Why does any country import and export the same product? e.g. china imports and exports steel.?

Answer 1

The US does the same thing. Most US steel producers have deemed certain products (read: products that have a smaller market that makes mass production unfeasible) to be unprofitable to produce therefore we import them. Floor plate (diamond plate) and stainless steel structural shapes are mostly imported. The auto industry had pretty much the same perspective, deciding that small cars were sold at slim profit margin or loss; they decided that they would concentrate on the larger car market/trucks/suv's and let the imports cover the small car sector.

Answer 2

1. Different grades of the commodity.
2. Differences in prices for the quantities imported and exported (the first 100 tons may be cheaper to import, or more profitable to export but the next 100 tons may cause a shift in the supply/demand equilibrium resulting in poor prices).
3. Quotas limiting the amount that can be imported/exported resulting in weird price situations.

Answer 3

this relies upon on even if the coolest is homogeneous or no longer. and likewise on even if the authorities has cost lists or subsidies. us of a does no longer import coal from overseas and likewise export relatives coal as there's a unmarried global cost and the further shipping expenses would make little sense. yet us of a does import and export vehicles as there is sufficient of a distinction between a Honda and a Hummer for customers to care, compared to a ton of chinese language coal or a ton of Illinois coal. As to price lists and subsidies, they could artificially impression markets and could lead on on to the potential absurd idea of a united states both importing and exporting same products.

Answer 4

the answer to almost any question about a country or a state that seem illogical like that always comes down to one thing....MONEY. someone is making money exporting it while someone else obviously makes money importing it. my mom works for the state and this kinda thing happens every day and it bugs me like crazy.