What is the difference between domestic trade and foreign trade?

Guomao: international trade.

Foreign trade: foreign trade.

1. Different scopes

International trade is from the perspective of the entire world, while foreign trade is from the perspective of a certain country. Exporting Chinese products abroad is only a small part of international trade or foreign trade. International trade or foreign trade not only includes the import and export of products (not just exports) (or visible trade), but also includes intangible trade, such as technology import and export, and services. trade etc.

2. Different compositions

International trade refers to the international transfer of goods and services. International trade is also called world trade. International trade consists of import trade and export trade, so it is sometimes called import and export trade.

Foreign trade, also known as "foreign trade" or "import and export trade", referred to as "foreign trade", refers to the exchange of goods, services and technology between one country (region) and another country (region). exchange activities.

3. Different risks

The risks of international trade are greater than those of domestic trade. Commodity exchange is inseparable from competition and naturally involves considerable risks. But in comparison, the risks of international trade are more numerous and greater. It manifests itself in credit risk, business risk, price risk, exchange rate risk, transportation risk and political risk.

Extended information:

International trade classification

According to the direction of movement of goods, international trade can be divided into

1. Import Trade ): Introducing goods or services from other countries into the country’s market for sale.

2. Export Trade: exporting the country’s goods or services to other countries for sale.

3. Transit Trade: The goods of country A are transported to the market of country B for sale through the territory of country C. For country C, it is transit trade. Due to the hindering effect of transit trade on international trade, WTO member states do not engage in transit trade with each other.

Import trade and export trade refer to both parties in each transaction. For the seller, it is export trade, and for the buyer, it is import trade. In addition, when goods imported into the country are exported again, it is called re-export; when goods exported abroad are re-imported into the country, it is called re-import.

International trade can be divided according to the form of commodities

1. Visible Trade: the import and export of commodities in physical form. For example, machines, equipment, furniture, etc. are all commodities in physical form, and the import and export of these commodities is called tangible trade.

2. Invisible Trade: the import and export of technology and services without physical form. The transfer of patent rights, tourism, and the cross-border provision of services by financial and insurance companies are all commodities without physical form, and their import and export are called invisible trade.

According to the relationship between the producing country and the consuming country in trade, international trade (whether a third country participates) can be divided into

1. Direct Trade (Direct Trade): refers to the commodity producing country The act of buying and selling goods with the country where the goods are consumed does not go through a third country. The exporting country side of trade is called direct exports and the importing country side is called direct imports.

2 Indirect Trade (Indirect Trade) and Transit Trade (Transit Trade): refer to the behavior of commodity producing countries and commodity consuming countries buying and selling commodities through a third country. The producing country in indirect trade is called the indirect exporting country. , the consuming country is called the indirect importing country, while the third country is the re-export trading country, and the third country is engaged in re-export trade.

According to the trade content, it is divided into:

Service trade, processing trade, commodity trade, general trade.

According to the number of trade participating countries:

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Bilateral trade and multilateral trade

1. Bilateral trade refers to the trade between two countries on the basis of bilateral settlement through agreements. In this kind of trade, each party pays for one party's exports for the other party's imports. This method is mostly practiced in countries with foreign exchange controls. In addition, bilateral trade also generally refers to the trade between two countries.

2. Multilateral trade, also called multilateral trade, refers to the trade in which three or more countries conduct mutual transactions on the basis of multilateral settlement through agreements. Obviously, under the trend of economic globalization, multilateral trade has become more common.

Baidu Encyclopedia—International Trade