Trade Pack

SEALS will accompany you on your first steps towards overseas expansion and production transfer.

From legal compliance, equipment procurement, transport, installation and payment. The SEALS "Trade Pack" is a smart solution to complex relocation tasks.

Common concerns

  • Country-specific customs clearance and regulations are complex and cannot be dealt with
  • Cannot find local suppliers or logistics partners
  • Equipment procurement, relocation and installation is disjointed and inefficient
  • Concerns about managing foreign exchange and cash flow

Advancement Program

Together with major finance companies, we provide comprehensive support for transportation, permit acquisition, import/export, loading/ unloading, and tax and legal matters on the origin and destination sides, which require complicated export procedures, such as the start-up of new factories for overseas expansion or the relocation of equipment from Japan or third countries.
Advancement Program

Investment in New Equipment

Needs

Uneasiness

Infrequent overseas capital investment and uncertainty about export procedures, etc.

Capital

The parent company installs the equipment of the foreign subsidiary once and then resells it to the subsidiary.

Exporter

Equipment exports that are not their own products do not want to be exporters in terms of export controls.

Autonomy

We want to outsource our capital investment abroad in a hands-off manner.

Key points of this service

Outsourced supplier coordination and delivery coordination.

The parent company is removed from the commercial stream, thereby preserving funds for property purchases, eliminating parent-subsidiary transactions and transfer pricing risks.

Outsourced import location side permits.

Logistics costs can be optimised, purchase consumption tax burdens can be eliminated and human costs can be reduced.

Accumulation of know-how that is not influenced by internal personnel changes, etc.

Used Equipment Relocation

Needs

Export

Not aware of export procedures and trade control rules that are different from those for new equipment.

Import

Unsure of foreign import regulations/procedures.

Program

Unable to produce a comprehensive delivery schedule (man-hours) list. Or uncertain.

Price

It is unclear how much a property with no book value should be sold for to a foreign subsidiary.

Knowledge

In the first place, they thought it was impossible to introduce second-hand products abroad.

Experience

Have handled and caused accidents in-house in the past.

Key points of this service

Objectivity is increased by SEALS buying the property at the price at which it was assessed.

The property price is paid to the parent company with VAT.

Outsourcing of importing-ground-side permits and pre-shipment inspections.

Logistics costs can be optimised, purchase consumption tax burdens can be eliminated and human costs can be reduced.

Accumulation of know-how that is not influenced by internal personnel changes, etc.

Production Transfer Program

When relocating production facilities due to the reorganisation of overseas production bases or closing down domestic or overseas plants, you can outsource withdrawal and trade operations, mainly movable assets such as the sale or disposal of equipment.
Production Transfer Program

Needs

  • The local subsidiary is too busy with withdrawal operations to relocate and dispose of equipment, and wants to reduce the burden on the local subsidiary.
  • A single point of contact is requested for relocation, sale, and disposal.
  • The transfer of idle machines between overseas subsidiaries is planned; however, the procedures for importing/exporting used machines and the points of sale are unclear.

Key points of this service

The following procedures for the transfer of idle assets within the group can be outsourced with ONE STOP.

Centralised management of equipment from loading to unloading, both domestically and internationally.

Support for obtaining permits and approvals, including applications for import licences for used equipment, pre-shipment inspections and duty-free applications on behalf of China, Indonesia, Thailand, Vietnam and other countries.

Assessing the present value of equipment can lead to reduced transfer pricing taxation problems and objective transactions.

Support on Japan EL (export licence application) and US EAR (US re-export controls).

Improved cash flow from finance services.

Glossary

Determination of Applicability
The relevant determination is to determine whether the goods or technology to be exported or provided to non-residents fall under the list regulations of the Foreign Exchange and Foreign Trade Act (abbreviated as the Foreign Exchange and Foreign Trade Act).
SEALS provides the service of preparing the relevant determination documents required for export. For machine tools, SEALS uses a laser measuring instrument to measure the accuracy and issues a certificate of compliance.
Application for export licence (EL application), application for service licence
Before exporting or providing goods or technology that fall under the list regulations of the Foreign Exchange and Foreign Trade Act (abbreviated as the Foreign Exchange and Foreign Trade Act) to non-residents, an application must be made to the Ministry of Economy, Trade and Industry (METI) and a permit obtained. Exporting or providing technology without obtaining a permit is a violation of the Foreign Exchange and Foreign Trade Act and is subject to criminal penalties, administrative sanctions and social sanctions.
SEALS provides support for applying for export and service transaction permits to the Ministry of Economy, Trade and Industry on your behalf.
Transfer pricing taxation system
  • Intended purpose: The tax system aims to regulate tax avoidance through manipulation of transaction prices with foreign subsidiaries.
  • Tax may be levied even if unintentional.
  • There is a risk of taxation in each country where the foreign subsidiary is located, rather than in one country only.
Price assessment of used equipment

Used equipment price assessments using the following method by a third party can be expected to have the effect of adding objectivity to used equipment sale and purchase prices.

  • Sales comparison approach calculation method
  • Income approach calculation method
  • Cost approach calculation method

Resale and re-export of EL property and export restrictions in country of origin
  • Prior consultation and application to the Ministry of Economy, Trade and Industry (METI) is required when reselling or re-exporting property for which an export licence application (EL application) has been submitted to METI.
  • US products require EAR (US re-export regulations) compliance.