Production and export enterprises and trading enterprises refer to companies that play different roles in international trade.

Production and export enterprises, also known as manufacturing export enterprises, are primarily engaged in producing goods and exporting them to overseas markets for sale. These enterprises typically possess strong production capabilities and technical expertise.

Trading enterprises, also known as trade-type export enterprises, are primarily engaged in international trade activities, purchasing goods domestically or internationally and then selling them to overseas clients. These enterprises typically possess strong sales and marketing capabilities.

Overall, production and export enterprises and trading enterprises differ in terms of roles, main businesses, capabilities, and organizational structures, but there can also be overlaps and intersections.

Production enterprises enjoy the exemption, offset, and refund policy because they are domestic producers, and the goods they produce may be sold domestically. Therefore, the tax refund regulations for them can be more lenient to reduce their tax burden.

Trading enterprises enjoy tax exemption and refund but not tax offset because they are primarily exporters, and the goods they export cannot be sold domestically. Therefore, the government may impose stricter tax refund regulations on trading enterprises to prevent them from exploiting the tax refund policy for illegal activities. At the same time, the exemption, offset, and refund policy may lead to a loss of tax revenue, whereas tax exemption and refund can reduce the tax burden on trading enterprises.

Therefore, the different tax refund regulations for production enterprises and trading enterprises are due to the governments consideration of their distinct characteristics and needs.