A free trade zone is a type of Special Economic Zone (SEZ), which refers to an economic zone that is exempt from trade-related charges such as duties and taxes.
In these regions, goods manufactured, stored and handled are subject to different customspreferences. They often receive relief and incentives to encourage investment.
Here is the OECD definition of a free trade area:
"Countries that generally remove tariff and non-tariff trade barriers among member countries but have no common trade policy for non-member countries"
-Organisation for Economic Co-operation and Development (OECD)
The benefits of a free trade zone include:
Promote trade and business opportunities
Reduce logistics costs
Reduce red tape and bureaucracy
Increase foreign exchange earnings
Create job opportunies
Attract investment
History of Free Trade Zones
To understand the history of free trade zones, we must look at the general category: Special Economic Zones (SEZs).
There are many different variations of the term SEZ. But they are all built for the same purpose.
The first SEZs are simply called "free zones" and are designated areas, usually adjacent to seaports, airports or between two or more countries. These started in the 1960s and started growing exponentially in the 1980s.
Today, there are more than 5,400 SEZs around the world. Of these, 1,000 were established within the past five years. Experts expect more than 500 new special economic zones to be established in the next few years.
North American Free Trade Agreement (NAFTA)
EU single market
African Continental Free Trade Area (AfCFTA)
Association of Southeast Asian Nations Free Trade Area (AFTA)
China Golden Week: How logistics came to a standstill
What is China Golden Week?
As one of the largest and most important markets in the world, China's logisticsinfrastructure is under enormous pressure to maintain a certain level of productivity and efficiency to keep global supply chains functioning and stable.
From factories and warehouses to ports, docks and more, Chinese workers in all logisticsindustries work long hours throughout the year to ensure the maintenance of global supply networks.
But twice a year, the world's largest exporter allows itself a break.
Known in China as Golden Week, the country has two such week-long respites - once every six months.
The first, known as the Lunar New Year Golden Week, is in January/February at the beginning of the year, giving people time to celebrate the Lunar New Year.
The second, National Day Golden Week, is part of the country’s National Day celebrations and takes place in October – right in the middle of the peak shippingseason.
Given China's impact on global markets and world trade, the week-long - albeit expected - lull threatens to disrupt global supply chain operations, ripple effects and logistical delays.
In this article, we will focus on the National Day Golden Week in October. But to understand how China's National Day Golden Week affects logistics, we must first dive into some basic facts about the holiday.
When is China's National Golden Week?
China's National Golden Week is held every year in the first week of October to celebrate the founding of the People's Republic of China.
Golden Week 2022 will run from October 1st to October 7th.
Demand for Chinese exports soared in the weeks leading up to China's Golden Week as companies tried to get their exports out before operations in the country shut down completely.
In response to the lack of activity, shipping lines often announce service cuts.
At the time of writing, two major shipping alliances have announced cuts to 15 weekly sailings from Asia to North America:
Nine o'clock to the west coast
Four to the east coast
Two go to the gulf coast
Even after Golden Week, capacity and personnel tend to remain limited, and production may slowly pick up. Carriers may also continue to cancel sailings in the coming weeks.
That said, failing to get your goods in and out of China ahead of the festivities can have dire consequences, as Golden Week delays can sometimes stretch for months.
For businesses, this can translate into potential contract breaches, accumulated delay charges, low sales figures, and more.
High demand and low availability
Demand for Chinese exports surged in the weeks leading up to the start of Golden Week.
That's in anticipation of the shutdown, as businesses importing from China try to get a spot on outgoing ships to ensure their goods leave the world's largest exporter before production halts.
In response to this growing demand, shipping lines have increased spot rates. Spot freightrates from China to the North American West Coast were at their highest level in two months as of early September.
Amid this boom, the industry is also facing shortages of containers, slots, truckers and everything in between. Shippers should be prepared to go the extra mile to ensure not only a slot on a container ship, but also cover for the equipment they need for transportation.
In addition to the standard General Rate Increase (GRI), there are other surcharges to consider.
Given the higher demand for Chinese exports compared to Chinese imports, there is often an urgent need to return containers to terminals to manage demand in Chinese ports.
At this point, carriers began implementing surcharges such as equipment imbalance surcharge (EIS) to compensate for the cost of returning empty containers to Chinese ports to meet export demand.
Spain has long been synonymous with efficient and vast maritime trade, an association that has historically brought prosperity to European nations. With well-maintained ports and continued growth in technology, equipment and expertise, Spanish ports will continue to be key to trade, partnerships and economic growth in the region.
Here are five top ports in the country that continue to make Spain a force to be reckoned with in the region:
1. Port of Algeciras
Algeciras is one of the largest ports in Spain. The port, like its sister port, sits on the 5,000 km coastline of the Spanish country. Although it is the largest port in Spain, it is the third largest port in the Mediterranean. Globally, it is the ninth largest.
Located in Andalusia, in the province of Cadiz, the port is a center for the tobacco, fishing, agriculture and oil trade. It is estimated that up to 70 million tons of freight are handled annually. As the largest city in the Gulf of Gilbrata, the city of Algeciras is strongly supported by the port trade. The three areas where the Port of Algeciras competes most with other large European ports are transshipment, cargo and containers.
From January 2019, general cargo throughput at the port increased by 6.4%, with the port handling 92 million tons of cargo. This number is up 3% from 2018. The port also houses ro-ro and unloading services, a fishing fleet, cruise ships and fuel handling facilities.
2. Port of Valencia
The fifth busiest port in Europe is also the second largest in Spain: the Port of Valencia. The size of the port is impressive, with an annual cargo volume of 57 million tons. Annual container volume was 4.2 million TEUs in 2010, and this number has grown over the past decade.
Operated by the Port of Valencia Authority, it can accommodate vessels up to 500 feet long and is a port of call for ship repairs. The port offers two berthing surfaces and facilities such as VIP lounges, duty-free shops, personal assistance for travelers in need, public transportconnections and a tourist information office.
The Port of Valencia also distributes cargo to North Africa and the European Union, with a radius of more than 2000 km.
3. Port of Barcelona
Barcelona is located on the northeastern coast of Spain, in the country's Catalonia province. The port has been around for over 2,000 years and is still going strong in terms of trade and port services. The port is an excellent partner for major European ports on the Mediterranean coast.
The Port of Barcelona experienced almost 3 million TEUs in 2017, with around 4 million passengers in the same period. Traffic flowing into the cruise portion of the port in 2019 added even more revenue following a €2 million renovation project to the port.
Compared to other ports, this port is closer to tourist areas, and they use these tourist attractions to build their portfolio in the cruise market. In terms of trade, the port's proximity to France makes it an important gateway for international trade.
The Port of Barcelona is divided into a commercial port, an old port and a logistics port. It also has a free trade zone.
4. Port of Bilbao
This port is located in Bilbao Abra Bay in the Basque Country, also known as the outer port. The port has been popular since the Middle Ages and is associated with the steel trade of the time.
Bilbao developed into a gateway to the Euro-Atlantic trade route. It has become the premier port for trade with Britain. As an important logistics player in trade along the Atlantic Corridor, the port has established infrastructure in dry ports and other logisticsareas.
The cruise ship footprint at the Port of Bilbao is smaller, as they are still developing this side of the port business. Still, they saw 80,000 passengers from 58 cruise ships in their ports.
The Port of Bilbao is closely related to the economic growth of the Vizcaya region. Locals rely on the port for transportation, tourism, engineering, ship repair, and other income-generating activities.
5. Port of Castellon
Located in the city of Castellon de la Plana, this port is the youngest compared to other major ports in Spain, but the number is impressive. It is a logisticsport with an average growth rate five times that of other ports of similar size in Spain. It is the leadinglogistics service provider for the local economy of Castellon, with a freightcapacity of more than 20 million tons in 2018.
Castellón is a well-known area, known for the production of ceramics by the city's tile factories. The Port of Castellón is responsible for shipping 95% of ceramic exports from Spain to the rest of the world. The area is also home to the only oil refinery in the Valencia region, so it also handles and transports large quantities of refined and unrefined petroleum products as well as chemicals.
India is one of the largest maritime countries in the world, with more than 7,500 kilometers of coastline. The country's freight capacity has grown by more than 600 metric tons over the past few years and is expected to continue to grow in the years to come.
If you've been thinking about shippingto India, now is a good time to start. Still, you might be a little confused about how to ship your products to India and make sure everything is handled the right way.
If this happens to you, keep reading.
1. Preparation is key
It doesn't matter where you plan to ship the goods. If you want to make sure everything is intact and without any unnecessary obstacles, you need to make sure to prepare beforehand.
When preparing to ship your goods to India, you need to take some special steps, including the following:
Know where you're shippingyour goods and make sure you have the correct details about your contacts at that location
Correctly spell the consignee's name when filling out shipping documents, and ensure that the consignee's address, phone number, and other contact information are correct
Make sure all your items are properly packaged
Make sure everything is listed on your invoice before you ship the goods out
A little preparation and planning goes a long way, especially when you're shipping items overseas.
One of the most important shipping documents you need to complete is the customsdocuments associated with your shipment. Incorrect or incomplete customsdocumentation is a recipe for disaster, no matter how big or small your shipment is.
If you work with a professional shippingcompany, they will likely provide you with all the paperwork you need. However, be sure to check beforehand that you have filled out everything accurately. This will save you a lot of trouble later.
3. Prohibited and restricted items
Another way to avoid unnecessary and expensive shipping and prevent your shipments from being held up at customs is to make sure you have a thorough understanding of what items are prohibited and restricted.
Each country has its own rules on what can and cannot be brought into the country, and you need to know these before shipping anything.
4. Food Transportation Rules
You can ship food to India. However, you must take special measures when packing and preparing these items, including the following:
Food should be in original packaging
Packaging must be sealed
Labels must list all ingredients in the food
The shelf life of the food should be at least six months (from the date of shipment)
5. Costly mistakes to avoid
If you make certain mistakes during shipping, your company could end up losing a lot of money. Here are some of the most common (and costly) mistakes people make when shipping to India:
Spelling mistake
Incorrect address or contact information
Failure to complete necessary customs paperwork
Do not work with professional shipping companies
You might think it's in your best interest to avoid spending extra money working with a shipping company. If you've never shipped your goods overseas or to places like India before, it pays to have a professional (or team of professionals) at your corner. Like TJ chinafreight, they will give you the help you need to make sure everything goes smoothly.
A country's exports are better understood when you can see the overall economy's exports. In this article, we will examine the top five export products from India and the current market conditions for each export category.
As a member of the Brazil, Russia, India and China (BRIC) economies, India is emerging as a significant player in the global and national markets. It is currently the 17th largest exporting economy in the world. This status gives India the foothold it needs to remain competitive in international trade.
India's exports have seen impressive growth over the past five years - an annual rate of 1.2% - which created a negative trade balance of $125B in 2017. According to the OEC, India's Gross Domestic Product (GDP) is $2,6T while GDP per capita in 2017 was $7,06K.
What does India export?
India's main exports (currency shown in US dollars) include:
Refined Petroleum ($30.2B)
Diamond ($26.5B)
Packaged Drugs ($13.2B)
Jewelry {$8.66B)
Rice ($7.05B)
As you can see, refined oil accounts for a large portion of India's main exports. In fact, it accounted for 10.3% of the country's total exports, closely followed by diamonds at 9.1%.
Some thoughts and reflections on India's main exports
Many initiatives are aimed at increasing India's major exports and major imports. Government efforts, planning and strategies have largely contributed directly to overall growth, and the world has taken note of India as a true economic powerhouse.
Government benefits include export programs, financial assistance and other state-mandated benefits provided by the Indian government to its economy. So far, everything is heading in the right direction, including increasing exports for the foreseeable future.
Although India is one of the largest economies in the world, it is interesting that the government has created an economic platform that encourages progress in India. Away from the country's developing external environment, India is using its unique market position to compete in a rapidly globalized network of global exporters.
All in all, India also has a robust economic approach to responding to unexpected external forces. Its main exports are viable, limited natural resources, or they align with current demand for retail products around the world. In short, India's efforts to actively manage its imports and exports are paying off, making it a smart choice for international business.
Despite the current uncertainty surrounding the trade relationship between the U.S. and China, the Asian giant remains the largest importer of U.S. goods on the other side of the Pacific.
China accounts for 11% of total U.S. exports.
That may not seem like much, but it's certainly impressive considering its neighbors Japan and South Korea account for only 5.3% and 3.9% of U.S. exports, respectively - their combined share is still lower than China's share.
The product categories that the U.S. exports the most to China include transportation (21 percent), machinery (19 percent), and vegetable products (11 percent). Here's a breakdown of each category.
Tips for Shipping to China
As a booming economy, China certainly has many business opportunities. However, there are certain aspects of shippingto China that you should keep in mind to ensure a seamless shipping process.
1. Keep abreast of trade war developments
As the U.S.-China trade war continues and signs of volatility in its outcome, it's important to keep an eye on the news. This will allow you to anticipate any increases in responsibilities and better prepare you for them.
The tit-for-tat tariff increase is a problem for shippers on both sides. Even though the tariff hike may not target the products you're shippingto China, and it won't directly affect you, it may affect shipping capacity and rates, which can directly affect your supply chain.
2. Check your calendar
If you are an inexperienced shipper, it may interest you that for two full weeks throughout the calendar year, port and logistics activity in China is almost completely stopped.
These are called Golden Weeks. The first occurs at the beginning of the year, usually in January or February, to celebrate the Lunar New Year. The second Golden Week commemorates China's National Day and takes place in the first week of October.
During this period, it is not possible to transport goods into or out of the country. Note that the weeks around Golden Week could also be problematic due to the import and export boom before the country shut down, and the time it would take to recover once operations resume.
3. Familiar with special economic zones
China currently has 12 Special Economic Zones (SEZs) that U.S. exporters should take advantage of if they are not already doing so, as doing business in China can be particularly complex.
These special zones allow goods to be processed (stored, manufactured, re-exported) without paying import duties and taxes and are part of the reforms set up by the Chinese government to open up the Chinese economy. It also speeds up the customs clearance process, adding more flexibility to your supply chain.
In addition, these SEZs are mostly located along the coast to facilitate the movement of goods in and out of China's many shippingports.
Trying to navigate China's importregulations can be very frustrating, especially if you're not familiar with the language. It also doesn't help that the information can be very contradictory depending on where you get it from.
To avoid complications, we recommend that you always book your ocean freight servicesto China with a reputable forwarderwho has extensive experience and a proven track record on the specific route you are interested in.
Not only will they be able to properly guide you through China-specific importregulations, but they can also advise you on prohibited items and help you with the paperwork you need to avoid customs issues.
5. Check if your shipment needs CCC
The China Compulsory Certification (CCC) mark, as the name suggests, is a compulsory certification for more than 132 products (including auto parts, medical equipment, electrical equipment, etc.) imported into China.
The CCC mark is China's quality control method, and it is estimated that one-fifth of US exports to China require the CCC mark. Any lack of the CCC mark may result in the goods being held by customs or returned to the shipper at origin and subject to heavy fines.
Before exporting, please make an effort to check whether your goods require CCC. Please note that applications for the CCC mark may take up to 90 days or more to process.
Also, always keep in mind that no matter where you're shippingto, there are certain steps you absolutely must take if you're dealing with hazardous materials.
As one of the most important emerging markets in the world, opportunities to do business with India abound.
Imported from India: Top products imported by global buyers
In 2017, the South Asian country exported $292 billion worth of goods, with chemicals, precious metals and textiles being its top three exports. These goods accounted for 14%, 13% and 13% of India's imports, respectively, and 40% of all imports.
Tips to help you import from India to the US
The potential to do business, grow and scale in India is certainly something American buyers are not only aware of, but also capitalizing on.
The United States is currently India's largest trading partner, with some $51.6 billion worth of Indian exports being sold to the United States across nearly half the world. This accounted for 16% of India's total exports, more than the combined value of goods exported to India's second and third largest trading partners, the United Arab Emirates (9%) and China (5.1%), respectively.
Among India's imports to the US, chemicals, precious metals and textiles accounted for more than half of the total value of India's importsto the US, respectively 20%, 19% and 16%.
As a shipper looking to importfrom India, here are five things to know.
1. Familiarize yourself with "interstate taxes"
The Indian government imposes so-called "interstate taxes" on goods shipped from one state to another (there are 29 states in India). So, if your cargo needs to be transported from the hinterland to the port, keep in mind that interstate taxes will apply.
Whether this will be borne by you or the shipper will depend on the Incoterm selected.
2. Review your suppliers
While unreliable suppliers from anywhere in the world are often encountered, India has a reputation for questionable business ethics. When choosing a supplier from India, it doesn't hurt to go the extra mile to vet them.
You can do this by calling them instead of dealing with them via email. You may also want to consider traveling there yourself if your business expenses allow it. Requesting product samples is also a great way to ensure you are dealing with a reliable supplier.
3. Take advantage of its low manufacturing costs
Due to the relatively low cost of manufacturing in India, you may want to consider sourcing more from India rather than other manufacturers or sellers closer to home.
Even accounting for shippingcosts, the total cost of importing from India to the U.S. may still be lower than producing the product domestically.
4. Book your shipment in advance and ship it by rail if possible
Logistics in India can be a nightmare. This is thanks to traffic congestion in Mumbai, home to the country's largest port, Jawaharlal Nehru Port. It is not uncommon for trucks to fail to reach the port in time due to traffic jams.
As a workaround, you should always book shipments at least two weeks in advance. If ground transportation is required, consider choosing rail instead of truck to avoid road congestion.
5. Language is not a barrier
Shippers looking to importfrom India will be happy to know that although Hindi is the most widely spoken language in the country, English is generally considered the language in which business transactions are conducted in India.
This will help facilitate communication and avoid misunderstandings.
The UK is the world's fifth largest economy and tenth largest exporting economy and has a lot to offer.
The country's latest trade figures show that UK merchandise exports rose by around $5.57 billion in the third quarter of 2019 to $116 billion, up 5% from the previous quarter. GDP growth also rebounded slightly to 0.3% in the third quarter from a contraction of 0.2% in the second quarter.
With such potential, the UK remains an attractive trading market. Here's what you need to know if you want to import from the UK.
Imported from the UK: Top products imported by global buyers
Machinery, transport and chemicals are the top three UK imports. They account for 21%, 18% and 15% of UK importsrespectively, and more than half of all imports.
Tips to help you import from the UK to the US
The US is the largest importer of UK products, with imports totalling $45.2 billion in 2017. As with overall exports, the top three product categories that most U.S. buyers import from the U.K. are transportation (26%), machinery (19%), and chemicals (18%).
Given the high demand for UK products in the US, it is important to understand how to handle and process products imported from the UK into the US.
Whether you're an experienced shipper or not, here are four things to keep in mind when importing from the UK to the US.
1. Correctly obtain the tariff code
The UK uses six-digit tariff codes, also known as commodity codes or HS (Harmonized System) codes, to classify its goods. Note that this is different from the US, which uses a more specific variant of the HS code, commonly known as the HTS (Harmonized Tariff Schedule) code.
HS codes or HTS codes, these codes classify goods into different categories upon which import duties and taxes are calculated.
The cargo code used on the import document must match the importing country's cargo code. Therefore, if you are importing from the UK to the US, you must list the corresponding HTS code of seven to ten digits. To find HTS codes, visit the US International Trade Commission's website.
2. Book your shipment at least two weeks in advance to avoid trucking issues in both countries
Both the UK and the US are currently facing trucking shortages. While the U.S. continues to adapt to ELD mandates, the situation appears to be improving. Cargopressure has eased since the slump in the first half of 2018.
On the other hand, the situation is expected to worsen after Brexit. Its trucking industry relies heavily on drivers from Eastern Europe, and leaving the European Union means cutting off access for those drivers. Experts say this will lead to increased costs, delays and reduced flexibility.
To prepare, shippers should consider booking shipments at least two or even three weeks in advance to avoid potential delays and problems.
3. Obtain proper legal advice before contracting with your UK exporter
To avoid complications, it is important to understand the rules and regulations of your importing country. This is no different from importing from the UK. While language and communication are not an issue, there may still be bureaucratic barriers and country-specific administrative issues that could hinder imports from the UK.
Before entering into a contract with your UK seller, make sure to have your agreement reviewed by a lawyer familiar with UK and US law.
Below is a list of UK lawyers based in the US published by the UK government. The US embassy in the UK also has its list of US lawyers in the UK.
Value Added Tax (VAT) is a sales tax that applies to goods and services sold within the European Union. VAT should not be levied on exports to countries outside the EU.
That said, make sure your seller doesn't charge you VAT when importing from the UK. Check your commercial invoice, which should reflect the price and shipping costs of your imported goods. Based on these numbers, U.S. Customswill determine the import duties and taxes due.
What are Australia's main import and export commodities?
According to the Economic Complexity Index (ECI), Australia exports $234 billion in goods, making it the 20th largest exporting economy in the world. As a desert continent, Australia relies heavily on the coastal economy as a source of income to maintain its population.
Australia is also regarded by ECI as the world's 22nd largest importer, with total annual imports of $199 billion. However, this figure is the result of a steady decline in imports over the past five years. In terms of wealth per capita, Australia is the second richest country after Switzerland.
What does Australia export?
Australia's main export is iron ore, followed by coal, gold and oil, the other most valuable exports. These exports alone amounted to $48.2 billion, $47 billion, $29.1 billion and $20.3 billion, respectively. Of course, the country also ships other notable items, including food, wine, and cars.
What does Australia import?
In 2018, Australia imported about $227.3 billion worth of goods from around the world. The country's imports account for only 1.3 percent of total global imports, estimated at around $17.788 trillion. Oil and crude oil and cars appear to be Australia's main imports.
Australia's largest importsalone were valued at about $187.5 billion, equivalent to 82.5% of its total imports. Other notable growth in Australia's imports include furniture, bedding, lighting, signage, prefabricated buildings, plastics and plastic products.
Australia is known for its uninterrupted annual economic growth, growing steadily at around 3% per year. Its strong economy is largely due to deep trade ties with the Asian region and its largest iron ore export, accounting for more than 30% of the world's iron ore supply.
As one of the most prosperous countries in the world, Canada has excellent trade relations with the United States, South and Central American countries and Europe, which are Canada's bilateral trading partners.
Historically, Canada has relied heavily on trade and commerce to grow its economy, exporting large quantities of raw materials, including animal skins, fish, lumber and grain. But over time, they have shifted from reliance on raw material exports to exporting more manufactured and processed goods that can bring in better income because they are more expensive.
Main export
Car
Canada is one of the world's top four auto exporters after Germany, Japan and the United States. As the ninth largest auto producer in the world, the country has a huge advantage in exporting vehicles to multiple markets. Canada's auto industry has many assembly plants where foreign automakers assemble vehicles, with the biggest customers being Japanese and U.S. brands.
The country also has hundreds of companies and factories that manufacture automotive systems and components, creating a favorable environment for the development of the automotive manufacturing and assembly industry. In fact, it is because of this that automobile assembly and manufacturing are the industrial backbone of the nation's economy. It accounts for 23% of Canada's trade with other countries.
Canada produces all types of vehicles, from trucks and passenger cars to buses and the supporting systems and parts required.
Minerals
Canada exports three minerals: precious metals such as gold, platinum, diamonds and silver; energy minerals such as coal and uranium; base metals such as copper, nickel, zinc, iron and lead; and industrial minerals such as gypsum, limestone, potash and rock salt.
Canada is located on nearly 10 million kilometers of land and has six distinct geological regions. The Canadian continental shelf is the source of the country's oil and natural gas. These metals are mainly found in the central and western regions of the country that make up the Canadian Shield. The area has the potential to discover more deposits. The Appalachian region has deposits of potash, gypsum, asbestos lead, zinc, and salt. More gypsum, limestone and rock salt have been found in the Inuit orogenic belt in the Arctic archipelago. The Canadian mountains produce more precious and base metals, which the country exports, and internal platforms increase reserves of potash, natural gas, oil and coal.
With all these deposits, Canada is a major exporter and overall producer of potash, the largest exporter of uranium, the second largest exporter of asbestos and sulfur, and the third largest exporter of platinum group metals. They are the fourth largest aluminum producer and the fifth largest exporter of gold, silver, copper and lead. 90% of the country's minerals are exported.
Crude
Canada is a major foreign supplier of U.S. crude oil, exporting 48% of U.S. crude oil importsin 2018. The country exports 96 percent of its crude oil to its neighbors, totaling 3.5 million barrels of oil per day.
Canada's Alberta oil sands hold the country's oil reserves, with even more reserves on its Atlantic coast. The country is the world's third-largest crude oil producer and exporter after Venezuela and Saudi Arabia. They invest in the exploration, production and processing of petroleum with domestic and international consumption implications.
Wood
Softwoods account for 20 percent of the country's total exports. Their forest products generate $17 billion worth of revenue, particularly from newsprint, northern bleached softwood kraft pulp and softwood lumber. Canada dominates the market share of these products and is the largest producer and exporter of the three. Although the decline in newspaper sales in North America has led to reduced demand for newsprint, the country still enjoys demand from other emerging markets in Asia and the rest of the world.
The United States, China and Japan are major importers of Canadian lumber for use in the construction industry in these countries.
Canada, the second-largest auto market in North America, saw its auto industry-related imports increase by 1% in 2018. They importcars worth $74 billion, with passenger cars the most. As the country is upgrading its road transport system, the country also imports trucks, buses and other vehicles for transport.
Canada's main exporter is the United States, which provides more than 65 percent of the country's auto imports. Auto parts and systems cost Canada $20 billion in 2018. Importing from the U.S. is easier for Canada because the two countries have very coordinated road safety regulations for their vehicles.
Computer machinery
In Canada, computers are key components that drive machinery. They importa lot of computer machines as the country is highly automated and computerized in key areas that drive the economy. Machinery is the key to technology, and as a first world country, Canada relies heavily on technology.
These computers are also widely used by Canadians to run businesses. The country's importsof computer mechanical and optical readers increased by 8.7 units in 2018.
