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Key Terms in International Trade: A Glossary

Updated: 3 days ago



International trade can seem confusing with all its unique terms and phrases. This glossary aims to simplify these terms for students and professionals alike. Understanding these key terms is essential for anyone involved in global trade, helping to make sense of complex processes and regulations.

Key Takeaways

  • Incoterms are vital for understanding the responsibilities of buyers and sellers in international trade.

  • Trade agreements like NAFTA and USMCA play a crucial role in shaping trade relations between countries.

  • Customs and tariffs impact the cost and flow of goods across borders.

  • Trade finance tools such as letters of credit ensure smooth and secure transactions.

  • Global trade organizations like the WTO help regulate and facilitate international trade.


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