Trade War Creates Flourishing Transshipment Market for Chinese Products

Trade War Creates Flourishing Transshipment Market for Chinese Products
Driverless trucks transferring containers at an automated cargo wharf in Qingdao City, Shandong Province, China, on Oct. 24, 2018. STR/AFP/Getty Images
Nicole Hao
Updated:

Because of the Sino–U.S. trade war, large amounts of Chinese products are being transshipped to intermediate destinations before being exported to the United States, in order to avoid high tariffs imposed by Washington.

Transshipping products via countries such as Malaysia, the Philippines, or Thailand mean double costs, but that’s still much lower than the penalties associated with the tariffs themselves.

Nicole Hao
Nicole Hao
Author
Nicole Hao is a Washington-based reporter focused on China-related topics. Before joining the Epoch Media Group in July 2009, she worked as a global product manager for a railway business in Paris, France.
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