教学课件·国际贸易专业英语(第四版)1

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1、Unit OneInternational Trade TheoriesPre-reading questions:nWhat is international trade about?nWhat are the incentives for countries to engage in international trade?nWhat theories on international trade have you studied?nWhich theories do you think best explain the nature of international trade?nIn

2、what way have these theories helped you understand international trade?Mercantilisminternational trade is a zero sum game, i.e. that the benefit which one country gains from international trade means a corresponding detriment to another country. The Absolute Cost Modela country has the lowest produc

3、tion costs and supplies foreign markets, too, as a result. Example: say Turkey and Greece have the same average wage levelThe Comparative Cost ModelThe comparative cost model is based on two countries, two products and one factor of production: labor. Technical know-how or the state of technology is

4、 different in the two countries. There are also constant returns to scale and perfect competition. The Heckscher-Ohlin-Samuelson (HOS) ModelThis model was also based on the comparative cost concept and the idea that competitive positions depend on the supply conditions in specific locations and are

5、therefore linked to countries (rather than companies). The Leontief ParadoxEmpirical research conducted by Leontief quite soon after the Second World War showed that the specialization process in the US, for example, did not correspond to what HOS predicted (and this was repeatedly found in later re

6、search). Where free trade ought to have caused the Americans to concentrate increasingly on producing relatively capital- intensive goods the goods in which the US had a comparative advantage this did not appear to be what happened in practice; the US imported relatively capital- intensive goods ins

7、tead of exporting them.Factor Intensity ReversalA fundamental criticism of the HOS model was that it assumes that the sectors can be arranged in order of capital-intensity and that this arrangement is universal, i.e. the same in all countries. This does not appear to be so in reality: for example, w

8、here the agricultural sector in the industrialized countries often has above average capital-intensity, in the developing countries it is often highly labor-intensive in comparison with other sectors in those countries. Such a phenomenon is known in theory as factor intensity reversal. Modern Trade

9、TheoriesThe new trade theories focused increasingly on the question: what can we say about the business characteristics of exporting companies as opposed to companies which do not or cannot export? The idea is that it is not so much national factors or, if you like, locational factors that explain i

10、n which goods a strong competitive position can be developed, but rather factors relating to specific sectors or companies. Another important difference in relation to traditional trade theories is that modern trade theories abandon the assumption of constant returns to scale and replace it with the

11、 concept of economies of scale in production. For example, this may mean that as a company produces on a larger scale, average costs fall (internal economies of scale), but also that costs will decline if numerous other businesses are established in the vicinity (external economies of scale), or bot

12、h. Key Terms interest rateThe fee charged by a lender to a borrower for the use of borrowed money, usually expressed as an annual percentage of the principal; the rate is dependent upon the time value of money, the credit risk of the borrower and the inflation rate. Interest rates can be calculated

13、as simple, compounded or effective.division of laborThe increasing specialization of occupations and specific tasks within occupations. The Division of Labor becomes more evident with increasing industrialism and modernity in societies.absolute advantageTerm coined, and theory developed by Adam Smit

14、h in The Wealth of Nations (1776). If country A can produce and export more of a commodity X at a cheaper cost or more efficiently the country B, then country A has an absolute advantage in producing X over country B.free tradeFree trade exists when the international exchange of goods is neither res

15、tricted nor encouraged by government-imposed trade barriers. Subsequently, the determination of the distribution and level of international trade is left to the operation of market forcescomparative advantage The theory of comparative advantage is a key idea in classical Liberal economic theory put

16、forward by David Ricardo. It posits that if all countries specialize in producing what that are comparatively best at - i.e. what they are most efficient at producing - and then trade freely with one another, then the world will be better off economically. opportunity costThe cost of using a resourc

17、e in one enterprise when it could be used in alternative enterprises or investment opportunities measured by the return that could be obtained from using the resource in the alternative in investment. For example, if cash used in crop production could be placed in the bank at a 10% rate of interest，

18、 the opportunity cost of cash to the crop would be 10%.general equilibriumThe condition reached when all markets (for products and productive factors) have cleared, that is, established equilibrium prices and quantities.factor of productionA human service or material good that can be used to contrib

19、ute to the success of a process of production. A constituent element of any production process. Factors of production can be classified as to (1) human (labor) or nonhuman (material) factors, or (2) original or produced factors. economy of scalethe reduction in costs per item (unit costs) that resul

20、ts from large-scale production. The high capital costs of machinery or a factory are spread across a greater number of units as more are produced. This may be a result of automation or mass production; for example, in the car industry. Economies of scale can also be produced when firms that need sim

21、ilar services locate together, sharing the costs of their services; for example, on industrial estates.factor intensityThe relative importance of one factor versus others in production in an industry, usually compared across industries. Most commonly defined in by ratios of factor quantities employe

22、d at common factor prices, but sometimes by factor shares or by marginal rates of substitution between factors.factor intensity reversalA property of the technologies for two industries such that their ordering of relative factor intensities is different at different factor prices. For example, one

23、industry may be relatively capital intensive compared to the other at high relative wages and labor intensive at low relative wages. Some propositions of the Heckscher-Ohlin Model require the absence of FIRs.Post-Reading ActivitiesI.Answer the following questions based on what you have already read

24、in the text.1. On what grounds did Hume, Smith and Ricardo criticize the conception of Mercantilism? Do you agree with them?2. According to David Smith, nations should allow free trade and abolish government intervention, would you agree with him? 3. In what aspect is HOS model different from the Ri

25、cardo model?4. What problem is the Leontief Paradox about?5. What is the fundamental criticism of the HOS model?6. What problems do modern international trade theories deal with?V. Translate the following passage into Chinese.1. Economic globalization is a historical process, the result of human inn

26、ovation and technological progress. It refers to the increasing integration of economies around the world, particularly through trade and financial flows. The term sometimes also refers to the movement of people (labor) and knowledge (technology) across international borders. There are also broader

27、cultural, political and environmental dimensions of globalization that are not covered here.2. At its most basic, there is nothing mysterious about globalization. The term has come into common usage since the 1980s, reflecting technological advances that have made it easier and quicker to complete i

28、nternational transactionsboth trade and financial flows. It refers to an extension beyond national borders of the same market forces that have operated for centuries at all levels of human economic activityvillage markets, urban industries, or financial centers. VI. Translate the following sentences

29、 into English with the words or phrases given.1. 通过国际贸易，可以使消费者和贸易国获取本国没有的商品和服务。（get access to/be exposed to ）2. 通过国际贸易，富裕国家可以更高效地使用其劳动力、技术或资本等资源。（allow/enable）3. 与当地企业不同，跨国企业都是在全球范围内从事经营活动。（as opposed to）4. 近年来，中国的对外贸易呈现高速、稳定的增长。（register）5. 在全球化的市场条件下，企业面临着与国内外企业的激烈的竞争。（given）. Speaking Activities:

30、 Oral presentationForm groups of three or four and prepare jointly for the oral presentation topic below. Then vote for a representative in a group to make an 8 15-minute presentation before the whole class:During the last decades, the patterns of international trade have undergone substantial chang

31、es. The new developments include integration of countries into trading blocs (European Union, NAFTA, etc.) and globalization. While economic integration and globalization have brought about increased trade volumes among nations, they have also made the world market more volatile than ever before. Wh

32、at sensible measures are necessary for counteracting the volatility?Unit TwoThe Goals and Instruments of International Trade PolicyPre-reading QuestionsDo you have any idea about what a trade policy is?What are the possible objectives in formulating a international trade policy?What instruments coul

33、d be used to realized the goals of the international trade policy?What trade policies has China adopted?Are free trade policies the best for each nation in the world?AutarkyAt one extreme is the objective of autarky or natural self-sufficiency. Economic WelfareAt the opposite extreme to autarky lie

34、the goal of economic welfare that springs from the conception of international trade and investment as a opportunity to reap the benefits of international specialization. Protectionism the protection of domestic producers against the free competition of imports by regulating their volume through tar

35、iffs, quotas and the like.Stable Levels of EmploymentContemporary governments try to restrain inflation while at the same time sustaining employment, although they are commonly frustrated by conflicts between the policies needed to achieve these goals. Balance of PaymentsSooner or later, all nations

36、 are compelled to remedy deficits in their balance of payments, whether through market adjustments or controls. When a nations reserve are low and its balance of payments is weak, the objective of payments equilibrium may come to dominate other objectives of its foreign economic policy and even of i

37、ts domestic policy. Economic Developmenttariffs and other restrictive devices are employed to protect “infant industries” or to keep out “nonessential” consumer goods. On the other hand, capital goods and other “essential” imports are encouraged by subsidies or favorable exchange quotas. Exports may

38、 also be regulated in an attempt to promote economic development.Agreements and TreatiesMuch of the foreign economic policy of a nation is effected through agreements and treaties with other nations. For the most part, the legal rights that individuals and business enterprises enjoy in the foreign c

39、ountry are those spelled out in treaties and agreements previously negotiated by their own governments. Trade and Investment PoliciesTrade policy refers to all government actions that seek to alter current account transactions, especially trade in merchandise. Historically, the main instrument of tr

40、ade policy has been the import tariff, but today non-tariff barriers and export promotion are often of equal or greater importance.Foreign Aid Policy Foreign aid policy includes all of the activities involved in the field of governmental loans and grants that are intended to aid in the reconstructio

41、n, economic development, or military defense of recipient countries.Balance of Payments PolicyBalance of payments policy embraces all of the actions of government to maintain or restore equilibrium in their external accounts. In the face of an enduring, fundamental disequilibrium, governments genera

42、lly respond to a deficit (surplus) by (1) deflating (inflating) the domestic economy with monetary and fiscal instruments, (2) devaluing (revaluing) the exchange rate, or (3) imposing exchange controls over some or all international transactions. Key termsinflationA persistent increase in the level

43、of consumer prices or a persistent decline in the purchasing power of money, caused by an increase in available currency and credit beyond the proportion of available goods and services.infant industryA newly established domestic industry that is less productive than foreign producers. One of two co

44、nditions needed for infant industry protection to be welfare-improving, according to Mill, is that the protected industry will become, over time, able to compete internationally without protection.Another condition, according to Bastable, is that the protected industry be able to pay back an amount

45、equal to the national losses during the period of protection. national treatmentNational treatment is a fundamental principle of the trading system. It requires that imports be afforded no less favorable treatment than domestic goods once border measures have been applied. It is important not to con

46、fuse this with the MFN principle.non-tariff barriersAny restriction, charge, or policy other than a tariff, that limits access of imported goods. Examples of non-tariff barriers include quantitative restrictions, mainly import quotas and embargoes; import licenses; exchange controls; some practices

47、of state trading enterprises; and certain rules and regulations on health, safety, and sanitation.most-favored-nation treatmentPrinciple relating to a commercial treaty where two nations agree to accord each other the same favorable terms that would be offered in treaties with any other nationcurren

48、t accountA category in the balance of payments account that includes all transactions that either contribute to national income or involve the spending of national income.portfolio investmentrefers to the purchase of foreign stocks, bonds or other securities. In contrast to FDI, foreign portfolio in

49、vestors have no controlling interest in the investment, which is typically a short-term one. The relative ease with which portfolio investment can enter and exit countries has been a major contributing factor to the increasing volatility and instability of the global financial system.multinational c

50、ompanyA corporation that operates in two or more countries. Since it is headquartered in only one country but has production or marketing facilities in others, it is the result of previous FDI.Post-Reading Activities I.Answer the following questions based on what you have already read in the text.1.

51、 What is meant by the autarky policy in foreign trade?2. Why is it sometimes difficult to identify a specific foreign trade policy as protectionist?3. In what way do international trade and capital investment influence the employment situation of an economy?4. Why do foreign trade policies always in

52、clude political considerations?5. Should economic development be the top priority for developing countries in formulating their foreign trade policies?6. What are the foreign trade policy instruments mentioned in the article?7. What are the specific measures that can be taken under these policy inst

53、ruments?V. Translate the following sentences into English with the words or phrases given.1. 进口政策的目的在于获得发展中国经济所需要的具有现代技术的资本货物。（be directed at）2. 很多经济学家认为，自由贸易能推动经济增长和提高生活水平。（argue）3. 发达的工业化国家仍居国际贸易的主导地位，其贸易额占世界贸易总量的一半以上。（account for）4. 自从实行改革开放政策以后，特别是加入世界贸易组织以后，中国的对外贸易取得了引人注目的增长。（achieve）5. 经济学家一直在

54、研究由于国际商务的扩展所引起的各种理论和实际问题。（engage in）VI. Translate the following passage into Chinese.U.S. foreign trade and global economic policies have changed direction dramatically during the more than two centuries that the United States has been a country. In the early days of the nations history, government

55、and business mostly concentrated on developing the domestic economy irrespective of what went on abroad. But since the Great Depression of the 1930s and World War II, the country generally has sought to reduce trade barriers and coordinate the world economic system. This commitment to free trade has

56、 both economic and political roots; the United States increasingly has come to see open trade as a means not only of advancing its own economic interests but also as a key to building peaceful relations among nations.VII.Speaking activities: Oral presentationForm groups of three or four and prepare

57、jointly for the oral presentation topic below. Then vote for a representative in a group to make a 8 15-minute presentation before the whole class:There are a variety of goals of international trade policies （national security, stable employment, balance of payments considerations, economic developm

58、ent, etc.）, and these goals could not be all on the top of the agenda at the same time when international trade policies are formulated. How would government make their choices among these goals? What suggestions would you make for Chinas foreign trade policy? Unit ThreeModes of International Busine

59、ssPre-reading QuestionsIn what way can a firm engage in international business?What is the easiest way for a firm to do international business?What risks do international business involve?What is the least risky way to do international business?To your knowledge, what is the most common modes Chines

60、e firms adopt in doing international business?Exporting and importingMost firms enter international business through exports, for it is the simplest and least risky way.Licensing and franchising Technology licensing is a contractual arrangement in which the licensers patents, trademarks, service mar

61、ks, copyrights, or know-how may be sold or otherwise made available to a licensee for compensation negotiated in advance between the parties. Joint venturesthe parent company owns only a partial interest in the foreign enterprise. The host country may require that a certain percentage (often 51 perc

62、ent) of manufacturing or mining operations be owned by nationals of that country, thereby requiring firms to operate through joint ventures. Wholly owned subsidiariesThis is the most popular form of for US-based multinational organizations. Traditionally, this form of direct investment abroad has be

63、en looked at as an international movement of capital accompanied by managerial control, technology, and access to resources that might not otherwise be available. Key Termsmarketing mixThe marketing mix includes all activities controllable by the organization and include the product, service, or ide

64、a offered, the manner in which the offering will be communicated to customers, the method for distributing or delivering the offering, and the price to be charged for.licensingA business arrangement in which the manufacturer (the licensor) of a product (or a firm with proprietary rights over certain

65、 technology trademarks, etc.) grants permission to some other group or individual to manufacture that product (or make use of that proprietary material, trademark, manufacturing process, patent, etc.) in return for specified royalties or other payment for the firm granting the license.franchisingA l

66、egal and commercial relationship between the owner of a trademark or trade name (the Franchisor) and an individual or group who wants to use that identification in business (the franchisee). The Franchisor generally provides business expertise and the franchisee provides a way for the overall busine

67、ss to grow.exchange controlA governmental policy designed to restrict the outflow of domestic currency and prevent a worsened balance of payments position by controlling the amount of foreign exchange that can be obtained or held by domestic citizens. Often results from overvalued exchange rates.pro

68、duct liability The obligation a seller incurs regarding the safety of a product. The liability may be implied by custom or common practice in the field, stated in the warranty, or decreed by law. If injury occurs, various defenses are prescribed by law and judicial precedent. Sellers are expected to

69、 offer adequate instructions and warnings about a products use.counter tradeAny trade transaction of goods or services without the exchange of money. Forms include barter, buy-back or compensation, counter-purchase, offset requirements, swap, switch, or triangular trade, evidence or clearing account

70、s.barter tradeTrade in which merchandise is exchanged directly for other merchandise without use of money. Barter is an important means of trade with countries using currency that is not readily convertible.majority owned subsidiaryA majority-owned subsidiary means a subsidiary more than 50 percent

71、of whose outstanding voting shares is owned by its parent and/or the parents other majority-owned subsidiaries.foreign direct investment (FDI)the purchase of land, equipment or buildings or the construction of new equipment or buildings by a foreign company. FDI also refers to the purchase of a cont

72、rolling interest in existing operations and businesses (known as mergers and acquisitions). Multinational firms seeking to tap natural resources, access lucrative or emerging markets, and keep production costs down by accessing low-wage labor pools in developing countries are FDI investors.acquisiti

73、onThe act of one company taking over controlling interest in another company. Investors often look for companies that are likely acquisition candidates, because the acquiring firms are often willing to pay a premium to the market price for the shares.mergerThe integration of two or more independent

74、companies where a new company is created to absorb the net assets of the original companies. The absorption by a company of one or more companies occurs through a pooling of interests, purchase or consolidation.Post-Reading Activities I. Answer the following questions based on what you have already

75、read in the text.1. What are the modes available for firms to choose for doing international business?2. Why is exporting the least risky way of entering international market?3. What are the major channels through which a firm is engaged in export business?4. By what means can a firm engages in impo

76、rt activities?5. What are the advantages of licensing in entering the foreign market?6. What are the problems for firms to deal with when granting licenses to foreign firms?7. What is the main difference between a joint venture and a wholly own subsidiary?8. What are the advantages for firms to set

77、up joint ventures in overseas market?V. Translate the following sentences into English with the words or phrases given.1. 第二次世界大战以后，出现了各种跨国经营活动，比如商品和劳务贸易、对外直接投资和技术转让等。（such as）2. 如果一个国家没有外汇储备，没有贷款，也不能通过谈判达成其他协定，那么唯一的选择就是易货贸易。(in the absence of )3. 在签订许可证协议之前，许可方应全面了解被许可方国家有关知识产权的法律、法规。（enter into）4.

78、 在逐步实现经营全球化的同时，企业日益通过向海外和国内市场引进产品的手段来获得更高利润。（move toward）5. 毋庸置疑，海外投资的高利润是跨国公司致力于对外直接投资的主要动力。（there is no question）VI. Translate the following passage into Chinese.In its 1999 annual report, South Africas Reserve Bank said that “foreign direct investment inflows will be a prerequisite for faster eco

79、nomic growth and development.” Why does the South African government want FDI? Jobs are the main reason. Estimates on 1999 South African unemployment ranged from 24 to 37 percent. Growth is another reason. South Africas domestic saving and investment rates are too low to generate sufficient economic

80、 growth, particularly because the population rate has been growing at over 2 percent a year.VII.Speaking activities: Oral presentationForm groups of three or four and prepare jointly for the oral presentation topic below. Then vote for a representative in a group to make a 8 15-minute presentation b

81、efore the whole class:Thanks to the reforms and opening up policy, China has experienced remarkable economic growth for years. And Chinas firms have grown in their competitive strength with the result that an increasing number of Chinese enterprises are going to the international market. However, th

82、ey may face the problem of choosing an appropriate method of entering foreign markets as they are inexperienced in international marketing, and besides they are to subject themselves to competition of the established multinational companies. Do you have any suggestions as to their choices of their m

83、arket entry strategy?Unit FourBalance of PaymentsPre-reading QuestionsWhat is the balance of international trade?What problems can an imbalanced trade lead to?Do you have an idea about Chinas balance of trade situation?Can the balance of trade have any influence on our daily life?Breakdown of the ac

84、countscurrent account (CA) capital accounts private capital account (KA) official reserve transactions account (ORT) current account (CA)the record of trade in goods and services and other current transactions, as opposed to trade in assets, which are obligations regarding the future. merchandise tr

85、ade services investment incomeUnilateral transfers capital accounts Trade in assets direct investment and portfolio capital private capital account (KA) the asset is traded among private citizens of the countries official reserve transactions account (ORT) the buyer or seller of the asset is a centr

86、al bank-that is, the monetary authority of either the domestic or foreign government Breakdown of the Current Account merchandise tradeservices investment income Unilateral transfers Breakdown of the Capital Accountdirect investment portfolio capitalHow Individual Transactions Are RecordedWhatever e

87、nters the country is recorded as a credit whatever leaves the country is recorded as a debitCredits and Debits on the Capital AccountThe acquisition of a foreign asset counts as a debit on the capital account Foreign citizens acquiring assets : currency, Treasury bills, bank loans, bonds, stocks, an

88、d direct investment counts as a credit Double-Entry Bookkeepingevery complete economic transaction is recorded twice, once as a debit and once as a credit Paying for Importstransactions are paid for in an immediate sense through the banking system Other than paying for transactions by cash or check,

89、 the only other common method is trade credit Paying for Asset Purchases The Balances Positive-favorable. Negative-unfavorable Statistical Errors in the Payments Accountsstatistical discrepancy, or errors and omissions, Key termsoutsourcing Outsourcing is subcontracting a process, such as product de

90、sign or manufacturing, to a third-party company.royaltiesRoyalties (sometimes, running royalties) are usage-based payments made by one party (the licensee) to another (the licensor) for ongoing use of an asset, sometimes an intellectual property (IP) right.treasury billsA short-term obligation of th

91、e U.S. Treasury having a maturity period of one year or less and sold at a discount from face mercial paperCommercial paper is a money-market security issued by large banks and corporations. certificate of deposit A certificate of deposit or CD is a time deposit, a financial product commonly offered

92、 to consumers by banks, thrift institutions, and credit unions.Special Drawing Rights (SDRs)SDRs are defined in terms of a basket of major currencies used in international trade and finance. official reserve The official reserve account records the change in stock of reserve assets (also known as fo

93、reign exchange reserves) at the countrys monetary authority barterBarter is a type of trade in which goods or services are directly exchanged for other goods and/or services, without the use of money. Post-Reading Activities I. Answer the following questions based on what you have already read in th

94、e text.1. How are a nations balance-of-payments accounts recorded?2. How individual transactions are recorded?3. What is a debit and what is a credit?4. What is the difference between the official reserve and the Federal Reserve?V. Translate the following sentences into English with the words or phr

95、ases given.1. 克莱斯勒汽车公司应宣告破产，不应去向政府求援。(rather than)2. 该项目对本厂和生存与发展都起着关键作用。(keyfor)3. 这个协议可以看作是美国对俄罗斯经济充满信心的一票。(a vote of confidence)4. 那位值急诊班的外科医生非常忙碌，他仅有时间狼吞虎咽地吃了一份三明治。(bolt down)5. 更具体地说，他们提出，美国是否真正出口资本密集型商品来换取劳动密集型商品。(in exchange for)VI. Translate the following passage into Chinese.The study of in

96、ternational monetary economics begins with the balance-of-payments accounts. The current account adds up all credits and debits arising from trade in goods and services and from transfers, the private capital account covers the purchase and sale of assets, and the official reserve transactions accou

97、nt consists of changes in international reserve holdings by central banks. VII. Speaking activities: Oral presentationForm groups of three or four and prepare jointly for the oral presentation topic below. Then vote for a representative in a group to make an 8 15-minute presentation before the whole

98、 class:It is sometimes argued that an export surplus is inherently a good thing for the nation, so it is routinely referred to as a favorable balance of trade. Why should it be considered favorable to the nation if the value of the goods and services it sends to foreigners is greater than the value

99、of the goods and services they send the nation in return? Would you agree to this argument?Unit FiveInternational Trade BarriersPre-reading QuestionsWhat are international trade barriers?What kinds of international trade barriers do you know of?What are the purposes nations use international trade b

100、arriers?Do you think that international trade barriers will be totally eliminated in the future?What measures can be taken to reduce or eliminate international trade barriers?Tariffsa tax imposed by a government on physical goods as they move into or out of a country A customs areaa geographical are

101、a within which goods may move freely without being subjected to customs duties. Customs dutiesad valorem and specific;compound duty Ad valorem dutystated in terms of a percentage of the value of an imported article, such as 10 or 20 percent ad volorem. Specific dutyexpressed in terms of an amount of

102、 money per quantity of goods, such as 20 cents per pound or per gallon. A compound dutyA combination of an ad valorem and a specific duty.Non-tariff Barriersquantitative trade restrictions-impose absolute limitations upon foreign trade and inhibit market responses Import Quotas Quantitative trade re

103、strictions take the form of import quotas that are administered by the issuance of import licenses to individual traders Import Quotas unilateral quotasnegotiated quotas or multilateral quotastariff quotas The unilateral quota fixed quota that is adopted without prior consultation or negotiation wit

104、h other countries. Negotiated bilateral or multilateral quotathe importing country negotiates with supplying countries, or with groups of exporters in those countries, before deciding the allotment of the quota by definite shares. Tariff quotaA specified quantity of a product is permitted to enter t

105、he country at a given rate of duty or even duty-free. Customs Classification and Valuation customs classification-A detailed classification, coding system, and description of goods that enter into international trade. Customs valuation-The method by which a customs officer determines the value of an

106、 imported good for the purpose of levying an ad valorem tariff. Antidumping Regulations Dumpingdescribes the practices of selling a product in one national market at a lower price than it is sold in another national market. Sporadic dumping producers dispose of unexpected surpluses abroad at lower p

107、rices than at home.Predatory dumping a producer uses low prices to weaken or drive out competitors in a foreign market.Persistent dumpingexistence of a foreign demand that is more price-elastic than domestic demandSubsidies to domestic producers or exporters to stimulate the expansion of such indust

108、ries.may be extended in the form of outright cash disbursements, tax exemptions, preferential exchange rates, governmental contracts with special privileges, or some other favorable treatment. Technical Standards and Health RegulationsGovernments apply many regulations to imports with respect to saf

109、ety, health, marking, labeling, packaging, and technical standards.Government Procurement“Buy National” regulations require national governments to give preference to domestic producers, sometimes to the complete exclusion of foreign firms. Local Content specify that certain percentage of the goods

110、value or certain inputs used in the manufacture of goods must be produced inside the country.Foreign Investment Performance Requirements the obligation of a foreign-investing firm to export a certain proportion of its output from the host country. Key termscustoms unionA union of countries in which

111、free trade exists between member nations and external tariffs may be erected against all outside countries. price elasticityRefers to the sensitivity of the quantity supplied or demanded of a commodity as the price of that commodity changes. antidumping dutyTariff levied on dumped imports. recession

112、A short-term decline in national business activity, usually lasting for at least three consecutive quarters of a fiscal year. Post-Reading ActivitiesI. Answer the following questions based on what you have already read in the text.1. What is a tariff? And how is it classified?2. What is a customs un

113、ion? Can you explain it with an example?3. Why have non-tariff trade barriers become increasingly prominent?4. In what way are quantitative measures different from tariffs?5. How does customs classification and valuation hinder imports?6. On what ground can a legitimate application be justifies?7. I

114、n what ways can subsidies be granted?8. Why technical and health regulations are expected to further expand?9. What are Chinas requirements to foreign investors concerning their performances?V. Translate the following sentences into English with the words or phrases given.1.多年来各国间已经达成反对单方面地实施商品配额的协议

115、。（impose on）2.保护性关税旨在认为地提高进口商品的价格，以保护国内产业不受国外竞争的损害。（be intended to）3.政府采购政策也是贸易壁垒，因为这些政策通常对国内厂商有利，而严格限制政府机构采购进口商品。（favor）4.自由贸易是一个经济概念，指国家之间销售产品无关税的征收或其它贸易壁垒。（refer to）5.海关及其他行政手续包含各种政府政策和程序，不是对进口加以歧视，就是对出口加以支持。(discriminate against) VI. Translate the following passage into Chinese.Many economists a

116、rgue that free trade increases the standard of living and economic effciency through the theory of comparative advantage and economies of scale. Others argue that free trade allows developed nations to exploit developing nations and to destroy local industry in addition to circumventing social and l

117、abor standards. Conversely it has also been argued that free trade hurts developed nations because it causes jobs from those nations to move to other countries as well as producing a race to the bottom which causes a general lowering of health and safety standards.VII.Speaking activities: Oral prese

118、ntationForm groups of three or four and prepare jointly for the oral presentation topic below. Then vote for a representative in a group to make a 8 15-minute presentation before the whole class:Anti-dumping legislation has become a very important instrument to protect domestic industries from forei

119、gn competition. Unfortunately, China is reported to have received the most anti-dumping charges among the nations in the world. This has become a most pressing problem for Chinese exporters as well as the government. What are the possible reasons underlying this worrisome news? What measures could b

120、e taken to address the problem?Unit SixGATT and WTOPre-reading QuestionsHow much do you know about GATT and WTO?When did GATT create WTO?Do you think the world trade needs a regulation institution? Why/Why not?Do you know when China entered the WTO?What commitments China has made to access to the WT

121、O?GATT Principles the most-favoured-nation (MFN) principle reciprocity transparency fairness WTO and the regulation of world tradeMinisterial Conference dispute settlement bodySection 301 Issues facing the WTO labour standardsenvironmental protection competition policy RegionalismInternational compe

122、tition policycountries differ enormouslyNational competition regimes can amount to institutional barriers to trade and foreign investment.Regionalismregional trade agreements (RTAs) regional groupings Free trade areaMember states agree to remove trade barriers among themselves, but keep their separa

123、te national barriers against trade with non-member statesCustoms unionMember states remove all trade barriers among themselves and adopt a common set of external barriersCommon marketMember states enjoy free movement of goods, labour and capitalEconomic unionMember states unify all their economic po

124、licies, including monetary, fiscal and welfare policiesPolitical unionMember states transfer sovereignty to the regional, political and law-making institutions, creating a new super state.Key termsnational treatmentNational treatment affords individuals and firms of foreign countries the same compet

125、itive opportunities including market access, as are available to domestic market.national interestsA term describing a range of criteria, not always described exactly or even listed in writing, whose fulfillment is considered basic to the welfare of the state.dumpingThe sale of goods abroad at below

126、 the price charged for comparable goods in the producing country.reciprocityA mutual or cooperative interchange of favors or privileges, especially the exchange of rights or privileges of trade between nations. sanctionA coercive measure adopted usually by several nations acting together against a n

127、ation violating international law. CartelsA combination of independent business organizations formed to regulate production, pricing, and marketing of goods by the members.regionalismLoyalty to the interests of a particular region.trade liberalizationA general term for the gradual or complete remova

128、l of existing impediments to trade in goods and petition policyApproaches of governments to the promotion and protection of competition. Post-Reading Activities I. Answer the following questions based on what you have already read in the text.1. What are the main principles of GATT?2. How do you und

129、erstand free trade?3. What are protectionism and regionalism? What are the differences between them?4. What are core issues facing WTO?5. What is anti-dumping? 6. What is fair practice?7. What are the two major competition policies?V.Translate the following sentences into English with the words or p

130、hrases given.1环保主义者认为如果全球变暖和雨林保护等问题不同等考虑的话，商业目的将胜出，环境就会遭殃。（win out）2无条件最惠国待遇始于2000年，它为加入WTO铺平了道路。（pave the way for）3令美国沮丧的事，评审团裁决日本没有违反WTO规则，因为在政府行为和日本的市场结构之间没有联系。（to the dismay of ）4所有国家都享有公认的保护国家利益的权力，但是这个原则以及他们对WTO规则的理解都可能存在很大的差异。（be subject to）5一个被审讯团裁定违反贸易规则的国家可以向审理上诉的机构进行上诉。（appeal to）VI. Tran

131、slate the following passage into Chinese.While the WTO, like GATT, represents a multilateral approach to trade liberalization, regional trade agreements (RTAs) have grown in importance in the post-war period. These are formed between countries in a broad geographic area, such as the continents of Eu

132、rope and North America. They are designed to bring down trade barriers among their member states, thus opening up regional markets for national producers. However, their impact can be much broader, as strong regional markets can have a significant impact on world trade patterns. Political considerat

133、ions also play a key role, as economic integration is inseparable from the political power balance within any region, and regional trading blocks are influential in global politics.VII. Speaking activities: Oral presentationForm groups of three or four and prepare jointly for the oral presentation t

134、opic below. Then vote for a representative in a group to make an 8 15-minute presentation before the whole class:China now has entered the WTO. Many people say the WTO membership of China is like a double-edged sward which brings opportunities and challenges to Chinas economy. And now many people ar

135、e concerned about the economic safety of China. What is your view on this argument? How can China make good use of WTO membership and meanwhile protect its economy?Unit SevenDoha RoundPre-reading QuestionsHow much do you know about the Dora Round?What are the differences between the Uruguay Round an

136、d the Dora Round?What do you know about the Cancun WTO meeting?Who are low-income countries and high-income countries?Do you know what new issues does the Dora Round cover?Background of Doha MeetingSingapore issues: investment, competition, government procurement and trade facilitation Seattle TalkI

137、ssues discussed at Dohamarket access and the tariffs on non-agricultural products, agriculture, services trade, the TRIPS agreement, the Singapore issues, implementation issues and special and different treatment for low-income countries The Cancun WTO meeting low-income countries were able to use t

138、heir cohesiveness and their growing trade strength to mount a major challenge to the EU and US. High-income countries could no longer take low-income countries for granted as they had ever since the Kennedy Round in the 1960s. New issues in the Doha RoundThe Singapore issuesInvestmentCompetitionGove

139、rnment procurementTrade facilitationlabour and environment clauses and electronic commerce Singapore issuesAlthough three of the four Singapore issues seem to have dropped out of the Doha Round, the framework agreement for the round agreed to in July 2004 did not specifically delete the issues, leav

140、ing the (small) possibility they could be revisited in the future. Investmentan attempt by high-income countries to protect the (perceived) rights of foreign investorsgenerally opposed by most low-income countries Competitionclosely linked to the investment issuethe aim of the competition issue is t

141、o give foreign companies the same rights as local companiesMost low-income countries think WTO competition policies could be used to wipe out their locally owned industries and are therefore suspicious of them. Government procurementmeant to relate to transparency in government procurement (purchasi

142、ng)Low-income countries fear that the possible introduction of the issue into the Doha Round could, in future, open their government purchasing to fully-blown international competition. Trade facilitationthe least contentious of the Singapore issues and seems likely to survive the Doha Round. The da

143、nger for low-income countries is that the measures transnational corporations want them to implement could be quite expensive and could reduce the transparency of global trade. Other issueslabour and environment clauseselectronic commerce Labour clausesclauses that would allow a country to restrict

144、imports from another country that allowed dubious labour practices such as child labour. Environment clauses would generally allow a country to restrict imports from another country that had dubious environmental standards.low-income country resistance to labour and environment clauses being attache

145、d to trade agreements electronic commerce covers services delivered via computers and the Internet The United States has traditionally been a keen champion of duty-free electronic commerce and has pushed the measure very assertively at the WTO. This measure threatens to reduce the ability of low-inc

146、ome countries to develop their own electronic commerce industries and also eliminates their ability to raise revenue from the taxation of electronic commerce-based trade.Key termsprotectionismThe advocacy, system, or theory of protecting domestic producers by impeding or limiting, as by tariffs or q

147、uotas, the importation of foreign goods and services.financial instrumentsFinancial instruments are cash, evidence of an ownership interest in an entity, or a contractual right to receive, or deliver, cash or another financial instrument.market access Market access for goods in the WTO means the con

148、ditions, tariff and non-tariff measures, agreed by members for the entry of specific goods into their markets. trade facilitationTrade facilitation looks at how procedures and controls governing the movement of goods across national borders can be improved to reduce associated cost burdens and maxim

149、ize efficiency while safeguarding legitimate regulatory objectives. government procurement Government procurement, also called public tendering, or public procurement, is the procurement of goods and services on behalf of a public authority, such as a government agency. transfer pricingTransfer pric

150、ing refers to the pricing of contributions (assets, tangible and intangible, services, and funds) transferred within an organization. Post-Reading Activities I. Answer the following questions based on what you have already read in the text.1Is the Doha Round successful? Why?2What are the new issues

151、of the Doha Round?3Why is trade felicitation the least contentious of the Singapore issues?4Who are G22 countries? How were they formed?5What is the “Bali Package”? Why is it important?V. Translate the following sentences into English with the words or phrases given.1低收入国家普遍不愿意增加新议题，而这次会议只就成立这些问题的工作

152、组达成了一致。（take on）2他们在坎昆成立了一个联盟，这个联盟第一次与欧美轴心国对着干。（take the fight to）3令高收入国家烦恼的是，印度、中国、古巴、巴基斯坦和津巴布韦试图把这些问题与外国投资者的义务而不是权力联系起来。（to the chagrin of ）4在他们一般允许一国限制从另一国进口有未决的环境标准的产品方面，环境条款有些像劳工条款。（in as much as）5在坎昆，欧盟面临来自低收入国家的G22新联盟的强烈反对提出取消投资和竞争条款。（in the face of）VI. Translate the following passage into Ch

153、inese.The package includes provisions for lowering import tariffs and agricultural subsidies, with the intention of making it easier for developing countries to trade with the developed world in global markets. Developed countries would abolish hard import quotas on agricultural products from the de

154、veloping world and instead would only be allowed to charge tariffs on amount of agricultural imports exceeding specific limits. Another important target is reforming customs bureaucracies and formalities to facilitate trade.VII. Speaking activities: Oral presentationForm groups of three or four and

155、prepare jointly for the oral presentation topic below. Then vote for a representative in a group to make an 8 15-minute presentation before the whole class:What actually happens to the environment in each place as a result of the Uruguay Round is the sum of the effects. The actual effects (the sums

156、of the composition effects and the combined size and income effects) vary by country and by pollutant. The overall effects for the world are generally small, as are the effects for most countries and pollutants. Even for countries whose pollution increases, the monetary value of the usual gains from

157、 freer trade are a large multiple of the monetary cost of any extra pollution. In summary, free trade is not inherently anti-environment. Relocation of production to avoid stringent environmental standards is small. Shifts toward freer trade cause a variety of changes, but the net effects on overall

158、 pollution usually seem to be small. Give your opinions on this point of view.Unit Eight Free Trade AgreementsPre-reading questions:1. What are FTAs?2. What are the incentives for countries to form FTAs?3. How do FTAs influence the economy?4. What are trade creation and trade diversion?5. What do yo

159、u think the next round WTO negotiations will focus on about FTA?Definition of FTAFree trade areas are part of the broad category of trade arrangements under which member countries grant one another preferential treatment in tradeThe process of forming an FTA discussions between trading partnersnegot

160、iationsWhy Countries Form FTAseconomic and political reasonsEconomic Impact of FTAsTwo groupstrade diversion and trade creationFTAs and the WTOmost-favored nation (MFN) principleArticles of GATT and WTOKey Termseconomic unionAn economic union is a type of trade bloc which is composed of a common mar

161、ket with a customs union. The participant countries have both common policies on product regulation, freedom of movement of goods, services and the factors of production (capital and labor) and a common external trade policy. When an economic union involves unifying currency it becomes a Economic an

162、d monetary union.rules of originRules of origin are used to determine the country of origin of a product for purposes of international trade. There are two common types of rules of origin depending upon application, the preferential and non-preferential rules of origin (19 CFR 102). The exact rules

163、vary from country to country.trade creationtrade creation is an economic term related to international economics in which trade flows are redirected due to the formation of a free trade area or a customs union. The issue was firstly brought into discussion by Jacob Viner (1950), together with the tr

164、ade diversion effect.trade diversion Trade diversion is an economic term related to international economics in which trade is diverted from a more efficient exporter towards a less efficient one by the formation of a free trade agreement or a customs union.economic welfareEconomic welfare broadly re

165、fers to the level of prosperity and living standards of either an individual or a group of persons. In the field of economics, it specifically refers to utility gained through the achievement of material goods and services. In other words, it refers to that part of social welfare that can be fulfill

166、ed through economic activity. Post-Reading ActivitiesI. Answer the following questions based on what you have already read in the text.1. How can countries benefit from the FTAs?2. What are the differences between trade creation and trade diversion?3. What is the greatest contribution of Jacob Viner

167、 to economics?4. What is the economic welfare? 5. What is the purpose of establishing an economic union? V.Translate the following passage into Chinese.Trade creation occurs when a member of an FTA replaces domestic production of a good with imports of the good from another member of the FTA, becaus

168、e the formation of the FTA has made it cheaper to import rather than produce domestically. The creation of the trade is said to improve economic welfare within the group because resources are being shifted to more efficient uses. Trade diversion occurs when a member of an FTA switches its import of

169、a good from an efficient nonmember to a less efficient member because the removal of tariffs within the group and the continuation of tariffs on imports from nonmembers make it cheaper to do so. Trade diversion is said to reduce economic welfare because resources are being diverted from an efficient

170、 producer to a less efficient producer.In most cases, it appears that FTAs lead to both trade diversion and trade creation with the net effects determined by the structure of the FTA. Therefore, even if two or more countries are moving toward freer trade among themselves in an FTA, the FTA could mak

171、e those countries and the world as a whole worse off if the FTA diverts more trade than it creates, according to economic theory. VI.Translate the following sentences into English with the words or phrases given.1. 自贸区可以被用来保护本地出口商在与外国公司的竞争中获胜，这些外国公司可能享有其他自贸区的优惠待遇。（loose out to ）2. 据说自贸区会降低经济福利因为资源被从

172、一个高效率的生产者转移到了一个低效率的生产者。（divert to）3. 他们会买美国的电视机并更赚钱，但是墨西哥的整体经济会恶化。（better off/worse off）4. 这会使来自自贸区外的外国投资增加，因为公司都寻求在自贸区的边界内建厂以便利用特惠贸易协定。（take advantage of）5. 中国购买的除美国以外的大部分债务，都局限于深度债券市场，即日元、英镑或者欧元。(be confined to). Speaking Activities: Oral presentationForm groups of three or four and prepare jointl

173、y for the oral presentation topic below. Then vote for a representative in a group to make an 8 15-minute presentation before the whole class:The Chinese Government deems Free Trade Agreements (FTAs) as a new platform to further opening up to the outside and speeding up domestic reforms, an effectiv

174、e approach to integrate into global economy and strengthen economic cooperation with other economies, as well as particularly an important supplement to the multilateral trading system. Currently, China has 14 FTA partners comprising of 31 economies, among which 8 Agreements have been signed already

175、. Discuss the history of Chinese FTAs and how has China benefited from these FTAs? Unit NineInco termsUnit NinePre-reading Questions:1What are the Incoterms?2. Why is it important for international trader to know the Incoterms rules?3. Why is the international trade more complicated than domestic tr

176、ade?4. What are the differences between FOB, CFR and CIF terms?5. How many rules are there in Incoterms 2010?BackgroundTrade terms/price termsPurpose: “to provide a set of international rules for the interpretation of the most commonly used trade terms in foreign trade. Thus, the uncertainties of di

177、fferent interpretations of such terms in different countries can be avoided or at least reduced to a considerable degree “ (INCOTERMS, 1990, p. 6). Began in 19th century-FOB & othersNo legal binding unless stated in contractBasics of INCOTERMSScope-only seller & buyer, tangible goods, contract of sa

178、le, specific aspects (delivery, risk, obligation)ObligationCostTransfer of riskINCOTERMS 2010Categorization of 2010 TermsEleven terms in two groups-for any transport: EXW, FCA, CPT, CIP, DAT, DAP, DDP-for sea and inland waterway transport: FAS, FOB, CFR, CIFGroup 1: Rules for sea transportFAS:Free A

179、longside Ship (named port of shipment)Seller place goods, clear for export, alongside the vessel.For maritime transport, NOT for multimodal sea transport in containersUsed for heavy-lift or bulk cargo.FOB:Free on Board (named port of shipment)Seller delivers the goods, clear for export, when they ar

180、e loaded onto the deck of the ship nominated by the buyer.5 Variants:5 Variants of FOB:FOB Liner Terms(班轮）: the party contracting for carriage pays loading charges. (buyer pays)FOB Under Tackle（吊钩）: reach of a cranes tackle (buyer pays others)FOB Stowed（理舱）: seller pays stowage chargeFOB Trimmed（平舱）

181、: seller pays trimming chargeFOB Stowed and Trimmed: seller paysCFR ( C&F in previous versions):Cost and Freight (named port of destination)Seller pay the cost and freight to bring goods to port of destination. Once loaded on board the vessel, the goods risk transfers to buyer. (like FOB) Maritime o

182、nly, insurance not included.4 Variants: the same with CIFCIF:Cost, Insurance and Freight (named port of destination)Besides taking the responsibilities of CFR, the seller must effect insurance for the goods.Minimum coverage of insurance provided by clauses (C) of the Institute Cargo Clauses or simil

183、ar onesMaritime only4 variants: 4 variants of CIF CRF/CIF Liner Terms: the party contracting for carriage pays loading charges. (seller pays)CRF/CIF Landed: seller pays handling cost until goods are placed on the dock.CRF/CIF Ex Tackle: reach of a cranes tackle (other costs by buyer)CRF/CIF Ex Ships

184、 Hold: buyer pays expenses after goods are handed over to the hold of the ship. Group 2: Rules for Any Mode of TransportEXWFCACPTCIPDATDAPDDPEXWEx works (named place of delivery)Minimum obligations, costs and risks of the sellerNot recommended to buyer, unless the buyer have branches, and expertise

185、or can obtain clearance.May not be exported, can be resoldFCAFree Carrier (named place of delivery)Seller only responsible for giving goods to carrier nominated by buyer.Seller completes delivery after handing goods to the first carrier.Seller clears the goods.Buyer pays for the carriage.CPTCarriage

186、 paid to (named place of destination)Same with CFR for maritime shipmentSeller finishes delivery after handing goods to the first carrier Seller pays for the carriage.CIPCarriage and Insurance paid to (named place of destination)Same with CPT, except that seller pays insurance for CIPDAT (new)Delive

187、red at Terminal (named terminal at port or place of destination)Seller delivers goods, unloaded at named terminal, port or other destination, not cleared for import.Terminal can be any place (warehouse, container yard, quay, road, etc.)DAPDelivered at Place (named place of destination)Seller deliver

188、s goods, not unloaded, not cleared for import Similar to CPT, but seller bears risks in bringing the goods to destination(与DAT一样，只是DAT卖方负责卸货，DAP买方负责卸货；两个都不需要卖方清关，如果希望卖方清关应选DDP）DDPDelivered duty paid (named place of destination)Seller delivers goods, cleared for import, not unloaded at the place of d

189、estinationDoor-to-door delivery, maximum obligation of sellerNot recommended to seller unless seller has all the capabilities, etc. like in the case of EXW to buyer.Determinants of choice of trade termsDegree of acceptance of cost, obligation and riskExporting and importing possibilitiesPricing purp

190、osesAvailability of transportCompetitive position on the marketAbility of risk controlINCOTERMS 2000 vs.2010In number : 13 for 2000/11 for 2010: DAF, DES, DDU replaced by DAP; DEQ replaced by DATIn classification: 4 groups for 2000 (E, F, C, D)/2 for 2010 (for sea and waterway, for any mode of trans

191、port)In recognition: for both international and domestic trade; electronic documents (2010 )In expression: “Pass the ships rail”(2000)/ “on board the vessel” (2010)In THC: specify terminal handling charge (THC) (2010)In terms: add terms requiring seller to provide clearance information (2010)Post-Re

192、ading Activities I. Answer the following questions based on what you have already read in the text.1List the financial responsibilities of the exporter under the following Incoterms: EXW, FOB, CIF.2List the financial responsibilities of the importer under the following Incoterms: EXW, FOB, CIF, and

193、DAP.3What is the function of ICC?4How do you distinguish a commercial invoice and a pro-forma invoice?5When do companies need arbitration?6Which Incoterm is the most expensive?V.Translate the following sentences into English with the words or phrases given.1. 买方会预测所有成本和风险并安排货物运输事宜，而且必须根据合同条款支付货款。(as

194、sume)2. 如果还有其他运输方式，这些条款就不适用，即使有一部分运输是海运。(be involved)3. 根据CFR合同，卖方的义务和FOB的一般条款相同，而且在装船之后，卖方就不承担货物损失的责任。( be absolved from)4. 通常买方会安排以后的装运事宜，尽管合同可能规定应该卖方去安排。(make arrangements for)5. 当货物装上火车或卡车之后，或者如果是海运或空运时货物交付承运人时，卖方就不对损失承担责任。(in the case of)VI. Translate the following passage into Chinese.Those wh

195、o do business only domestically avoid many of the problems that beset the international trader. In addition to other cultural conflicts, those who trade entirely within their own borders are free from the complications that arise from differing legal systems, languages, and business practices. The i

196、nternational business forum is a fertile place for contractual misunderstandings and an expensive place to resolve them through litigation. VII.Speaking activities: Oral presentationForm groups of three or four and prepare jointly for the oral presentation topic below. Then vote for a representative

197、 in a group to make an 8 15-minute presentation before the whole class:Recognizing a compelling need for universal terminology in international trade contracts, the International Chamber of Commerce, among others, has developed a standard set of terms and abbreviations called Incoterms. These terms

198、have been carefully defined in all major languages. As a result, the rights and obligations of each party to a contract should be more clearly understood if the contract is expressed in Incoterms.What are the advantages of using Incoterms?Unit Ten Contract and offersPre-reading Questions1. What is t

199、he export ordering process?2. Do you know the form of an exporting contract?3. When will the buyer make a counter-offer?4. What is a pro-forma invoice? What is the difference between a pro-forma invoice and a commercial invoice?5When does breach of contract occur?Export costing calculations the manu

200、facturing costs profit margincommission marking costsexport clearance packagingQuotation to provide the prospective buyer with detailed information on the companys product, its costs and the terms of delivery Elements of a quotation1. The quotation should begin by providing a description of the natu

201、re and quality of the goods in question, the volume offered for sale and any guarantees or warranties that are applicable. 2. The exporter ought to make reference to how the goods are to be packaged and marked for export in order to show the buyer that every precaution is taken to ensure the safe tr

202、ansit of the goods.3. The method or methods of transport to be used, for example by road and sea or by any other recognised means of transport.4. Product price and the currency used in the quotation.5. The Incoterm used to define the terms of delivery (making reference to Incoterms 2000).6. How the

203、sale is to be agreed, for instance by letter of credit, open account, cash on delivery and so on.7. When the goods can be shipped and delivered. Where the quotation covers a large order broken down into several separate shipments, the quotation should show how often the shipments will take place.For

204、ms of quotationPostalelectronic Faxed pro-forma invoiceContracts Convention on Contracts for the International Sale of Goods (CISG) standard terms and conditions (T&Cs) The offercontain details of the type, quantity and quality of the goods to be sold, and may also include a description of the compo

205、nent parts to demonstrate origin or to comply with the buyers specific requirements. Counteroffersthe buyer responds to the offer by agreeing to it in principle but adding further terms, conditions or qualifying statementsAcceptanceAcceptance of the offer commits both the buyer and the seller to the

206、 specific terms of the sale and forms a legally binding contract that cannot be amended unless the two parties agree in writing to make the changes Export order process 1. Enquiry received from overseas buyer. 2. Exporter determines whether product modifications will be required and what packaging a

207、nd labeling requirements are specified. 3. Export costing exercise carried out to ensure commercial viability. 4. Written quotation submitted to buyer. 5. Order placed by buyer. 6. Buyers Letter of Credit details and credit rating checked by exporter. 7. Exporter accepts order. 8. Exporting company

208、processes order and packages goods for export, making sure appropriate marking and labeling is used. 9. Carriers and transport arranged for shipment of goods. 10. All relevant payment, transport, insurance and customs documentation is raised and checked by the exporter. 11. Exporter ships the goods

209、to the buyer and collects payment.Breach of contractAs acceptance of the offer creates a legally binding contract, the agreed terms and conditions must be fulfilled if the contract is not to be breached. Key termscash flow Cash flow (also called net cash flow) is the balance of the amounts of cash b

210、eing received and paid by a business during a defined period of time, sometimes tied to a specific project. indemnity An indemnity is a sum paid by A to B by way of compensation for a particular loss suffered by B.tenderA process by which one can seek prices and terms for a particular project (such

211、as a construction job) to be carried out under a contract. export clearanceThe completion of customs entry formalities resulting in the release of goods from customs custody to the missionThe amount paid to an agent, which may be an individual, a broker, or a financial institution for consummating a

212、 transaction involving sale or purchase of assets or services.open accountCredit extended that is not supported by a note, mortgage, or other formal written evidence of indebtedness. pro-forma invoice An invoice provided by a supplier prior to a sale or shipment of merchandise informing the buyer of

213、 the kinds and quantities of goods to be sent, their value, and important specifications. Post-Reading ActivitiesI. Answer the following questions based on what you have already read in the text.1 Why is export costing important and how does the costing exercise affect the exporters pricing strategy

214、?2 If an exporter accepts a buyers counteroffer and subsequently realizes that the terms contained within it are unfavorable, under what circumstances can the exporter amend the agreement?3 What are the implications of exporting or importing via the Internet and what legal considerations should the

215、company be aware of when selling online?4. Under what other circumstances might a contract be deemed to be breached?V. Translate the following sentences into English with the words or phrases given.1. 公司可能更愿意以形式发票的形式报价，因其内容由于订货时可以转成商业发票而更便于管理。(in the form of )2. 一旦报价提交给买方，如果买方根据此报价订货，出口商就有责任履行所有报价上的

216、条款。 (be committed to) 3. 可以理解的是买方指出合同已签署，出口商有义务履行其条款。(be bound to) 4. 当买方公司也在合同中加入自己的条款并试图占上风时就会出现问题。 (gain the upper hand) 5. 除了合同的具体条款之外，出口商还应该准备一些能够写进合同的销售标准条款。(incorporate) VI. Translate the following passage into Chinese.Export costing calculations are used to assist exporters in ascertaining h

217、ow competitive the companys products will be in the target market once all the additional charges and fees have been taken into consideration. Also called landed costs, they provide the exporter with a breakdown of how the total cost of the product has been reached, which may then identify areas whe

218、re savings can be made in order to improve competitiveness. Export costing should be seen as a key part of the companys financial planning activities, especially in conjunction with the cash flow forecast, as an accurate costing sheet will allow the company to take all the costs associated with mark

219、et entry into account.VII.Speaking activities: Oral presentationForm groups of three or four and prepare jointly for the oral presentation topic below. Then vote for a representative in a group to make an 8 15-minute presentation before the whole class:History is littered with examples of companies

220、who have entered into contracts on the back of unrealistic quotations and who have subsequently struggled to fulfill their terms. Examine the ramifications of such mistakes, particularly in terms of the long-term market entry strategy. Consider also how such mistakes could affect a companys future d

221、evelopment into other markets. It cannot be stressed enough that the exporting company must always ensure that it has the capacity and resources to meet the terms and conditions of the contract and must be fully aware of its financial and legal responsibilities. Unit ElevenPayment Part IPre-reading

222、QuestionsHow many different types of payment methods used in international trade? What are they?What are the most commonly used approaches to securing payment from overseas buyers?What are the required procedures under each payment?What on earth does the final example talk about?Payment optionsPrepa

223、ymentdocumentary creditsdocumentary collectionsopen account trading PrepaymentPrepayment, or payment in advance, is the most favourable payment method from the sellers point of view and least favourable to the buyer Open accountTrading on open account terms is practically the opposite of prepayment

224、terms in that the importer takes title to the goods shipped by the exporter before any payment is made for them. Bills of exchangeit is an unconditional order in writing addressed by the person giving it (the drawer) to another person (the drawee) and signed by the drawer. It requires the drawee to

225、pay on demand (or at a fixed and determinable future time) a specific sum of money to, or to the order of, a named person or the bearer (the payee). Missing documentationProtesting a bill of exchangedocumentary collectionA draft to which documents are attached, accompanied by a collection letter. Us

226、ually, these documents include a commercial invoice and shipping documentsKey termsconsumer goodsIn economics, any commodity which is produced and subsequently consumed by the consumer, to satisfy its current wants or needs, is a consumer good or final good. credit ratingA credit rating is an evalua

227、tion of the credit worthiness of a debtor, especially a business (company) or a government, but not individual consumers. sight draftA draft payable upon presentation.notaryA notary is a lawyer or person with legal training who is licensed by the state to perform acts in legal affairs, in particular

228、 witnessing signatures on documents.bank avalised draft Bill of exchange to which an aval（保兑，担保） has been added.advice of fateWritten confirmation from an accepting or collecting bank to the originating or remitting bank (which sent one or more collection documents) whether the item was honored or d

229、ishonored by the payee.advance paymentTrading method in which the buyer pays for the goods before they are dispatched. This is used where the buyer is of unknown credit worthiness and is unable to obtain a letter of credit. This is also used as a matter of convenience for small orders.clean collecti

230、onA sight or time draft which has no other documents attached to it.acceptance creditA documentary credit which requires, amongst the documents stipulated, provision of a term bill of exchangecollecting bankAny bank other than the remitting bank involved in the collection of a draft and/or documents

231、.advising bankAn advising bank is a correspondent of a bank which issues a letter of credit, and, on behalf of the issuing bank, the advising bank notifies the beneficiary of the terms of the credit, without engagement on its part to pay or guarantee the credit.Post-Reading ActivitiesI. Answer the f

232、ollowing questions based on what you have already read in the text.1. What are the main risks for the importer and the exporter under prepayment and open account trading terms?2. In what situations does open account trading normally occur?3. What is the role of the remitting bank in bill of exchange

233、 transactions?4. What risks are involved for exporters under documentary collection?5. How does a bill of exchange work in international settlement?6. What is a protested bill of exchange?.Translate the following sentences into English.1. 凭一流银行开立的以卖方为受益人，可转让、由主要货币国家一流银行保兑、含全部货款的即期信用证，连同下列单据支付。（cover

234、ing, accompany with）2. 该方法是卖方在付款交单的基础上向买方开具汇票收取货款。（draw on）3. 当进口商想开信用证用以支付外国货物的货款时，他可以向其所在地银行申请开立任何金额的信用证。（apply for）4. 你方订单已于3月15日传真确认，以确认之日起15天内信用证开到为条件。(confirm)5. 为处理国际贸易中的不同形势，各种支付方法便发展了起来。（cope with）6. 在国际贸易中，如何有效地避免结算中的风险至关重要。(risk).Translate the following passage into Chinese.Payment in for

235、eign trade is complicated. The method of payment is to be agreed upon between the two trading parties at the time of placing an order. The most often adopted mode of payment in foreign trade is payment by letter of credit. If the credit period extended to a customer is shorter what the competitors a

236、re offering or if the method of payment is more demanding, business may easily fail. Speaking Activities: Oral presentationForm groups of three or four and prepare jointly for the oral presentation topic below. Then vote for a representative in a group to make an 8 15-minute presentation before the

237、whole class:Each payment method may have its advantages and disadvantages. As far as you know, what is the fastest way of making payment and what is the most secured method of payment? Do you think that payment by a letter of credit is always the first choice in international trade, why?Unit TwelveP

238、ayment Part IIPre-reading Questions1.What are the differences among a red clause L/C, green clause L/C, transferable L/C and standby L/C?2.How many types of revolving documentary letter of credit? What features do they have?3.Can companies make their own decision on choosing payment methods? What pa

239、yment methods are available in modern banking services?4.For prepayment and open account trading , which one is more favorable method fro the exporter? Why?Types of L/CRed clause letter of creditallows for a percentage of the value of the credit to be paid to the exporter up front Green clause credi

240、tmakes provision for the importer to withhold a percentage of the credit value after the shipping documentation has been presented.Revolving letter of creditused in situations where several similar shipments are to take place that can be covered by a single L/C, as opposed to raising a series of sep

241、arate L/Cs (and incurring the administrative and financial charges for doing so). Standby letter of creditraised as a form of protection against the possibility of breach of contract. used to guard against buyer default, particularly when trading on open account terms, and rely on an undertaking fro

242、m the importers bank to pay in the event that the buyer fails to do so.Transferable letter of creditTransferable or back-to-back letters of credit can be of use in financing production of goods to meet an international order. Doctrine of strict compliancedemands that all documentation presented with

243、 a letter of credit has to wholly comply with the terms of the credit. amendments to the documentation and re-present the credit Documentary collectionssight draftterm draftDOP/documents on payment DOA/documents on acceptance Receiving paymentcollectnegotiateelectronicThe Society for Worldwide Inter

244、bank Financial Transmissions (SWIFT)Key termsanticipatory L/Cthe letter of credit which allows exporter to withdraw all or part of the loan prior to loading and delivery. It is also called “Red Provision letter of credittransferable L/CA letter of credit part of whose value can be transferred to ano

245、ther partypromissory noteA written promise to pay a specified amount to a specified party over a certain period of timebeneficiaryIt means the party in whose favour a credit is plying presentationIt means a presentation that is in accordance with the terms and conditions of the credit, the applicabl

246、e provisions of these rules and international standard banking practice.confirmationmeans a definite undertaking of the confirming bank, in addition to that of the issuing bank, to honour or negotiate a complying presentation.confirming bankIt means the bank that adds its confirmation to a credit up

247、on the issuing banks authorization or request. A confirming bank is irrevocably bound to honour or negotiate as of the time it adds its confirmation to the credit.honoura. to pay at sight if the credit is available by sight payment.b. to incur a deferred payment undertaking and pay at maturity if th

248、e credit is available by deferred payment.c. to accept a bill of exchange (“draft”) drawn by the beneficiary and pay at maturity if the credit is available by acceptance.issuing bankIt means the bank that issues a credit at the request of an applicant or on its own behalf.negotiationIt means the pur

249、chase by the nominated bank of drafts (drawn on a bank other than the nominated bank) and/or documents under a complying presentation, by advancing or agreeing to advance funds to the beneficiary on or before the banking day on which reimbursement is due to the nominated bank.presentationIt means ei

250、ther the delivery of documents under a credit to the issuing bank or nominated bank or the documents so delivered.performance bondBond, usually issued by a bank, guaranteeing specific monetary payment to a beneficiary if the purchaser or maker fails to perform or acts in violation of a contractPost-

251、Reading Activities I. Answer the following questions based on what you have already read in the text.1. What are the advantages that “red clause” and “green clause” present for importers?2. What is the key role of revolving L/C in the international transaction?3. What are the main differences betwee

252、n documentary collections and documentary credits, and what are the responsibilities of the importer and exporter in each case?4. Who enacts the role of middleman in “back-to-back” letters of credit?5. What is the nature of documentary letters of credit?6. When the banks find discrepancies or errors

253、, how can the banks and the exporters react?V. Translate the following sentences into English with the words or phrases given.1. 你必须意识到保兑的信用证为出口商提供了银行担保。(be aware of)2. 跟单信用证是银行根据卖方的请求开立的该银行承诺凭提交有关货运单据向受益人付款的书面文书。（against presentation of; relate to）3. 买方在给银行的开证申请书中列明所要求的单证。（designate）4. 对6月6日第450号信用

254、证, 我公司已开出面额为90,000元的汇票, 该汇票以东京银行为受益人, 付款日期为见票后60天。(draw on; in favour of)5. 因信用证的有效期为5月31日, 希望将其有效期延长至6月10日, 并请将此情况通知你方的银行。(extend; amend)6. 本文集中论述了有关跟单信用证制度核心原则之一：“严格相符原则”及其在实践中的运用。(strict compliance)VI. Translate the following passage into Chinese.The letter of credit can be extremely useful for s

255、uccessfully completing international trade transactions. They buyer requests his bank to open a letter of credit in favor of the seller. Assuming that the credit risk is acceptable to the bank, it issues its letter of credit. The bank thus has substituted its credit for that of the buyer, which may

256、also be good but probably not as well known. The letter of credit also protects the buyer, for he knows that he will be not called upon by his bank until the evidence shows that the shipment has actually been effected.VII.Speaking activities: Oral presentationForm groups of three or four and prepare

257、 jointly for the oral presentation topic below. Then vote for a representative in a group to make an 8 15-minute presentation before the whole class:Cases of fraud in letter of credit transactions have been reported frequently in China for a period of time. According to your knowledge, in what forms

258、 can fraud be committed? Why has payment frauds been not satisfactorily prevented? Whose responsibility is it to guarantee that all parties of the letter of credit transactions are fully protected?Unit ThirteenTransport and LogisticsPre-reading Questions1. Do you have an idea about transport?2. What

259、 are logistics services?3. Why is logistics important?4. What role do you think logistics services play in your life?5What does the freight forwarder do for the carrier and the shipper?The importance of logisticsThe role of the freight forwarder transport intermediaries who are contracted to carry o

260、ut some or all of the elements of the distribution process Unit loadsimply palletized freight that can be dealt with as a separate item of freight, as opposed to bulk shipments and containers Containerizationa method of loading consignments into manageable, containerized loads that can be loaded and

261、 unloaded with the minimum of effort. inter-modal transport - the process of shipping goods to their final destination using different modes of transport Bulk freightshipments that cannot be carried in conveniently sized containers due to their nature, can be transported in a variety of specialist v

262、essels, depending on the nature of the consignment, whether it be sugar, coal, timber, foodstuffs or vehicles and so on.Groupageselling space on a truck or in a container to several companies and combining different consignments bound for the same destination. Transport Internationaux Routiers (TLR)

263、 to establish guidelines for the demonstrably secure transport of goods without the need for inspections.Transporting goods without a freight forwarder 1. The points of origin and destination of the cargo. 2. The products to be transported. 3. Documentary requirements. 4. Rates and terms of payment.

264、 5. Liability for injury, loss or damage to cargo, damage to property. 6. Performance and penalty clauses. 7. Requirements for specific services or equipment to be supplied by the transport company to ensure the safe loading, unloading and stowage of the consignment. 8. Policy on the replacement val

265、ue of damaged goods. 9. Clause detailing the circumstances under which the contract can be terminated. 10. Conditions under which the contract may be altered.Carriers liability limited under the Hague Visby Rules Key termsintermediary An intermediary is a third party that offers intermediation servi

266、ces between two trading parties. The intermediary acts as a conduit for goods or services offered by a supplier to a consumer. Typically the intermediary offer some added value to the transaction that may not be possible by direct trading.insurance broker designed to thwart the bogus practices of fi

267、rms holding themselves as brokers but in fact acting as representative of one or more favoured insurance companies. customs broker a profession that involves the clearing of goods through customs barriers for importers and exporters (usually businesses).on-carriageIn the U.S., it means transport the

268、 goods unloaded to the designated port of destination through using other ships or transportation vehicles on the road.Freight All Kinds (FAK)This kind of freight is based on the volume or weight only, and does not consider the attribute, type, and other factors.non-vessel owning common carriers/NOV

269、CCa company that establishes and maintains its own freight tariff, has the goods shipped in its own name, is responsible for all the transportation and issuing of shipping bill, no matter whether it has or controls the transportation vehicle.palletized freightPut several goods of small units into a

270、pallet, and then the pallet and goods constitute a larger transportation unit. door-to-door deliverythe cargo is loaded into the container at the warehouse or plant of the consignor, and transported, through several transport means, to the warehouse or plant of the consignee while remaining intact (

271、without disassembling and reloading the FCL)less than container load (LCL)The cargo of a single shipper or consignee cannot fill the whole container.full container load (FCL)The cargo of a single shipper or consignee can fill the whole container.unit load devices (ULDs)The general terms for airline

272、containers and pallets. They facilitate cargo handling, shortens the time on the land for the airline forwarding agent，freight forwarderA freight forwarder (often just forwarder) is a third party logistics provider. As a third party (or non asset based) provider a forwarder dispatches shipments via

273、asset based carriers and books or otherwise arranges space for those shipments. Carrier types include waterborne vessels, airplanes, trucks or railroads.inland clearance depot (ICD)In the UK, it means the place has the approval by the customs, where imported containers can enter the port directly an

274、d go through the declaration formalities, and exports can go through the inspection and stuffing formalities directly. the replacement valueThe term replacement cost or replacement value refers to the amount that an entity would have to pay, at the present time, to replace any one of its assets.inhe

275、rent viceAn inherent characteristic that may cause damage default Failure to perform a task or fulfill an obligation, especially failure to meet a financial obligationAct of GodAct of God is a legal term for events outside of human control, such as sudden floods or other natural disasters, for which

276、 no one can be held responsible. Post-Reading Activities I. Answer the following questions based on what you have already read in the text.1. Explain the importance of the logistics function in businesses that trade internationally.2. What is the difference between a freight forwarder and a carrier,

277、 and what is the core service offered by each?3. What are the advantages and disadvantages of inter-modal integrated transport?4. Why isnt it recommended that individual companies make their own shipping arrangements?5. What are the four common clauses that effectively exempt the carrier from any li

278、ability whatsoever?6. How does groupage work? Any points for attention?V. Translate the following sentences into English with the words or phrases given.1尽管货运代理人收取服务费，但他们至少拥有良好的经济、高效、仅牵扯进口商、出口商极少精力的国际运输网络。 (with minimum involvement from) 2在很多方面企业会发现丢失或损坏的货物蚕食了他们的利润。(erode the profitability)3企业利用保险经纪

279、人为船只在运输途中保险，利用报关行在货物到达时报关。(clear the goods through Customs)4只要能证明货物的性质和价值没有变化，就会退回保证金。(provided that)5货运代理人的职责是确保货物包装、标记恰当，单据完备，以方便运输。(remit) VI. Translate the following passage into Chinese.The transport of goods in containers not only reduces shipping times and loading/unloading costs, but also re

280、duces the risk of theft and damage as the goods should be appropriately packaged and stowed in secure containers. Containerization can also reduce the amount of packaging required for the consignment, as the metal container itself becomes a part of the packaging. From the ship owners perspective, co

281、ntainers permit better utilization of space, and therefore capacity, through their ability to be loaded and stacked in uniform rows.VII.Speaking activities: Oral presentationForm groups of three or four and prepare jointly for the oral presentation topic below. Then vote for a representative in a gr

282、oup to make an 8 15-minute presentation before the whole class:Even though it is sensible to work with freight forwarders that can use established international networks to identify the most cost-effective means of transporting a consignment to its destination, it is nevertheless possible for compan

283、ies to dispense with forwarders and arrange shipping themselves. By doing so, the exporter or importer removes the intermediary from the equation (thereby saving money) and effectively becomes the shipper. Consequently, the company must be prepared to undertake the full range of services normally provided by a forwarder. For this reason, it is not recommended that individual companies make their own shipping arrangements as, in all probability, they will not possess the same level of experience, expertise and contacts as forwarding agents.