In today’s international trade, price advantage still plays an important role to attract consumers. As a result, we see almost every producer is striving hard to minimize their expenses. And the shipping expense plays a part. Shipping costs can really drain your profit margin and sometimes your shipping cost can even make the difference between your company getting the order or your competitor getting it. After all, for the same products, the production fees are hard to open a gap of your prices. In fact, there are many ways to cut down the costs effectively of international shipping from China.
If you have to ship cargos from China on a regular basis, it is highly recommended for you to partner with an experienced forwarder in China. Forwarders contract with a carrier to move the goods. The forwarder can not only provide the most economical solutions to move the goods but also act as an expert in supply chain management including preparing and processing customs and other documentation and performing activities pertaining to international shipments to save your unnecessary costs. When choosing the forwarder, make sure it is reputable and fully experienced in providing you timely and safe shipping services and dealing with different emergencies in the shipping process. It is also necessary to properly read the fine print, the terms and conditions of the forwarder to ensure that there won¡¯t be any hidden costs.
One of the major costs of the international shipping actually lies in the cargo weight and volume. It is important to pre-determine the weight of the cargo before you arrange for shipping. In the premise that your goods won¡¯t be crushed, you can think twice before choosing the package materials. In general, the larger the packing, the higher the charges will be. Adjustments in the cargo weight and volume can be made when necessary, which can be extremely useful in reducing extra expenses.
A shrewd businessman should have a good knowledge of international business policies and terms. Before you sign the trade contracts with your business partner, especially when you don¡¯t have a freight forwarder, make sure you are not to consolidate loss. For example, when you purchase from Chinese vendors, pay attention to what the vendors are charging you. Make clearly who should be responsible for shipping and handling.
Another suggestion is to get discounts from your forwarders or your agents. Before you decide to establish long-term business relations with them, you can fight for some discounts. It is also possible that your industry’s professional association may have a partnership with a carrier that offers member discounts.
International shipping is risky to some extent. It will be affected by weather, natural disasters, political situations, etc. When you are shipping from China to US by sea, for example, it¡¯s hard for you to predict precisely the weather when passing by Pacific Ocean. Therefore, it is sensible to buy some insurance covering for losses resulting from both natural calamities and political accidents. We can also see some special insurance offered by some insurance companies, say, moving insurance. You can choose to select some of them according to your specific requirements.
About the Author
Wendy Clare: I have run my career on international freight forwarding and logistics field for over five years, especially in shipping from China. While shipping from China to any country, I give suggestions on mode of transport, shipping costs and secure delivery, wish those can help people in need!