I heard it from a friend who does electronic foreign trade. They specialize in making fake mobile phones, which are mainly sold to the Middle East, Indonesia, the Philippines and Africa. Both Android and big-screen (keep pace with the times) mobile phones are sold at a loss, which is lower than the cost price. Where does the profit come from? 17% VAT. Rely on customs to refund taxes. According to him, the boss earned 100 million yuan last year.