Prohibited Goods refer to items that are forbidden from being imported, exported, transited, or carried according to international conventions, laws and regulations of the importing or exporting country. Their scope includes but is not limited to narcotics, weapons and ammunition, products from endangered flora and fauna, counterfeit and substandard goods, obscene materials, hazardous chemicals, etc. In foreign trade practice, prohibited goods differ from 'Restricted Goods': restricted goods require a license or quota for import/export, whereas prohibited goods are absolutely banned and may not be traded or transported under any circumstances. Common usage scenarios include customs declaration, letters of credit, transport contracts, and insurance clauses. Precautions: Foreign trade practitioners must verify in advance the customs tariff schedules of the importing/exporting countries, international treaties (such as CITES), and carrier regulations to avoid cargo detention, fines, criminal liability, or credit damage caused by misdeclaration or concealment. At the same time, the contract should clearly stipulate the responsibility for prohibited goods and insure against related risks.
📝 Examples
1. According to our country's customs regulations, used batteries are prohibited goods and may not be imported under any trade method. Please cancel the order immediately. (Note: The importer informs the exporter that the order is canceled because the goods are prohibited.)
2. The letter of credit terms explicitly require that the beneficiary must not ship any prohibited goods; otherwise, the bank will refuse payment. (Note: The letter of credit imposes restrictions on prohibited goods, and violation will result in refusal of payment.)
💡 Foreign Trade Tips
Foreign trade terms are the foundation of international business communication
Trade practices may vary slightly by country; pay attention when using them
When using terms in contracts, specify the applicable version (e.g., Incoterms 2020)
For unfamiliar terms, use GlobalSync's multilingual email helper to confirm with your partner