{"id":17,"date":"2021-08-10T18:18:08","date_gmt":"2021-08-10T18:18:08","guid":{"rendered":"https:\/\/www.trio-logistics.com\/?page_id=17"},"modified":"2022-09-26T13:44:17","modified_gmt":"2022-09-26T13:44:17","slug":"drawback-trading-transaction","status":"publish","type":"page","link":"https:\/\/www.trio-logistics.com\/?page_id=17","title":{"rendered":"Trading Transaction Flow"},"content":{"rendered":"\n
\"\"\/<\/div>
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Drawback Trading Transaction Flow<\/h1>\n\n\n\n

Overview of Indirect and Direct Drawback Trading model transactional flow.<\/p>\n<\/div><\/div><\/div>\n\n\n\n

<\/div>\n\n\n\n

Indirect Drawback Trading<\/h2>\n\n\n\n
<\/div>\n\n\n
\n
\"\"<\/figure>\n<\/div>\n\n\n
\n
\n
  • Issue Purchase Orders<\/strong>
    Trio Logistics issues a purchase order to the importer and exporter for the agreed upon volume of a product sharing the same HTS.<\/li>
  • Issue Invoices<\/strong>
    Both the importer and exporter will issue invoices to Trio Logistics for the requested volume and product.<\/li>
  • Product Trade & Return<\/strong>
    Trio Logistics issues invoices to the importer and exporter for the return of the purchased product.<\/li>
  • Drawback Claim Submission<\/strong>
    Trio Logistics submits and files the drawback claim to Customs and Border Protection.<\/li>
  • Transactional Accounting<\/strong>
    Open invoices are closed with the shared duty recovery percentage from Trio Logistics to the importer and exporter.<\/li><\/ul>\n\n\n\n

    Advantages of Indirect Trading<\/strong><\/h2>\n\n\n\n
    • Trio Logistics maintains complete anonymity between the importer and exporter, useful when the importer and exporter are competitors. All confidential import and export data is protected.<\/em><\/li>
    • Trio Logistics assumes the entirety of liability acting as the duty drawback claimant.<\/em><\/li><\/ul>\n\n\n\n

      Disadvantages of Indirect Trading<\/strong><\/h2>\n\n\n\n
      • There is a lower percentage of shared duty recovery for the importer and exporter due to increased liability for Trio Logistics.<\/em><\/li><\/ul>\n\n\n\n
        <\/div>\n\n\n\n

        Direct Drawback Trading<\/h2>\n\n\n\n
        <\/div>\n\n\n
        \n
        \"\"<\/figure>\n<\/div>\n\n\n
        • Issue Purchase Order<\/strong>
          Importer or exporter (drawback claimant) issues a purchase order to the importer or exporter for the agreed upon volume of a product sharing the same HTS.<\/li>
        • Issue Invoice<\/strong>
          The importer or exporter will issue an invoice to the drawback claimant for the requested volume and product.<\/li>
        • Product Trade & Return<\/strong>
          Drawback claimant issues invoice to the importer or exporter for the return of the purchased product.<\/li>
        • Drawback Claim Submission<\/strong>
          Trio Logistics submits and files the drawback claim to Customs and Border Protection.<\/li>
        • Transactional Account<\/strong>ing
          Open invoices are closed with the shared duty recovery percentage from the drawback claimant to the importer or exporter.<\/li><\/ul>\n\n\n\n

          Advantages of Direct Trading<\/strong><\/h2>\n\n\n\n
          • All confidential import and export data is protected by Trio Logistics.<\/em><\/li>
          • When the importer is the drawback claimant in this trading model, it allows them to reach (5) years back on unclaimed historical duty paid imports to use in claims.<\/em><\/li>
          • There is a higher percentage of shared duty recovery for the importer and exporter due to either being the drawback claimant.<\/em><\/li><\/ul>\n\n\n\n

            Disadvantages of Direct Trading<\/strong><\/h2>\n\n\n\n
            • The importer or exporter assumes liability as the drawback claimant<\/em><\/li>
            • Reluctance to work directly with the competitor<\/em><\/li><\/ul>\n\n\n\n
              <\/div>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n
              <\/div><\/div><\/div>\n\n\n\n
              \"\"\/<\/div>
              \n

              Drawback Trading Inventory Flow<\/h1>\n\n\n\n

              Overview of Indirect and Direct Drawback Trading model transactional flow.<\/p>\n<\/div><\/div><\/div>\n\n\n\n

              <\/div>\n\n\n\n

              Trio Logistics as Claimant<\/h2>\n\n\n\n
              \n
              \n

              Importer<\/strong><\/h3>\n\n\n\n
              • Current Inventory<\/li>
              • Future Inventory<\/li><\/ul>\n<\/div><\/div>\n\n\n\n
                \n

                Exporter<\/strong><\/h3>\n\n\n\n
                • Current Inventory<\/li>
                • Future Inventory<\/li><\/ul>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n

                  Only used in the Indirect Trading model. Current and future inventory of prospective product and volumes are agreed upon to be used in claims. <\/em><\/p>\n\n\n\n

                  <\/div>\n\n\n\n

                  Importer as Claimant<\/h2>\n\n\n\n
                  \n
                  \n

                  Importer<\/strong><\/h3>\n\n\n\n
                  • Past inventory (5 years back)<\/li>
                  • Current inventory<\/li>
                  • Future inventory<\/li><\/ul>\n<\/div><\/div>\n\n\n\n
                    \n

                    Exporter<\/strong><\/h3>\n\n\n\n
                    • Current inventory<\/li>
                    • Future inventory<\/li><\/ul>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n

                      Only used in the Direct Trading model. Past, current and future inventory of prospective product and volumes are agreed upon to be used in claims. Allows the importer to reach <\/em>five years back on duty paid imports. Exporter partner(s) must have high excess export volume to optimize the use of historical duty paid imports.<\/p>\n\n\n\n

                      <\/div>\n\n\n\n

                      Exporter as Claimant<\/h2>\n\n\n\n
                      \n
                      \n

                      Importer<\/strong><\/h3>\n\n\n\n
                      • Current inventory<\/li>
                      • Future inventory<\/li><\/ul>\n<\/div><\/div>\n\n\n\n
                        \n

                        Exporter<\/strong><\/h3>\n\n\n\n
                        • Current inventory<\/li>
                        • Future inventory<\/li><\/ul>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n

                          Only used in the Direct Trading model. Current and future inventory of prospective product and volumes are agreed upon to be used in claims.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

                          Indirect Drawback Trading Trio Logistics as Claimant Only used in the Indirect Trading model. Current and future inventory of prospective product and volumes are agreed upon to be used in claims. Importer as Claimant Only used in the Direct Trading model. Past, current and future inventory of prospective product and volumes are agreed upon to […]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":16,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_genesis_hide_title":true,"_genesis_hide_breadcrumbs":true,"_genesis_hide_singular_image":true,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"full-width-content","footnotes":""},"class_list":{"0":"post-17","1":"page","2":"type-page","3":"status-publish","5":"entry"},"featured_image_src":null,"featured_image_src_square":null,"_links":{"self":[{"href":"https:\/\/www.trio-logistics.com\/index.php?rest_route=\/wp\/v2\/pages\/17","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.trio-logistics.com\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.trio-logistics.com\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.trio-logistics.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.trio-logistics.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=17"}],"version-history":[{"count":0,"href":"https:\/\/www.trio-logistics.com\/index.php?rest_route=\/wp\/v2\/pages\/17\/revisions"}],"up":[{"embeddable":true,"href":"https:\/\/www.trio-logistics.com\/index.php?rest_route=\/wp\/v2\/pages\/16"}],"wp:attachment":[{"href":"https:\/\/www.trio-logistics.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=17"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}