Entrepot trade refers to "importing goods for re-export." This means that goods are imported into a country, stored in a warehouse or free trade zone, and then re-exported to another country without undergoing any further processing or manufacturing. The purpose of entrepot trade is to take advantage of lower import duties or taxes in the importing country, as well as to serve as a distribution hub for the goods being exported. This type of trade is common in countries that have strategic locations, such as Singapore or Dubai, which serve as major entrepot trade centers for their respective regions.