IDP Cargo

Small- to medium-sized businesses often encounter a maze of non-tariff barriers that can obstruct their path to success. These hurdles, as outlined in the 2022 National Trade Estimate Report from the USTR, encompass a wide range of challenges. In this article, we will delve into these 14 types of non-tariff barriers that businesses face on their international trade journey, breaking them down with real-world examples and practical insights.

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  1. Import Policies:

    Import policies are like the gatekeepers of international trade. They encompass tariffs, import charges, quantitative restrictions, import licensing, customs barriers, and other market-access barriers.

    Example: Imagine a small American clothing retailer trying to expand into a new market overseas. They find themselves facing hefty import tariffs and complex customs procedures, which make their products less competitive in the local market.

  2. Technical Barriers:

    Navigating technical standards, regulations, and labeling requirements in foreign markets can be a daunting task. These unnecessarily restrictive or discriminatory standards can become roadblocks for your business.

    Example: An American tech company wants to sell electronic gadgets abroad but discovers that the foreign country has strict technical regulations on electromagnetic radiation emissions that their products do not meet. This causes delays and compliance costs.


  3. Sanitary and Phytosanitary Measures:

    Safety is paramount, but when regulations meant to protect food, animal and plant life or health become overly restrictive or lack scientific basis, businesses suffer.

    Example: A U.S. agricultural exporter faces difficulties when the importing country imposes overly stringent pesticide residue limits on their produce, which are scientifically proven to be safe.


  4. Government Procurement:

    “Buy national” policies and closed bidding can limit foreign businesses’ access to government contracts, hindering their expansion into new markets.

    Example: An American construction company wants to participate in a foreign government’s infrastructure project, but the project is open only to local firms, stifling opportunities for international businesses.


  5. Intellectual Property Protection:

    Inadequate patent, copyright, trademark regulations, trade secret theft, and weak enforcement of intellectual property rights can lead to potential losses.

    Example: A tech startup encounters challenges when a foreign competitor copies its innovative product, benefiting from weak copyright laws in the target market.


  6. Services Barriers:

    Restrictions on the range of services offered by foreign institutions, data processing, and barriers to foreign professionals can curtail the growth of international service providers.

    Example: An American IT services company faces restrictions on hiring foreign professionals to work on overseas projects, limiting their ability to deliver services effectively.


  7. Digital Trade Barriers:

    The digital age brings its own challenges, such as restrictions on cross-border data flows, digital products, internet-enabled services, and technology requirements that hinder trade.

    Example: An e-commerce business faces issues when a foreign country imposes data localization requirements, forcing them to set up costly local servers.


  8. Investment Barriers:

    Foreign ownership limits and restrictions on access to government-funded R&D programs, technology transfer requirements, and repatriation of earnings can impede investment in foreign markets.

    Example: An American biotech firm encounters barriers when trying to invest in a foreign market due to stringent restrictions on repatriating profits.


  9. Export Subsidies:

    Export subsidies tied to performance and agricultural subsidies can displace U.S. exports, and local content subsidies can favor domestic goods.

    Example: U.S. steel producers face stiff competition from foreign steel companies benefitting from government subsidies, leading to market distortions.


  10. Anticompetitive Conduct:

    State-owned or private firms engaging in anticompetitive practices can hinder fair trade, blocking the sale or purchase of U.S. goods and services.

    Example: A U.S. pharmaceutical company finds its products unfairly blocked in a foreign market due to collusion between local competitors and government officials.


  11. State-Owned Enterprises:

    State-owned enterprises can sometimes operate with advantages that impede fair competition and market access.

    Example: A U.S. airline struggles to compete in a foreign market where the state-owned airline enjoys preferential treatment.


  12. Worker Rights:

    Failure to protect internationally recognized worker rights, such as eliminating forced labor or discrimination, can create ethical and operational challenges.

    Example: A U.S. clothing retailer faces a moral dilemma when discovering that the foreign factory producing their products employs forced labor.


  13. Environmental Concerns:

    Inadequate environmental protection, unsustainable resource management, and harmful practices can create environmental and reputational risks for businesses.

    Example: A U.S. eco-friendly consumer goods company hesitates to enter a market where environmental regulations are lax, as it goes against their brand values.


  14. Miscellaneous Barriers:

    Barriers that span multiple categories, like bribery and corruption, can complicate business operations.

    Example: A U.S. pharmaceutical company faces difficulties in a foreign market where bribery is common, affecting its ability to conduct business ethically.


Reliable Buying Agent

Understanding these non-tariff barriers is crucial for businesses seeking success in international trade. By recognizing these challenges and developing strategies to overcome them, small- to medium-sized businesses can navigate the global market more effectively. Stay informed, stay adaptable, and pave the way to international success. Trust IDP Cargo as your reliable buying agent to overcome your crucial issues in the global market.

Customer Feedback

What Our Guests Say About Us

Dewi IndrianiDewi Indriani
14:42 04 May 24
13:18 24 Feb 24
Thank you my products reached safe and it was contain glass vases, good costumer serivce 👍👍
Mardi MorrisMardi Morris
03:54 20 Jan 24
This service was 100% 5 star!. We were personally driven around to hand pick out our beautiful forever pieces for our 20ft container. The extra services we valued was a confident Bali speaking/negotiating host, all costs were transparent, goods were of high quality and beautifully made 🙏🏻. Communication from shopping-shipping-delivery was also a 5 star service ✨. I would absolutely recommend this company to help you shop, ship and deliver your forever pieces 🌴
Aball's RizkyAball's Rizky
01:45 21 Sep 23
Jeremy FultheimJeremy Fultheim
11:26 06 Sep 23
Shipped personal goods from Indo to Aus. The team at IDP Cargo were sensational. Very clear and timely communication, excellent service, fair prices. 10/10
Antonio BravoAntonio Bravo
03:37 07 Aug 23
This is to recognize the outstanding customer service provided by IDB Cargo in helping us navigate the unknown waters of shipping a statue in a wooden crate from Bali to Singapore. This was a first time effort by us and there were so many unknown details to sort through. IDB stepped-up and helped us at every step, from helping to arrange pick-up of the crate from our hotel, to coordinating with us and our receiving agent in Singapore. IDB Cargo Bali is outstanding and will be our first choice for any other shipment in the future.
03:30 18 Apr 23
IDP Cargo were excellent in helping me with shipping my container from Bali to USA.Packed it beautifully, nothing broke and I had some stone pieces I was concerned about.They are a smaller outfit that gives you very personal service.Will be using them again on my next shipment for sure!
Nathan FenechNathan Fenech
06:50 18 Jul 19
I approached Bali Shipping Cargo on my last trip to Bali May 2019 after I purchased 3 very large statues from Ubud.The process was seamless, Oka handled everything from pickup to delivery to Australia.Today they arrived at my residence. Well packed and free from damage.Very efficient and friendly service, and great communication on delivery dates and progress reports.Highly recommended.


Easy to contact 24-hour/7-day and with hearts through our Freight Consultant P Number, E-Mail or Website.


Easy to contact 24-hour/7-day and with hearts through our Freight Consultant P Number, E-Mail or Website.


We will happy to assist you. Give us a call and let us help your business succeed!


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