Goods sent abroad for processing charged to a Finnish producer
When goods are sent abroad for processing, the Finnish producer owns the raw materials and the finished product and carries the risk for the whole production process. Economic ownership is in Finland. The Finnish producer pays to the foreign processor, which can also be its affiliate, compensation for the work done (service). The manufacturing premium is recorded in balance of payments in Finland's imports of services. Goods exported from Finland for processing and finished goods imported back to Finland are removed in the balance of payments from Finland's goods trade, because their ownership does not change. Goods bought from aboard that have been remodelled abroad and goods sold abroad that have been manufactured abroad are, in turn, added in the balance of payments to Finland's goods trade.
Statistics using the definition
Validity of the definition
- Valid until (31 December 2078)