Buyers who have entered Korea usually buy used cars they prefer while touring auction houses or major trading complexes across the country, but some buyers are particularly residing near Songdo, Incheon or other export complexes, buying used cars that are stored in export complexes. After making a purchase reservation on the spot, pay the balance on the delivery date and confirm the purchase. 

 

There are not a few export brokers (brokers) who are not actual buyers and make profits by mediating transactions between buyers in their home countries and borrowers (exporters) in Songdo. In most of these on-site transactions (yard sales), payment is made in Korean won rather than foreign currency. Since the export declaration (issuance of license) is made in the name of the borrower, the exporter, it is common for the input VAT refund to also belong to the borrower (exporter). 

 

Libya, Egypt, Yemen,  Syria, Jordan, Saudi Arabia, and Palestine are examples of countries with a high rate of exports in the form of field transactions.

Since on-site transactions in export complexes are mainly in the form of indirect exports through intermediary brokers, there is a need for exporters to export directly to overseas buyers. The system that responds to these needs is the online export brokerage platform. When an advertisement is advertised on the export brokerage platform, overseas buyers search for the product and accept the proposed conditions, and the export contract is confirmed online. 

 

It can be very convenient for exporters as platform operators communicate and negotiate with overseas buyers online and offline, and deliver the final details to advertisers. 

 

However, since the usage fee is not so cheap and the situation continues to supply only vehicles with buyer information blocked, there are not a few disadvantages in the mid- to long-term for exporters who find fixed buyers.

 

Chile in South America is representative of regions with a high proportion of exports through online export brokerage, and Guatemala, Dominica (countries), Honduras, and Costa Rica in Central America are examples.

As with general industrial product export transactions, a transaction form in which a domestic exporter and an overseas importer directly negotiate and sign a contract to form a continuous transaction relationship to exchange the actual used car and transaction price._cc781905-5cde-3194-bb3b -136bad5cf58d_

 

From the perspective of an exporter, usually after securing a buyer and confirming the transaction conditions, export is carried out by receiving a used car that meets the conditions from an external partner, etc. also referred to.

 

In general, companies with a long history of exporting used cars and a business scale that is more than appropriate tend to become prime contractors. It does not seem that there is a separate exporting country with a high ratio of prime contracting transactions. However, in the case of exports to Russia or Kazakhstan, which have been active recently, some exporters maintain and manage relatively large-scale buyer networks while continuously arranging, purchasing, and supplying target vehicles, which seems to be similar to primary contract transactions.  

 

Some prime exporters, who have enough professional manpower and operational funds, build and operate overseas bases in the form of overseas branches in major export destination countries. Although it takes a considerable period of time to recover the export payment and the risk due to policy changes in the importing country is not small, it is a very difficult form, but it is known to have the advantage of being able to stably manage the number of exports and having a relatively high profit margin.