Home » Trade Basics » What are the core stages of export return agency services? How to mitigate cross-border return risks?

What basic processes does export return agency need to handle?

Professional export return agency services includefour core stages:

Customs declaration system integration
- Handling the customs code classification for returned goods
- Preparing a return declaration that meets the requirements of the exporting country
- Coordinating two-way customs clearance for import/export
Goods quality verification procedure
- Entrusting a third-party inspection agency for damage assessment
- Issuing an internationally recognized inspection report (must comply with ISO 2859 sampling standard)
Tax compliance handling
- Original?Tax Refund?'s recovery or deduction handling
- Compliant declaration of cross-border value-added tax (VAT)
Reverse logistics operations
- Arranging for return shipment insurance
- Choosing a compliant transport method for the return shipment (pay special attention to restrictions on dangerous goods transport)

What are the corresponding handling plans for different return reasons?

Based on the latest international trade cases in 2025, we recommend the following handling methods:

Return due to non-conforming quality
- Prioritize negotiating for on-site destruction (requires environmental permission from the importing country)
- Return to the factory for repair requires proof of the repair value (usually requires the repair cost to be ≤ 30% of the goods' value)
Return due to logistics damage
- A confirmation letter for the transport insurance claim must be obtained
- The return shipment packaging must comply with the ISTA 3E test standard
Return due to order cancellation
- It is recommended to re-export to a third country for sale (must comply with the rules of origin)
- Bonded warehousing solution (can be stored for up to 5 years)

When choosing a service provider, focus on verifying the following qualifications:

Customs AEO certification(Priority given to Advanced Certification Enterprises)
International freight forwarding qualification(a FIATA member unit is better)
Having handled in the last three yearsreturn cases for similar productsno less than 20 cases
The shipper with theMultilingual contract handling capability(especially for countries with minor languages)

In addition to the explicit service fee, special attention should be paid to:

Customs late declaration fee(accumulated at 0.5‰ of the cargo value per day)
Special goods disposal fee(e.g., a destruction fee for food)
Fee for responding to technical trade measures(e.g., compliance costs for the EU REACH regulation)
Foreign exchange verification handling fee(incurred when the foreign exchange is returned via the original route)

According to the latest data from 2025:

The average handling period for EU countries is 45-60 days (requires completion of EPR registration)
Goods regulated by the US FDA require an additional 30-day inspection period
South American countries generally have a handling period of over 90 days (Brazil's INMETRO certification is the most complex)
The impact of religious holidays in Middle Eastern countries is significant (the annual effective operating period is about 270 days)

It is recommended to specify in the trade contract:

Set aquality dispute period(usually not exceeding 30 days after arrival at the port)
AgreementThird-party inspection agency(e.g., SGS, BV, etc.)
SpecifyReturn shipment responsibility sharing ratio
stipulateA case of a tax rebate dispute caused by an oral agreement of a certain electromechanical enterprise in 2024 shows that when there is a lack of a written agreement, the tax authorities may identify the actual owner of the goods as the declaration entity.(prioritize choosing the Singapore International Arbitration Centre)

For RCEP member countries and the African market: