Question

You are a supply chain manager for a Haier Corporation, A Chinese company that makes

refrigerators. The company is moving some refrigerators from Mexico to Canada by truck. The
trucks will drive through America, but none of the refrigerator doors will be taken off the truck. You are told that Haier must pay $100 to drive the truck through America. This is an example of what?

a. Transportation tariff
b. export tariff
c. import tariff
d. ad valorem tariff
e. bribe payment

Answer 1

The $100 fee for transporting refrigerators through America by truck is a transit tariff, which is a charge for goods to pass through a country without being imported or exported.

Step-by-step explanation:

The payment of $100 for driving a truck through America, while not importing or exporting the refrigerators but merely transporting them through the country, is an example of a transit tariff. Transit tariffs are fees levied on goods passing through a country. In this scenario, the Haier Corporation, under the role of a supply chain manager, would be responsible for managing this cost as a part of the logistics involved in moving goods from Mexico to Canada. The situation described does not fit the characteristics of an export tariff, import tariff, ad valorem tariff, or a bribe payment, as the refrigerators are neither entering the consumer market nor leaving the exporting country for international sale while transiting through the US.