Blockchain technology a boon for trade?

The development of new technology has benefited trade and commerce, and blockchain technology seems set to improve the multinational trade system, especially customs operations. As different countries release their quarterly and annual data at different times, it is difficult to compare them simultaneously. But the application of blockchain technology will turn every country's customs record into a "ledger" connected to those of other countries, and every shipment can be recorded and filed at the same time.

First, blockchain technology is good for business. One of its technological merits is recording transactions and/or movements at the same time. With instant trade numbers being available, businesspeople can better monitor the global market and make more informed decisions. Which will increase their ability to maintain sectoral trade balance, and reduce the chances of short supply or oversupply in the market.

Second, the technology is transparent, and can help solve disputes over methods of calculation. It would also allow preemptive measures to be taken to address contentious issues and thus reduce the possibility of a trade war. For instance, some of the goods China exports to the United States come from other economies, the US included. They are only assembled in China to be exported to the US, and the majority of the profits on those goods are pocketed by foreign enterprises, including US companies. By tracing the real sources of such goods, blockchain technology can help the two parties to settle their disputes.