goods whichmay compromisenational securityControl the sale ofitems used for militarypurposesEconomic and tradesanctions based onU.S. foreign policy andnational security goalsagainst targeted foreigncountries and regimes,terrorists, internationalnarcotics traffickers,entities engaged inactivities related to theproliferation of weaponsof mass destruction,and other threats to U.S.national security, foreignpolicy, or economyNuclear propulsionequipmentExporterResponsibilityCheck denied parties listsDetermine ECCN (ifneeded)Apply for license (ifneeded)Check if products are onU.S. Munitions List (USML)Determine if a license isneeded for your productContact U.S. CommercialServiceOFAC is not a regulator,and therefore cannotrequire your bank toestablish any internalcompliance procedures.However, all U.S. personsmust comply with OFACregulations.OFAC encourages allexporters to maintaina rigorous risk-basedcompliance program.Licensing required fornuclear nonproliferation,chemical, or biologicalequipmentResourcesFind ECCN atbis.doc.govpmddtc.state.govUS Munitions List(USML), Part 121of the ITARexport.govAgricultural andmedical products:1.usa.gov/1C3EUBRAll other types:1.usa.gov/1xlvAoLbis.doc.govChapter 2: Developing an Export Strategy13
foreign-policy and national security goals. Virtually every commercial transactionwith any target of OFAC or BIS sanctions is prohibited, no matter what the product; afew exceptions are made in specific circumstances, but those don’t apply to the vastmajority of transactions.Because every product is subject to these regulations, every exporter must be awareof the individuals, organizations, and countries on these lists. At www.bis.doc.govyou’ll find a link for “Lists to Check.” Check the consolidated list before completingany international order. Always remember that you’re responsible for ensuring thatyour company complies with these regulations. If you need help performing theseobligations, you can hire a third-party company to conduct these checks for you inreal time, via data transfers with your network. To find such companies, search theInternet for “export-compliance companies.” You also can purchase software to helpyou remain in compliance. If you use freight forwarders, they may flag problematictransactions, but in the end you are the responsible party. Companies with a smallnumber of exportable products can designate one person as export regulationscompliance officer.Determining Your Products’ Export PotentialOnce you’ve determined whether or not you need an export license to sell yourproduct and for example, you’ve learned that North Korea is not among the marketsto consider, analyze your product’s or service’s export potential. There are severalways to evaluate the export potential of your products and services in internationalmarkets. The most common approach is to examine the domestic sales of yourproducts. If your company is successful in the U.S. market, there is a good chancethat it will also sell in markets abroad, at least in those markets where similar needsand conditions exist. If you are a wholesaler in the United States or if you want to bea manufacturer’s representative, you’ll have the means of assessing domestic sales. Ifyou have a startup but haven’t sold anything yet, you’ll at least have a good sense offuture prospects.Another way to assess your company’spotential in exporting is by examiningthe unique or important features of yourproduct. If those features are hard toduplicate abroad, then it’s likely that yourproduct will be successful overseas. Aunique product may have little competitionso demand for it may be quite high.However, even if your product is not unique,don’t be discouraged. Many products andservices, including ones featured in thisbook, have competitors in their targetedoverseas markets.Advantages of “Made in the USA”• Innovative, creative, cutting edge• Flexible and prepared to modify productsand services• High quality, durable, safe• Positive brand values and awareness• Reputation for excellent after-sales serviceand warranty coverage• Creative marketing materials• Easy to reach and communicate with• Honest, ethical business dealings14U.S. Commercial Service • A Basic Guide to Exporting
Page 1 and 2: A BASIC GUIDE TOEXPORTINGThe Offici
Page 3: export.gov/basicguideLibrary of Con
Page 6 and 7: Table of ContentsChapter 1: Introdu
Page 8: global GDP and 30 percent of global
Page 11: A GEE might consist, for example, o
Page 14 and 15: Success StoryPedaling Through Trial
Page 16 and 17: Chapter 2Developing anExport Strate
Page 20 and 21: All U.S. businesses have many ways
Page 23 and 24: Answer these 11 questions:1. Which
Page 25 and 26: Product or Service• What need doe
Page 27 and 28: Sample Outline of anExport PlanTabl
Page 29 and 30: 5. Current Trends and Practices•
Page 31 and 32: 16. My Product’s Harmonized Code
Page 33: Success StoryDownloading NewInterna
Page 36 and 37: This last advantage is especially i
Page 38 and 39: Gathering and evaluating secondary
Page 40 and 41: Drawing ConclusionsAfter analyzing
Page 42 and 43: United Nations Statistical Yearbook
Page 44 and 45: Private-Sector Product and Industry
Page 46 and 47: Success StoryHelping Feed the World
Page 48 and 49: Chapter 4Export AdviceIn this chapt
Page 50 and 51: Some of the more important services
Page 52 and 53: the important difference that the b
Page 54 and 55: at no cost to the small business ex
Page 56 and 57: A commercial bank can perform many
Page 58 and 59: location and construction of manufa
Page 60 and 61: To prevent reverse engineering in C
Page 62 and 63: We are agnostic on the question of
Page 64 and 65: Distribution ConsiderationsHere are
Page 66 and 67: Often, the first company does not p
Page 68 and 69:
your ability to terminate agreement
Page 70 and 71:
Once your company has prequalified
Page 72 and 73:
Choosing a ForeignRepresentative or
Page 74 and 75:
Success StoryDon’t Wait—Innovat
Page 76 and 77:
Chapter 6Finding QualifiedBuyersIn
Page 78 and 79:
companies are available from many p
Page 80 and 81:
Trade Fair Certification Program (e
Page 82 and 83:
Millennium Development CorporationT
Page 84 and 85:
Who Is the “Ideal”International
Page 86 and 87:
Scores of new franchising concepts
Page 88 and 89:
Success StoryCast a Wide Net to Cat
Page 90 and 91:
Chapter 8Preparing YourProduct for
Page 92 and 93:
You can also contact the Office of
Page 94 and 95:
training seminars, or DVDs. Zeigler
Page 96 and 97:
The ChallengeSmith first looked tow
Page 98 and 99:
encompasses services in transportat
Page 100 and 101:
give U.S. companies a competitive e
Page 102 and 103:
Success StoryRecruiting New Franchi
Page 104 and 105:
Chapter 10International LegalConsid
Page 106 and 107:
For more information from the U.S.
Page 108 and 109:
When goods enter a bonded warehouse
Page 110 and 111:
under the UCC. Older works may also
Page 112 and 113:
Trade names are also protected on a
Page 114 and 115:
knowledge, in turn, promotes furthe
Page 116 and 117:
prevent him or her from obtaining a
Page 118 and 119:
Business-to-Consumer E-Commerce Wor
Page 120 and 121:
Because such a website is often sta
Page 122 and 123:
An online exporter may choose to pu
Page 124 and 125:
important to identify and incorpora
Page 126 and 127:
other business contacts) options re
Page 128 and 129:
Success StoryGrowing Strong withInt
Page 130 and 131:
Chapter 12Shipping YourProductIn th
Page 132 and 133:
One popular method of shipment is t
Page 134 and 135:
Certificate of ConformityRequired b
Page 136 and 137:
The cost of the shipment, delivery
Page 138 and 139:
To learn more about comprehensive r
Page 140 and 141:
China but needed to do a lot of hom
Page 142 and 143:
price is too high, the product or s
Page 144 and 145:
CompetitionIn the domestic market,
Page 146 and 147:
Commonly Used TermsIt is important
Page 148 and 149:
Success StoryAligning Innovationwit
Page 150 and 151:
Chapter 14Methods ofPaymentIn this
Page 152 and 153:
Letters of Credit and Documentary C
Page 154 and 155:
You must provide documentation show
Page 156 and 157:
associated with open-account trade
Page 158 and 159:
payment. This is because the export
Page 160 and 161:
ut they were willing to make the sm
Page 162 and 163:
• The need for preshipment financ
Page 164 and 165:
Thus it is in your best interest to
Page 166 and 167:
to support ongoing export sales or
Page 168 and 169:
To be eligible, a business must hav
Page 170 and 171:
Medium Enterprise Department and OP
Page 172 and 173:
Success StoryManufacturingInternati
Page 174 and 175:
Chapter 16Business TravelAbroadIn t
Page 176 and 177:
Planning an ItineraryTravel agents
Page 178 and 179:
Business Culture TipsAlways answer
Page 180 and 181:
Gift giving is an important part of
Page 182 and 183:
particularly intense issue. So the
Page 184 and 185:
Here are a few suggestions.• Expe
Page 186 and 187:
Building a Working RelationshipOnce
Page 188 and 189:
negotiations and agreements with it
Page 190 and 191:
Chapter 18Rules of Originfor FTAsIn
Page 192 and 193:
5. Determine if the foreign content
Page 194 and 195:
The original ROOs are listed in an
Page 196 and 197:
Example Rules of OriginCombining Mu
Page 198 and 199:
Israel, Jordan, Morocco, Bahrain, a
Page 200 and 201:
The importer may ask the exporter w
Page 202 and 203:
Generic CertificatesIf a good does
Page 204 and 205:
Architectural Association of Kenya
Page 206 and 207:
Appendix A: Glossary of TermsAdvanc
Page 208 and 209:
Export-Import Bank of the United St
Page 210 and 211:
Market SurveyReport that provides a
Page 212 and 213:
Appendix B: Definitions of Abbrevia
Page 214 and 215:
Appendix D: FormsHere, you will fin
Page 216 and 217:
228U.S. Commercial Service • A Ba
Page 218 and 219:
Tech International1000 J Street, N.
Page 220 and 221:
COMMERCIAL INVOICESELLER: INVOICE N
Page 222 and 223:
Copyright © 1998 UNZ & CO.SHIPPER/
Page 224 and 225:
DEPARTMENT OF HOMELAND SECURITYU.S.
Page 226 and 227:
PACKING LIST© Copyright 2001 Unz &
Page 228 and 229:
1a. U.S. PRINCIPAL PARTY IN INTERES
Page 230 and 231:
U.S. $13220of this FIRST of Exchang
Page 232 and 233:
IndexAA2ASee account-to-account (A2
Page 234 and 235:
Global Entrepreneurship Ecosystem (
Page 236 and 237:
Swinko, RonSee Jet IncorporatedSzuc
Page 238 and 239:
International OfficesAfghanistanKab
show all

basic-guide-to-exporting_Latest_eg_main_086196

Create successful ePaper yourself

Delete template?

Save as template?