If you’re wondering what storage charges are, you will find all information right here.

So, keep reading to learn more.

What Are Shipping Storage Charges?

Shipping storage charges is the fee levied if the shipping container is not moved out of the port within the free days offered by the port.

The storage period starts when the container enters the storage facility and ends when it is taken out of the facility.

The amount of the charges depends on the weight of the goods, the storage space the goods are stored.

Who Charges Storage Charges?

It will depend on an entity that stores the shipping container i.e.

Port storage charges

• Port storage charges are levied for both empty and full containers within the port.
• They are often passed from the terminal operator to the shipping line
• The containers to be shipped are charged according to the levy offered by the freight forwarder or the ports authority.
• The ports authority impose taxes on the cargo as a storage charge as the cargo is waiting to be cleared, the cost will determine on the efficiency of the documents.

Warehouse storage charges

• Freight forwarder issues an inventory which includes the storage charges plan for the cargo waiting to be shipped to the receiving port.
• Warehouse storage charges are associated with general administrative expenses, storage space hence it varies with the services required.

Are There Recommend Storage Charges Rates?

Storage fees depends on the Unit’s length, width, and height, the number of units and the time for the inventory.

From January through September, the standard fee is $0.025 per cubic foot, per day.

• • This is equivalent to $0.75 per cubic foot over 30 days.

From October through December, the standard fee is $0.080 per cubic foot, per day.

• • This is equivalent to $2.40 per cubic foot over 30 days.

For the units that are in inventory for more than 365 days, the future long-term storage fees will be as follows:

• The standard fee is  $0.230 per cubic foot, per day.
  • This is equivalent to $6.90 per cubic foot over 30 days.
• The minimum is $0.150 per unit, per day.

How Can You Avoid Storage Charges?

• Be quick on the customs clearance.

Work with the right freight forwarder to manage your customs brokerage and collect all the clearance documents needed for the import.

• Use experienced freight forwarders.

They help Plan your shipment’s journey, finding a competitive storage solution, handling documents and complete key administrative steps.

• Make sure your cargo is ready on time

Make the most of the free time allowed by the shipper making your cargo ready for pickup on time.

• Have real time information.

Track all your containers and receive alerts with container to help you make good decisions in case of delays to avoid costs.

• Communicate proactively.

The communication between broker, carrier, driver, shipper and consignee should be open and clear.

How Do you Calculate Storage Charges?

You multiply the length and width to determine the number of cubic feet of the storage required.

In Most warehouses charge depend by the number of spaces you rent per month.

Warehouses storage charge by square foot of floor space or the cubic foot of the space required.

Stack the goods you will require to be stored in containers or boxes.

Measure and record the length, height and width of the stack.

Multiply the length of the stack by its width.

Multiply the length and the width by the highest point to determine the number of cubic feet of storage required.

Divide the size in cubic feet by the size of the self- storage bay.

The answer is the number of bay that you require.

Multiply this number by the monthly rate for the storage bay.

Fee Calculation

To calculate the unit volume, take the length, width, and height (in inches) of a single unit. Multiply length x width x height to get the volume in cubic inches.

Convert this volume to cubic feet by dividing by 1728.

Round this volume up to the nearest hundredth to get the value on which is computed as the storage fee.

• Example: We have a container with units of dimensions 20″ x 16″ x 8″. The volume in inches is 20 * 16 * 8 = 2560 cubic inches. In cubic feet, this volume is 2560 / 1728 = ~1.48148 cubic feet. We round this value up to 1.49 cubic feet. This is the volume on which is computed as the storage fee.

What Will Make You Pay For Storage Charges?

Some of the key factors include:

• Extending the time when the container should be loaded on the ship when the ship departs without your cargo.
• When the appointment at the receiving location is delayed as earlier as planned by the inconsistency of the freight forwarder.
• Not understanding the chatter agreement which is offered before the cargo is released from the port.
• Not Making timely document release if the cargo is under letter of credit.
• Not making delivery documents available to all the involved parties for easy loading and unloading process.
• Fewer Interactions with the driver, loader, broker and port authorities who partner with the freight forwarder.
• Not securing a copy of an original bill of lading to safe guard the shipper’s payment when the cargo reaches the destination.
• Inability to Negotiate with the port authorities for an increase in the number of free days when you are aware that there will be delays on the clearance.

Is Demurrage Charges And Storage Charges The Same?

No.

Demurrage charges refers to the charge that the merchant pays for the use of the container within the terminal beyond the free time period.

Shipping storage charges is the fee levied if the container is not moved out of the port within the free days offered by the port

Demurrage is avoided by ensuring that the appointment at the receiving location is not delayed as earlier planned.

The storage period starts when the container enters the storage facility and ends when it is taken out of the facility.

Are Detention Charges Same As Storage Charges?

No.

• Detention charges are almost similar to demurrage charges but these charges are billed outside the port terminal.
• Detention charges starts immediately when the full container is removed from the port up to the return of the empty container to the port.
• For detention providers have to give out a reasonable free-time period.
• Shipping storage charges is the fee levied if the container is not moved out of the port within the free days offered by the port.
• Storage charges are collected for both full containers that are waiting to be shipped and the empty containers too.
• Storage charges starts when the containers enters the storage warehouse and ends when it is taken out of the warehouse.

For all your shipping needs from China, contact Tj chinafreight now.

I know you’re probably wondering what ultimate consignee is about.

A reason this guide will answer all questions you have been asking about ultimate consignee.

So, keep reading to learn more.

What Does Ultimate Consignee Mean?

An ultimate consignee is the projected individual to receive the imported merchandize which has been sold by the shipper.

Who Is An Ultimate Consignee In An Export?

An ultimate consignee in an export is an individual or party who has their location abroad and is the receiving the exported shipment.

Is The Ultimate Consignee The Importer Of Record?

Yes, the ultimate consignee is the importer of record.

In cases where there is no presence of a broker or agent, the ultimate consignee should act as the importer of record.

They will be in charge and responsible to make sure that the goods being shipped are compliant with the regulations and legal requirements of the desired destination country.

Also, the ultimate consignee will ensure that the relevant duties and taxes have been paid accordingly, then files the correct export permits and documents.

Which Are The Types Of Ultimate Consignee?

There are four types of ultimate consignees that include the following;

Direct Consumer

This is an ultimate consignee that desires to use the exported goods as usable for their own internal processes.

The goods might be as an input to be used in the production of another good or as machinery that is part of the production process.

The goods cannot be distributed or sold to other parties for their own use.

A direct consumer can be a company, a non-governmental institution or an enterprise.

Reseller

This is an ultimate consignee who receives the imported merchandize and resells it.

The reseller of the imported merchandize can be a trading company, a wholesaler, a retailer, a distributor or a non-government reseller.

Government Entity

This is a government owned, a government controlled company, institution, enterprise or agency that receives the imported merchandize.

Unknown Or Other

This is an ultimate consignee that is not known at all during the time of export.

By not being known, means that the ultimate consignee is not a government entity, a direct consumer or a reseller.

What Does Intermediate Consignee Mean?

An intermediate consignee is an individual, entity or part that takes responsibility of goods at the time the goods are in transit.

The intermediate consignee take possession of the goods during transits so as to effect delivery to the intended receiver at the destination.

It might be a company that engages itself with transport services or a freight forwarder who is international.

Is Ultimate Consignee The End User?

At times, the ultimate consignee can be the end user if they have imported the goods for their own internal use and processes.

For example, an ultimate consignee can import machinery to be used in their own manufacturing company.

On the other hand, the ultimate consignee is not the end user if the goods are for resell purposes.

What Is Intermediate And Ultimate Consignee Compare?

An intermediate consignee is an individual responsible of the goods while they are in transit to effect delivery to the purported owner.

While an ultimate consignee is the purported receiver of the merchandize that has been sold by the shipper.

Additionally, the intermediate consignee can be a bank or any other individual acting as an agent for principal party interest.

While an ultimate consignee does not function as a forward agent or any other midway but can be an end user of the goods.

What Is The Purpose Of Bis-711 Form In Ultimate Consignee?

Being a document that is used by other countries that do not use the import certificate, it provides assurance from the importer.

The assurance is about the imported good not being transferred, misused or re-exported in violation of the Export Administration Regulations.

The BIS-711 must have sufficient information about the products, the end user and the use of the product in order to effectively control the product.

The information in the document helps the licensing authorities in making decisions on whether to approve or disapprove license applications.

Which Are The Requirements Of Ultimate Consignee?

The ultimate consignee is required to give the brokers and agents certain information will help the customs department to know who takes responsibility of the shipment.

• Information required is;
• Name
• Address
• Internal Revenue Service number

Through that, it will be easier for the customs department to track the shipments to their final destinations.

Which Are The Instructions Of Completing The Bis -711 Form In Ultimate Consignee?

The following are instructions of completing BIS-711 form in ultimate consignee;

Block 1: Ultimate Consignee

In the case it is an individual, the name stated should be similar to the name listed on government issued ID.

If the ultimate consignee is a company, the name on the business certificate or license should be issued.

Block 2: Use Of Items

The intended usage of items by the consignee named in the above block is explained at this phase.

Block 3: Ultimate Consignee’s Nature Of Business

The business’s nature of the ultimate consignee should be put here

It can be completed in both “A” and “B”.

Possible choices for “A” can include manufacturer, broker, wholesaler, original equipment manufacturer, retailer and much more.

Possible choices for “B” can be franchise, individual business, contractual, distributor and much more.

Block 4: Additional Information

Additional information that is not present on the document should be provided under this particular block.

Information that may involve transactional parties and any additional details concerning the material that may be of value during license application and review should be provided.

Additionally, the intended use of the products need to be well stated and explained.

Block 5: Assistance In The Statement Preparing

All individuals who assisted in the preparation of the statement excluding employees of the purchaser or ultimate consignee should be named.

Block 6: Ultimate Consignee

The ultimate consignee need now to put in the information that has been requested and sign the statement using ink.

Block 7: Purchaser

The document should get signed by the purchaser if at all the purchaser is not the ultimate consignee that had been identified in Block 1.

Block 8: Exporter Certification

The block should be duly completed to ensure and certify that there exists no any type of correction, addition or modification that was made on the document.

This is made following the signing of the ultimate consignee in Block 6 and purchaser in block 7.

Who Is The Ultimate Consignee?

This is an individual or party that is going to be the final receiver of the imported merchandize.

What Is Ultimate Consignee And Importer Of Record Compare?

An ultimate consignee receives the imported goods and products that have been sold by the shipper while an importer of record owns the imported goods during the time of importation.

The importer of the record can be an agent or broker facilitating the delivery of the goods but they are not theirs.

Who Is A Nominal Consignee?

A normal consignee is a carrier, freight forwarder or consolidator who may designate a customs broker to make an entry on their behalf but not themselves.

How Is Nominal Consignee And Ultimate Consignee Compare?

The nominal consignee in any case cannot make an entry in their own name where as an ultimate consignee is allowed to make entries in their own names.

What Is Ultimate Consignee In Shipping?

In shipping, ultimate consignee is the individual that is the authentic party of interest in receiving the goods for the intended purposes and use.

For all your importing needs from China, contact us now.

Are you asking, what is the difference between inbound and outbound logistics? Then, you are on the right page because this article will help you compare and contrast these two types of logistics.

To understand how different these two types of logistics are, we will need first to define them and understand what they each entail.

Keep reading.

Inbound logistics

Essentially, inbound logistics focuses on receiving supplies and materials for internal use or for or manufacturing purposes.

It could refer to receiving ready-made products for office use or warehouse and fulfillment. Inbound logistics could also mean receiving raw materials and supplies for the production unit.

Importance Of Outbound Logistics

Inbound logistics is crucial because it is the first stage in the value chain. If something goes wrong at this stage, it will hurt the entire process. It may even mean stopping production and other operations altogether.

On the other hand, a well-run inbound logistics program can result in higher-quality products. It may also result in more cost savings and increased sales for the business.

Additionally, efficient inbound logistics can improve the customer experience while reducing your operational costs.

Plus, if you carefully organize your inbound logistics operations, you can easily negotiate better rates with your truck freight and shipping partners. This will result in even more significant savings.

Step By Step Inbound Logistics Process

Although the activities involved in inbound logistics vary from one industry to another, the process typically entails the following:

• Procurement: this step focuses on the acquisition of supplies and materials. It simply requires a business to purchase the necessary materials at the lowest budget but without sacrificing quality.

Here is how it is done; firstly, the procurement team searches the market for vendors and selects suitable suppliers after a thorough due diligence process. If you’re sourcing suppliers from China, this article on how to choose the best Chinese suppliers might be insightful.

After choosing potential vendors, they then conduct a quality check to confirm the suitability of the supplies in question. The next step is to negotiate the prices and other terms and conditions. Lastly, payment follows, after which a delivery schedule is agreed upon.

• Receiving inventory: this stage involves unloading the supplies from the delivery vehicles and sorting through them to verify their quantity and quality.

It is a laborious and tedious process. It requires staunch manpower and proper unloading equipment such as a forklift. The warehouse receiving process also requires an efficient inventory management system to help keep track of delivered items.

• Reverse logistics: apart from procurement and inventory management, reverse logistics is also essential in the inbound logistics process. Here, businesses get back inventory from customers for repair, recycling, reselling, or remanufacturing.

Outbound Logistics

Outbound logistics involves everything from delivery to the distribution of finished goods to the customers.

Importance Of Outbound Logistics

The focus of outbound logistics is to ensure the smooth flow of goods from origin to destination (end-user).

It involves multiple partners, i.e., the manufacturer, distributor, retailer, and delivery team.

Once the manufacturer finishes production, the goods are taken to the warehouses for packaging, labeling, and other finishing touches. Afterward, they are either moved to the distribution centers or transported straight to the consumer via chosen retailers.

Note that the outbound logistics process is centered on customer demands by ensuring timely delivery of the finished products.

Businesses can choose to send out their products directly to the customer on an order-by-order basis. Alternatively, they can contract large distributors or sign up for a fulfillment service like FBA to help make their final deliveries.

Whatever option you choose for your business, the objective is to get the finished products to customers on time. Keep in mind that the way you manage your outbound logistics process will ultimately directly impact costs, sales, profits, and customer satisfaction.

Step By Step Outbound Logistics Process

Like inbound logistics, the outbound logistics process comes in many forms, but it can include the following:

• Order processing: Outbound logistics begin when a customer places an order. When the order is confirmed, it is sent to the warehouse management for processing.
• Sorting: After order processing is complete, the warehouse staff takes out the purchased items from the inventory. They then sort, pack and label the products for shipping.

Note that once stock is taken out from inventory, the warehouse management system is updated. Here, the relevant staff adjusts the stock and storage units, so they are up to date.

• Shipping and delivery: once the order is ready, the carrier ships it to the retailer, fulfillment center, or distribution center.
• Final delivery: Drayage is the final step in the outbound logistics process.

Here, a designated truck and logistics agent will pick up and delivery the order from the distribution center and to the customer’s location. With outbound logistics, customers can range from supermarkets to small retail stores or individual end-users.

The Main Differences Between Inbound And Outbound Logistics

Notably, both inbound and outbound logistics deal with the movement of goods from the manufacturer to the end-user. They’re like a double-edged sword, and based on the descriptions above, we can conclude several critical differences between them, such as:

Processes

Inbound logistics focuses on purchasing, storing, and allocating resources for production.  On the contrary, outbound logistics applies to the sale of finished products. It involves processing customers’ orders and then choosing, packing, labeling, and transporting the purchased products to customers.

Documents Involved

When it comes to inbound logistics, the documents presented are often purchase orders, invoices, and receipts. On the other hand, outbound logistics mainly deals with sales orders and delivery order documents.

Parties Involved

In inbound logistics, interaction takes place between the suppliers and the company/business. Meanwhile, outbound logistics primarily focuses on the business and final consumer.

Conclusion

Inbound and outbound logistics form a critical part of supply chain management.  While it may be costly to implement, it notably presents opportunities for significant time and money savings. It is why businesses should take a closer look at their logistical operations and see if they are well-optimized.

If companies manage their logistics appropriately, they can be more economical in their operations, and as a result, gain a competitive advantage.

In addition, if all operations run smoothly, the business can be more customer-oriented and sustainable. Over time, it may even be able to lower prices due to increased efficiency.

In this guide, you will find all information you’re looking for about stop off fee.

So if you want to learn more about this freight term, read this guide.

What Is A Stop Off Fee (SOF)?

A stop-off fee (SOF) is usually an additional charge for trucks if your shipment is split into two or more stop-overs during the deliveries from its original destination.

The stop-off charges typically appear on your invoice as the designation charges.

Who Pays For Stop Off Fee?

Stop off fee is supposed to be paid by the owner of the shipments before being delivered to their destination.

The receiver should pay the fee at the right time to enable their goods or products to get to them at the right time.

When Should You Pay For The Stop Of Fee?

Well, you should pay your stop-off fee before the goods are realized for the deliveries. After payment, we will immediately communicate to you when to expect your goods and at what time you will receive them.

Is Stop Off Fee Mandatory For My Shipment To Be Delivered?

Yes, the stop-off fee is usually mandatory for all clients. These will enable us to cover stall allowance, fuels, and in case of damages.

At times you may not notice the stop-off fee since it is included in the pick-up fee or delivery charges. It might be a hidden cost under the above two.

What Type Of Products Requires Payment Of Stop Off Fee?

We do not have specific products that we charge for the stop-off fee. All products will be charged so long as they have various destinations. The only thing we do is have different categories of products that will need other cars and trucks to make deliveries.

Call our customer care to guide you in case of any doubts on your side.

Can You Get A Receipt For Stop Off Fee Payments?

Yes, we issue receipts for every transaction. We will give you a permit only after payment is made for the stop-off fee, which will act as proof when receiving your goods.

The receipt will also act as evidence in case of any damages that you need to claim from us.

How Will I Know My Stop Off Fee?

The stop-off fee is calculated according to kilometers and the number of stopovers to be made during the deliveries.

You will give us the location of the deliveries, calculate how many kilometers to the location, and then give us the charges for your stop-off fee.

What Happens To My Stop Off Fee If I Change The Address?

Well, we do not have problems when you decide to change the address. You will inform us about it, and we will update on our systems,

If the address change is far from the previous one you gave us, we request you to top up your stop of fee as per the calculations.

On the other hand, if the address changed is closer, and it comes out that you have paid the extra cost, we will calculate the kilometers and refund the balance to your account.

Will There Be Extra Charges After Stop Off Fee Payment?

No, we do not have any extra charges that you will be requested to pay. The cost that we give you for the stop-off fee is the only on-time payment that needs to be done.

Unless you decide to change the location of the deliveries on the way, you will need to communicate to our team and send you an approval receipt for the change of location.

How Long Will It Take To Receive My Shipment After Payment Of Stop Off Fee?

After clearing your payment for the stop-off fee, it will take 1-5 days, depending on your location.

But we will communicate to you the exact date and time your deliveries are supposed to be received.

Will You Refund My Stop Off Fee If I Don’t Receive My Shipment?

Yes, we will do a 100% refund if you do not receive your shipment.

But it’s a rare case since we truck all deliveries done by our company till the final destination.

Just contact us immediately you have noticed your delivery time is over and no products have been delivered to follow up with the team.

Are There Any Penalties For Late Payment Of Stop Of Fee?

Yes, of course, there is a penalty for late payments of the stop-off fee. This is because of the storage space.

By delaying paying the fee, you inconvenience other clients who will need to use the space.

This is why we will charge you a penalty of 10% of your stop-off fee.

Is It Possible To Truck My Shipment When I Have Cleared My Stop Off Fees?

Yes, it is possible to track your shipment after clearing your stop-off fee. On the receipt at the right, we do provide a tracking number.

You will be required to log in to your account if you have one.

If not, sign in afresh. You will be requested for your tuck number and details as per where the shipment is and how the truck moves until it gets to your location.

Which Mode Of Payments Can You Use To Pay For The Stop Off Fee?

Okay, we use the following as our mode of payments for sop of fee,

• Debit cards
• Cheque
• Credit cards
• PayPal
• T&T
• Wire transfer

At Tj chinafreight, we offer perfect shipping solution to any global destination.

Contact us now for all your freight forwarding services from China.

In this guide, you will find all information about integrated tariff Of European Union.

So, keep reading to learn more.

What Is The Integrated Tariff of the European Union?

It’s a multilingual database that merges all procedures that concern the European customs tariff, commercial and agricultural legislation.

What Are The Importance Of TARIC?

Benefits of TARIC include:

1. It eases the process of collecting statistics measures in the EU
2. It clearly states the actions or steps to be taken whenever they import or export goods into or out of EU

• Digital TARIC data avails accurate information to the national administration of the EU. This information is later used in customs clearance

1. It ensures all member states are treated the same

What Does The Integrated Tariff Of The European Union Contain?

TARIC consists of:

1. Nomenclature of territory codes used on different data elements of the custom clearance
2. The supplementary unit

• Goods nomenclature and additional codes

1. The EU codes used in data element as document produces, certificates, and authorization

How Can I Find The Classification Of Products On the TARIC Website?

First thing first you need to log into the TARIC website. On the homepage choose TARIC consultation. There are two main ways you can search the nomenclature code of a given product.

1. Let’s start with the simpler one- use the textual search in ‘advanced search’ here you can search a code by typing in a clear description of a certain product.
2. Flip through the different sections of the nomenclature: click on ‘Browse’ then next to  ‘Goods Code’, click then on the specific section of the goods nomenclature for example  Section S: milk products you will see the chapters,

Continue clicking on the suitable section you will see 4 digits heading. Flip through until you find a code that suits your product description

Do You Need TARIC Code Import/Export Goods Within EU?

Not really.

You only need a TARIC code when importing or exporting goods outside the EU.

TARIC code helps the receiving customs body to process and handle your goods correctly.

What Does CN Mean?

Combined Nomenclature is a tool with 8 digits that is used to categorize products in such a way that it meets the common customs Tariff and External trade statistics.

It’s also used in statistics within the EU trade.

The 8 digits are divided into 2: the first 6 digits represent the HS code and the last two represent the CN subheading. Each subdivision is referred to as a ‘CN code.

The CN subheading consists of:

1. Goods description
2. preliminary provisions-it includes the rules of goods classification

• additional section

1. conventional duty rates
2. supplementary units
3. tariff-related annexeslike agriculture chemistry and a special coding system

Can The Integrated Tariff Of The European Union Help You Know Duty Rates?

Yes, it can.

Tariff classification helps determine the rates of customs duties.

You can find duty rates of specific products on the website just click the goods code and key in the country of origin you will see the results together with applicable measures.

However, these duty rates are not applicable if you are exporting goods to a third county.

What Should I Do In Case Of Inconsistency Between Published Legal Acts And TARIC Website?

In case you detect or encounter any difference between the TARIC site and the legal act published in the official journal of the EU, it is an exception.

Legal act is a priority Immediately report to the TAXUD-DDS-TARIC@ec.europa.eu.

How Does CN Code Of A Product Compare To TARIC Code?

As earlier discussed, Combined Nomenclature (CN) is a tool used to categorize products to in meets the common customs Tariff and External trade statistics.

It has 8 digits. The first 6 are HS codes the last 2 represent CN heading.

TARIC code on the other hand is an EU standardized custom identifier.

It has 10 digits the first 6 digits represent the HS code, the other 2 represent CN and the last 2 are stand for the TARIC code. The 10 digits combined to form the TARIC code.

TARIC codes differ from country to country. TARIC codes change on January 1^st of every year however the change can happen randomly sometimes without a notification from the EU commission.

TARIC code contains information on the exchange of goods in other markets.

Is There Difference Between HS Code And TARIC Number?

Yes, there is.

Harmonized System is a 6 digit word that is used by the World Customs Organizations to classify their products from customs.

These digits are classified into 3 that is; the first 2 represent a chapter of goods, the other 2 digits represent the heading and the last 2 digits stand for the subheading of a product.

TARIC number has 10 digits as discussed above.

HS code is part of the TARIC code while TARIC code is not part of the HS code.

What is TARIC Number?

This is a number that categorizes goods internationally. It’s used in customs to declare goods, data collection, and calculate duties.

For any questions or import needs from China, contact Tj chinafreight now.

Shipping charges depend on the geographic locations. Zone Rates or zone pricing are charges that companies have to pay when they are shipping outside of their designated zones.

Zones are big geographical areas that help to calculate the total distance of a shipment.

Understanding zone rates and how they work is not easy. In today’s article, we will talk about how zone rates work and how companies can offer free zone shipping.

What Is The Zone Rate?

Zone rates are one kind of freight rate. Zone Rate or zone pricing is based on how many geographical areas a shipping cargo has passed to finish the delivery.

If the delivery takes more zones to drop off delivery, then the freight rates also increase.

For instance, postal ZIP codes can be used as the basis of zone Rate. This can also be called the shipping cost.

What Are The Pros And Cons Of Zone Rate?

It is important to note that zone rates can differ from one geographical location to another.

The longer it takes to ship, the more money it will cost.

But they are very important in the shipping World. Here’s some pros and cons of zone rates.

Pros:

• Zone rates help to separate customers according to their geographic locations.
• Zone rates allow you to pay transportation costs easily so that you don’t get mixed up with other charges.
• Due to zone rate, Shipping charges are now very low. So companies can offer free shipping.

 Cons:

• Zone rates are different in different places.
• Distant customers chose to prefer the closest shipping services to them.
• It’s an extra charge and keeping track of all the zones and different zone rates is very difficult.

How To Use Zone Rate In Your Business?

You can use zone rates in your business to gain more revenue. Here’s some useful strategies on how to use zone rates in your business.

1. Analyze Your Customers:

When your business is making strategies for zone rates, make sure to use all the data so that you can make proper zone rates for shipments. Analyze all the data of your customers. You can not charge too much or too little. Learn about how much your customers are willing to pay.

This can depend on various factors like the income of your customers, cost of living and if there are other companies that can offer the same services at less prices. This can help to attract more customers

2.  Analyze Your Competitor:

After you analyze your customers’ database, you need to consider your competitor.

Learn which companies are offering the same services as yours and how much charges they are taking? Understanding your competitors can help to improve your business.

3. Use Item-specific Strategies:

You need to make different strategies for different zone prices. Mass retailers or specialty retailers used item-specific strategies for implementing zone rates.

For example, basketball equipment is more popular in the USA but not in India. So the zone rates will be much higher in India.

Customers have high price awareness on specific key value items (KVIs).

This can influence their perception of store value and customer traffic. Items that have less price awareness cannot be charged with higher shipping rates.

For instance, products that are popular among the customers sometimes have discounts and other offers on them, but products with less influence do not get any discounts on them.

Their prices remain the same.

Zone rate strategies will help to categories the specific products and can follow a different zone rules than others.

4. Use Technology For Handling Problems:

When you have created your strategies for zone rates implications, you need to execute the strategies.

There are many technological tools that can help your pricing teams to solve any problem regarding prices. It can also help you to track your zones and their rates easily.

What Are Some Examples Of Zone Rate?

Here’s an example that will give you a better understanding of zone rates.

For example, have you ever wondered why shoe industry suppliers sell the same brand of shoe to different retailers at different prices?

The reason is quite simple because the price varies from one location to another.

If one pair of shoes in L.A costs around 20 dollars, then that same pair of shoes can cost around 25 dollars in Taxes.

That is because of the zone rates. Zone rates are subject to change due to various factors like transportation costs, additional fees, etc.

How Are Shipping Zones Calculated?

Zone rates are based on different zones.

These zones are calculated using different methods. Usually, the zone starts from where the items will be shipped from.

So even if there are two different shipping origin points and their destination is the same, yet they can have different zone rates.

For instance, if the shipments are from San Francisco to Kansas City, then your shipping zone is zone 7. And if the shipments are from Texas to Kansas City, then your shipping zone is zone 4. Zipcodes are one of many tools to understand zone rates for your shipping.

Can Shipping Zones Affect The Revenue?

The answer to this question is yes, zone rates can affect the shipping cost.

The further your shipping location is, the higher zone rates will get. In other words, if you are shifting from a far place, then you may have to pay more for your shipments.

Shipping companies use geographical zones to create zone rates for their specific services. Many companies like USPS offer a flat rate for every zone.

Even though if you are shipping your package from a far place, your zone price will remain the same.

However, there are many services that do not offer a flat zone rate like Priority Mail Express, Bound Printed Matter, USPS Retail Ground, and Priority Mail.

You can also visit their website to see which services have flat zone rates i.e., First-Class Mail, Library Mail, Media Mail, and USPS Marketing Mail.

Which Shipping Services Have No Zone Rates?

Nowadays, companies offer free shipping nationally and internationally. Almost every company has free shipping options in the checkout section.

 There are many shipping companies that offer flat zone rates for their services. Companies like USPS offer flat zone rates for their First-Class Mail, Library Mail, Media Mail, and USPS Marketing Mail services.

How Can Companies Offer Free Shipping Without Any Zone Rate?

Nowadays, almost every shipping company offers free shipping to their customers globally.

It is a very common strategy for E-Commerce businesses that not only attract more customers but also can increase their revenue.

Companies that offer free shipping usually have a minimum order amount. It forces customers to buy more. That way, companies earn more revenue. That is why they can offer free shipping.

Can You Reduce Zone Rate?

Many companies provide discounts on shipping charges and other transportation fees.

So there is a way to reduce zone rates.

Or you can just ship from your nearby shipping services so that you don’t have to pay extra zone rate charges for your shipment.

Does Weight Of The Items Affect Zone Rate?

Weight of your package can actually affect the cost of the shipping.

If you are shipping heavy items from one place to another, the shipping charges can change based on the weight of the items and its destination.

Zone rates can be higher if your package is heavy.

What Are The Zone Rates Of USPS?

USPS has different zone rates on services like Priority Mail Express, USPS Retail Ground, Bound Printed Matter and Priority Mail.

For example, as per 2021 zone rates USPS Priority Mail cost $8.10 in Zones 1 & 2, $8.58 in zone 3, $9.21 in zone 4, $10.43 in zone 5, $14.80 in zone 6.

What Are The Zone Rates Of FedEx?

As per 2021, FedEx Freight zone-based rates and additional pickup and delivery charges for shipments within the contiguous U.S. are bellow:

Zone 101: For packages weighted 1-150 pounds, the minimum rate is 385$ and for packages weighted for than 150 pounds is 421$.

 Zone 102: The minimum rate of 1-150 pounds is 409$ and more than 150 pounds is 456$.

Zone 103: The minimum rate of 1-150 pounds is 420$ and more than 150 pounds is 465$.

What Are The Zone Rates Of UPS?

UPS offers domestic next-day Mail services that have different zone rates based on the package’s size. For packages weighed 1 pound, the rates are:

• Zone 102: 62.09$
• Zone 103: 77.51$
• Zone 104: 92.72$
• Zone 105: 100.26$

What Are Zone Rate Policies?

There are zone rate policies for different geographical zones. These policies reflect the common problems of transportation costs.

There are major two zone pricing policies, 1) Point of origin price policy and 2) Freight absorption price policy.

There are three different freight absorption price policies such as 1) Uniform delivered price policy, 2) Zonal price policy and 3) Basepoint price policy.

What Are The Two Types Of Zone Rate Structure?

There are two types of zone Rate structures in every shipping company. These are namely, 1) Point of origin price and 2) Freight absorption price.

At TJ China Freight, we help you with all your shipping solutions from China.

Contact us today for all your freight forwarding services from China.

Let’s look at the fundamental aspects you need to know about split shipment.

What Is Split Shipment?

With Split Shipment, cargo is often divided into two or more shipments and shipped via air freight.

Consequently, the shipping companies can send their goods on separate flights, leading to them arriving at different times with no loss in quality.

Why Should I Use Split Shipment Service?

Consider using split shipment services in the following cases;

• When the goods to be shipped are too many for one flight.
• Distribution of heavy and lighter items; this service helps ensure that each shipment’s weight is balanced.

The best time to use split shipment services is during the peak seasons.

It ensures goods get to their destinations when there is a larger crowd and less competition in the market.

Using this service ensures that items arrive on time, without any issues.

How Does Split Shipment Work?

Let us understand split shipment in detail with the help of an example.

Step 1: The sender prepares the package and fills in the necessary documentation for customs clearance.

Step 2: They will transport the package to a local customs office, where they will decide if an inspection is required or not.

Step 3: The package is sent to the agreed-upon destination, where different flights deliver it.

How Do I Know If My Items Qualify For Split Shipment?

Customs will allow split shipment as long as the total weight of all packages does not exceed 30 kg.

Where Do I Get More Information On Split Shipment?

There is a lot of information about Split Shipment on the internet. More detailed information about this service can be found on blogs, websites, and articles.

However, as a leading freight forwarder in China, we will help you get all information you need about split shipment – talk to us now.

How Do I Calculate The Split Shipment Cost Per Item?

Split Shipment cost depends on the size of your package, not the number of items in it.

The cost will depend on the total weight of your shipment, which you can calculate by adding the weight of each item together.

Example: 10,000 items (with a weight of 4oz) in one shipment will be charged at the same rate as 10,000 items (with 7oz) in one shipment.

What Are The Benefits Of Using Split Shipment?

While it may be easy to handle your Split Shipment on your own, there are some advantages of outsourcing this service.

For example:

Time

You don’t need to worry about packing and shipping your items. You can focus on running your business while a third party handles the process for you.

Items arrive at the time desired by the customers, meaning they are more willing to order items online.

Cost

A third party will likely charge a lower rate than if you handled it yourself.

Experience

Third parties have a better experience with Split Shipment, so you can rest assured that your items will be shipped correctly.

Customization

Many of these services offer customization, such as consolidating your shipment across multiple suppliers.

• Customer satisfaction increases in that there is no need to worry about the delivery schedule for their items.
• Split shipment services make it easier for companies to track and trace their goods.
• Reduced costs because shipment is made in batches.
• As two or more shipments are transported on different flights, the shipment cost decreases for the shippers and receiver.

Is It Cheaper To Use Split Shipment Service?

Yes, it is cheaper, considering items are usually billed according to the weight of each package. Using Split Shipment is more affordable than using private cargo flights.

How Do I Avoid Split Shipment Charges?

To avoid Split Shipment charges, ensure that all items arrive at the same time. Also, make sure that your package does not weigh more than 30 kg.

Will I Be Charged More If The Split Shipment Service Sends My Packages Separately?

No, you will not be charged more for this service. Split Shipment charges depend on the total weight of all items in your package and not the number of items in it.

You can calculate this by adding up the weight of each item in your package.

How Can I Reduce The Cost Of Split Shipment?

There are several ways to reduce the cost of Split Shipment. One is by using a larger box, which will help in reducing the price per item.

• Calculate the total weight of all items in a package, which will help you get an accurate quote for the service.
• Ordering items from different suppliers will also help you reduce the cost of Split Shipment.
• You can also reduce the overall weight of your package by using a thinner box or by removing unnecessary packaging.

Which Items Can Be Shipped Via Split Shipment?

Certain types of goods are eligible for this service, such as;

• Any item that is considered high volume or hazardous
• Fragile items or items likely to break in transit should be marked. It could be because of their weight, size, or shape.
• Products that may be subject to damage if not handled with care and expertise.

Is The Split Shipment Service Provider Responsible If My Items Are Damaged Or Lost During Transit?

The logistics company can choose whether to claim compensation for the damaged goods based on their terms.

Do your due diligence before signing any agreement with a freight forwarder to ensure that they will be responsible for your shipment.

Split Shipment service providers should be able to follow a straightforward procedure for them to claim compensation.

In most circumstances, the responsibility is determined by what is stipulated for freight forwarders with their cargo shipment terms.

You will have to file a claim with your carrier if this happens.

How Does Split Shipment Compare To LCL Shipment?

While both LCL and Split Shipment services allow you to send your items in batches, some differences exist between the two.

LCL shipment is where a whole container of goods from different customers is consolidated into one large container.

This shipping container is then shared by several shippers, who fill the container with their goods. This shipment is then delivered to the final destination.

Split shipment, on the other hand, involves sending your items in batches without consolidating them. Each of these batches is then shipped separately to its final destination.

When it comes to pricing, however, the two services are similar.

The weight of your goods determines the final price, so it’s best to find out how much your items weigh before placing an order.

What Are The Common Reasons Split Shipment Service Providers Send Packages Separately?

It is not unusual for a package to be split into various shipments as you send them, especially if the items come from different suppliers or through separate shipping lanes.

Common reasons why you will need to send your items separately include:

• If the item is fragile or of high value, it’s usually best to be shipped separately to protect it from damage.
• It can also help you avoid paying excess fees since your goods will be considered individual shipments instead of one large shipment.

This can be done by using a shipping service with low minimum shipment fees.

They can also send the items in smaller boxes or packaging materials to reduce the overall weight of your shipment.

What Are The Risks Involved In Using Split Shipment?

While there are benefits to Split Shipment, it may not be suitable for all businesses. Some of the risks you need to know about include:

• Delay: sometimes, items sent via split shipment may arrive late; this delay can result from the size of each shipment, weather conditions, and the destination country.
• Damage/Loss: sometimes, goods handled via split shipment may arrive damaged or not at all. Peak seasons are a typical time when multiple items are being shipped at the same time.
• Storage: if you’re using a warehouse that handles consolidation and split shipments, there may be issues with managing your goods. If this happens, some of your goods may be stored for an extended period, which means you will need to pay storage fees.

Are There Any Other Scenarios Where I Might Want Split Shipments?

Split shipments are commonly used when a package is delivered to a third party.

For example, if you’re ordering an item from one supplier and splitting it into two shipments, one to the third party and another to your final shipment destination.

Is Split Shipment Only Used For International Shipments?

The good thing about the split shipment is that it is suitable for both international and domestic shipments.

Whether you’re sending your items domestically or internationally, it’s easier to send them in batches.

Are There Any Disadvantages To Split Shipping?

Yes, some of these disadvantages include:

• Additional costs: if you’re using multiple service providers for your shipment, be prepared to pay additional fees for the shipment.
• Complexity: since you’re sending your items in batches, it is essential to keep track of each shipment. If you make a mistake, you could deal with severe delays and fees.
• Inconvenience: if you’re using a third party to send your items, make sure they don’t hold the goods.

In some cases, they may receive your items but not ship them until a later date.

At Tj chinafreight, we offer affordable freight forwarding solution from China – contact us now for all your shipping from China.

If you are starting off an importing business, expenses are a huge deal. In order to stay afloat, you want to save money on shipping costs—and it’s a great idea! We have compiled this guide to help you manage your finances when shipping with Alibaba. Below are 13 tips to make shipping a less stressful and less expensive enterprise!

What Influences Your Alibaba Shipping Costs?

Firstly, let’s talk about what determines your shipping costs. Here is a list of the main factors:

• Net product weight
• Size of shipment
• Delivery time
• Packaging (e.g. boxes, tape, stickers, labels)
• Human labor of processing your shipment
• Courier services
• Import/export fees and taxes

Targeting any one of these factors will result in a reduced Alibaba shipping cost. Now, let’s discuss the different shipping methods available. 

Alibaba Shipping Methods

There are 4 common ways of sending your shipment:

1. Regular Post
2. Air Express
3. Air Freight
4. Sea Freight

Air express is the fastest shipping method that will take 3-5 business days, while sea freight may take months. In terms of cost, sea freight is the cheapest, while air express costs the most. 

Regular post is common for drop-shipping from Alibaba, but it is possible that your package will get lost along the way or not tracked properly. However, this option is cheapest if you want to ship samples or small quantities of product. In this case, China Post will handle the shipment, and it will arrive in 15-35 days. 

Air express is shipping via DHL, FedEx, or UPS. Such courier services are reliable and fast, but they are extremely expensive, prices at $5-10 per kilogram. 

Air freight is great if you need 10-day delivery and have over 100 kg of cargo. This is when the difference in price compared to air express becomes significant; you will have to pay $4-8 per kilogram. 

Sea freight will take a long time because it is shipped by the ocean–up to 60 days. However, large containers and heavy shipments can be moved for cheap this way. Another advantage of sea freight is that you can choose between full-container load (FCL) and less-than-container load (LCL) shipments.  

FCL means that the entire container is taken up by your cargo alone. LCL means that some part of the container is taken up by your cargo, and some of the same containers hold cargo from other importers. Typically, LCL tends to be cheaper, especially if you do not have enough cargo to completely fill FCL. FCL, however, becomes cheaper by weight and volumetric units. 

The type of shipment you choose plays a crucial role in your Alibaba shipping costs—and this starts off our discussion on how to reduce them!

1. Find Suitable Shipping Method From China

As mentioned above, the delivery time, volume, and weight of your Alibaba shipment will help you decide on the best method of transporting your goods.

Sea freight is the cheapest option, but it will take a long time to ship. Train freight is another cheap option, but the price per kilogram starts to rise once the weight reaches 500kg. The same thing happens with air freight. Air express shipping can be cheaper than sea freight as long as the net weight is less than 100kg. 

Although it seems like sea freight is cheaper in any case, it is only so for large and heavy shipments. The margin between sea freight and air freight costs decreases as the weight of the shipment decreases. 

Some importers use a combination strategy to reduce Alibaba shipping costs.  This strategy involves dividing your shipment into unequal parts and using different methods of shipping for each. For instance, you can ship 5-10% of your cargo using air express or air freight, while the rest is shipping using sea freight. 

That way, you can receive more urgent shipments, as well as start making money while the rest of your cargo is in transit. Also, you can thus develop your own formula for minimizing your Alibaba shipping costs in this flexible way. 

2. Optimize Packaging Volume

Changing your packaging can greatly affect your Alibaba shipping costs in 3 main ways: size, weight, and safety. 

Firstly, make sure that your packaging does not have unnecessary empty space. For example, sometimes Amazon sends small items like nail polish in large boxes—don’t do that. You are paying for that empty space, and reducing your profits. Alibaba charges shipping costs based on the weight and volume of your shipment, so reduce the volume. 

You can reduce the box sizes so that your items fit snugly in a full box. You can also choose a more fitting shipping container. 

For FCL, there are normally 4 types of containers for your options.

• FCL 20 feet
• FCL 40 feet
• FCL 40 feet HQ
• FCL 45 feet HQ

The containers labeled with HQ are 1 foot taller than standard containers. Standard containers are designed for heavy items, such as sheet metal, machinery, steel appliances, metal enclosures, etc. On the other hand, HQ containers are designed for voluminous, irregularly shaped, or oversized items. These largely include furniture. 

You can choose the right container option for your shipment. Also, you can calculate how many items would fit into 1 container, and adjust your order accordingly. This will help ensure that you do not have to pay for a half-filled FCL. Alternatively, you can organize your shipment into an FCL and an LCL to save on costs. 

3. Optimize Packaging Weight

Another way to optimize packaging is to reduce the packaging weight. You can do that by using corrugated boxes and lightweight packing materials. 

Corrugated boxes are lighter and stronger than regular cardboard due to the small air-filled spaces between the layers of the box. As for lightweight packing material, you can use air pillows, bubble wrap, foam inserts, packing peanuts, and more. Although they add to the volume of your shipment, they increase safety and improve net weight values.

Lightweight packing practices may not seem helpful on each individual shipment, but over time, a few saved grams here and there would add up to significant savings in Alibaba shipping costs!

Lastly, you can alter your package resolution. Warning: this could be risky! Your Alibaba suppliers optimize packaging according to safety. They would not want to pay extra if your shipment gets damaged, so they sacrifice cost-efficiency. 

You can contact your Alibaba suppliers to find a more balanced solution to packaging. For instance, you can take on some risks but ensure greater cost-efficiency. 

Furthermore, if you are shipping very heavy items, you can check whether you can use carrier-provided Flat Rate shipping. It means that your rate will change depending on shipment volume, size, or weight. It is a great option to save money on large shipments. 

4. Find the Right Partners

You can improve your Alibaba shipping costs by finding the right shipping provider or drop-shipping fulfillment company. 

You can hire freight agents like Tj chinafreight to help you manage shipping, customs, and logistics most efficiently. This is especially important if you are inexperienced and are doing under 20 orders per day. In this case, the shipping could be higher than normal, so a drop-shipping company will help you. 

Try not to leave shipping management to your supplier. Although it seems like a convenient option, it is possible for the supplier to take advantage of it and overcharge you. 

Shipping costs on Alibaba and AliExpress can be disguised as item pricing by suppliers. When a supplier offers free shipping, it is possible that they are including shipping rates in the unit price. In other words, you think that you are not paying for shipment, but you are. In this case, you have no way of knowing and controlling Alibaba shipping costs, so be careful.

Finding an agency to take care of transport, door-to-door shipping, etc., is the most cost-effective option for small and medium businesses. You will have local support and a professionally supervised supply chain. 

To choose the right partner, you will have to compare costs. Firstly, don’t choose a freight forwarder offering a particularly low price. This is because they could be lying to you or their shipping may involve illegal operations, which is always risky. 

You can get a reference shipping cost quotation from Alibaba, and then contact freight forwarders about their rates. It is important to be consistent with your shipping conditions when comparing prices! You can even tell different companies the other quotations you have been given so that you can get the best deal. 

5. Check Online Tools

You can check third-party online tools to get a reference on what shipping cost to expect. These have to be unconnected to freight forwarders or your Alibaba suppliers. 

These tools can evaluate Alibaba shipping costs according to your needs and shipment requirements. 

6. Optimize Route

There may be multiple routes to ship your cargo to its final destination. To reduce Alibaba shipping costs, you may have to find the most cost-effective route.

For example, if your shipping goes from China to the US east coast, you can ship it via the Pacific Ocean and the Panama Canal, or via the west coast with further trail freight. The shipping cost will vary largely.

Similarly, you can use different ports, different rail routes, different airports, and more.

You can ask your freight forwarder to handle this, or you can figure it out on your own. Like mixing different freight methods, this is all about balancing and calculating the best course of action. 

7. Optimize Shipment Timing

There are a couple of tricks you can use to reduce Alibaba shipping costs that involve time. Generally, the more urgent your shipment is, the more expensive it will be. 

One thing you can do is increase shipping lead time. Shipping lead time is the measure of how long it will take to transport your products from the shipping port to the port of destination. The longer is your lead time, the earlier you have to place your orders to your Alibaba suppliers. Also, shipping lead time includes:

• The time your cargo sits in the port before being loaded (up to 1 week)
• Administrative delays at both ports
• Other possible delays

If you increase your lead time, this will allow carriers to line up their resources to prepare to manage your shipment more efficiently. This increased handling efficiency translates into lower carrier costs. The longer you give a carrier to deliver a package, the cheaper it is for you. Also, you will be able to build a safety net in case of unplanned delays common at sea. 

Another way to optimize shipment timing is to ship on off-peak days. Shipping on peak days results in delays and increased Alibaba shipping costs. Avoiding these days and altering your shipping schedule accordingly will save you a significant amount of money.

For instance, Friday is typically an off-peak day, while Tuesday is a peak day. Also, keep an eye on various holidays celebrated in China and in the countries that you ship to. 

8. Get Insurance

Freight insurance refers to the insurance on what is being shipped. Freight insurance will pay for the loss or damage of your shipping items if there are any accidents during transit. You can discuss insurance requirements with your freight forwarder, and negotiate the best price with them.

Insurance is usually calculated by applying a certain percentage to the value of your items. Generally, the Incoterms will specify who is responsible for the insurance on the shipments. 

Sometimes, insurance is already included with the Incoterms. For example, CIF (Cost Freight and Insurance) already has freight insurance included. However, if you are using other Incoterms such as DAT, you will have to negotiate insurance yourself. 

Shipping insurance is cheap, and a typical cost is around US$50 to US$100. 

Here is a rough equation that you can use to estimate the insurance cost by yourself.

 Shipping insurance ≅ value of goods * 1.1* 0.1% – 0.3%.  

Insurance will reduce your Alibaba shipping costs and other losses in case of emergency. 

 9. Get a Customs Agent

Customs fees are very important when dropshipping from Alibaba internationally. They can vary based on product, country of import, and a lot more. You can use extra online tools to calculate customs, but you can also hire a customs agent to handle it all. 

A customs agent will not only help with taxes but also streamline customs procedures, improving your supply chain. Although shipping fees and customs fees are different, they are connected and both can be reduced with professional help. 

10. Shipment Consolidation

Another great way to reduce Alibaba shipping costs is to combine smaller quantities of goods from different suppliers into 1 large consolidated shipment. You can arrange that with your local warehouse in China. The staff will store and assemble products from various suppliers into 1 place.

You can also ask your shipping agent to consolidate multiple Alibaba purchases into 1 shipment. Because you get charged for every shipment, combining domestic shipments into a single international one ensures that you only have to pay once. 

Besides, large international shipments get reduced prices per kilogram or CBM. Consolidating your cargo helps drastically reduce Alibaba shipping costs.

If you need help, know that Tj chinafreight offers local warehouses with consolidation services. 

11. Use Custom Shipping Zones

Shipping fees vary depending on the origin location and destination location. For example, shipping to the US will be cheaper than shipping to Canada. Different countries charge different entry fees, plus shipping fees depending on the distance. 

This will help you optimize your shipping routes and develop a plan for selling your products to different countries. You can target the market of a certain country with lower shipping fees. 

You should research how much it costs to ship to your countries of interest. Then, you can charge your customers the shipping fees accordingly. You can set up shipping zones with different rates to help reduce your out-of-pocket shipping costs. 

You can also work with Alibaba suppliers that have a local warehouse in your country of destination. If your supplier’s company is large enough, they may own warehouses or warehouse space in your country. 

This could save you a lot of money on Alibaba shipping, since you may be getting the products directly from their local warehouses, and only pay for domestic Alibaba shipping costs.

12. Know Your Incoterms

Incoterms provide a universal definition for a series of tasks, responsibilities, and decisions between you and your supplier concerning shipments. You may have seen or heard acronyms like FOB, CIF, DAT—these are Incoterms. Choosing the right one will help you balance risks and Alibaba shipping costs so that you can get the best deal possible. 

By learning about each Incoterm, you can choose the one that is most suitable for your business arrangements. 

All incoterms define:

• Cost: who pays for each part of shipping?
• Responsibility: who handles the operations for each part of shipping?
• Risk: when does the risk of cargo loss or damage transfer from the supplier to the buyer?
• Instructions: what information do forwarders, brokers, or other parties involved in the shipment need to know?

Generally, FOB (Free on Board) is recommended for Alibaba shipping, while CIF and DDP are uncommon. FOB Incoterm describes that the supplier handles costs and responsibilities up until the port of origin. This means that the supplier oversees a large portion of the shipment, but the client still has some level of control over shipping costs. 

13. Offer Local Delivery or Pickup

One way to reduce Alibaba shipping costs is not to use a carrier at all. Local delivery lets customers buy your products online and have you deliver them to their homes. Alternatively, you could allow customers to come to pick up their online orders from your store. This can help you save costs on carrier services, as build a loyal customer pool for your business.

Offering local delivery services also helps you better connect with your community, improve customer satisfaction by minimizing shipment delays, and increase sales due to lower pricing for customers. 

Pro-Tip

If you already have experience in shipping with Alibaba, you can try to handle it all yourself. This is the best way to lower Alibaba shipping rates. 

This is recommended for large businesses that know their way around sales. You will be able to negotiate a fair sales quantity without making your inventory too expensive. You will have maximum control over shipping costs, allowing for a flexible and most effective approach.

In this guide, I will answer all your questions on Transtainer.

So, if you’re new to this freight term – then this guide offers a perfect solution.

Keep reading.

What Is A Transtainer?

Transtainer is a large crane known as RTG used for unloading and loading containers onto the trucks or store the containers on top of each other at the container yard.

What Are The Features Of A Transtainer?

Well, the transtainer has the following features:

• It has a simultaneous drive motion
• A unique Liebherr’s eight rope reeving anti-sway system
• The structure is robust, rigid
• It has a directly driven travel system
• One gantry drive per comer
• A gantry aligns steer

What Is The Importance Of Using A Transtainer?

Transtainer is usually important, with its advanced technology to load and unload containers you get to saves a lot of time and cost at the yard.

What Are The Main Components Of The Transtainer?

Transtainer has different components with it below are few;

• A high structural steel tensile
• Self-power trolley, which will ensure precise positioning
• Simultaneous motions to help increase productivity.
• Safety and performance anti-collision for improvement of safety productivity
• The ergonomic driver cabin is designed for driver productivity and comfort in mind and also reduces fatigue.
• A modular driver system
• Choices of power

Do You Provide Parts In Case The Transtainer Is Broken?

Yes, we do provide spare parts for broken transtainer. In case you may require the spare parts contact our customer care to order for the parts.

What Is The Recommended Weight Capacity For Transtainer?

The recommended weight capacity for a transtainer is typically 0.5 tones to 350 tones.

What Are The Advantages Of Transtainer?

Transtainer has the advantage of;

• It has advanced technology that helps to make work easier during loading and unloading containers.
• Transtainer is efficient and safe with diesel engine over speed, higher water temperature indicators, overload protection and many more.
• Operating transtainer is comfortable since it got every control system in a centralized place.
• Transtainer is environmentally friendly since there is no noise and air pollution in the yard.
• Another advantage is that the transtainer is usually cost-effective.

How Do You Operate The Transtainer?

Well, we generally have three methods of operating the transtainers

• Cab control requires a professional driver specializing in cranes to drive and control the transtainer.
• Remote control here you will also need a professional transtainer operator to control your crane using a remote control.
• Stick control here you will need a professional operator to control the transtainer with a hand switch and walk with a travelling crane.

You will choose any of the above three methods to operate your transtainer, and our customer care is also available anytime for assistance.

What Are The Types Of Transtainers Are Available?

The following are some of the transtainer available;

• Cable reel transtainer
• Hybrid transtainer

What Is The Cost Of A Transtainer?

The average cost of a transtainer is $1.44 million.

What Are The Difference Between Single Transtainer And Double Transtainer?

Single transtainers are cranes used to load and unload cargo located outdoor. Its structure looks typically like a door frame, they have a single rail, as the name suggests.

On the other hand, a double transtainer has double rails or two rails, which help load and unload the cargo. The double transtainer is more advanced compare to the single transtainer.

Do You Offer Manuals For Transtainers?

Yes, we do offer manuals for all our clients.

What Are The Difference Between Low And High Profile Transtainer?

The difference between the two is that the high profile is a transtainer where the boom is hinged towards the waterside of the crane structure.

These will make it easy for the ship to navigate and the transtainer to load or unload quickly.

While lower-profile transtainer, the boom is usually shuttled over and towards the ship, which allows the trolley to load and unload.

Does Your Transtainer Have A Warranty?

Yes, our transtainers have a warrant of 20 years.

How Long Will It Take To Deliver A Transtainer?

Okay, for your transtainer to be delivered, it will take 50-60 working days from the time you place your order.

How Much Space Do You Require To Install Transtainer?

We do have unique products for different clients. You need to inform us of the size of your workshop and where you need the transtainer to be installed.

Our engineers will come up with a customized solution for you.

How Do You Pack The Transtainer?

It will all depend on the type of transtainer you have chosen. But we usually pack the transtainer body on a waterproof, high-quality plastic woven cloth.

For other parts remaining, we do pack them on a plywood box that is of high quality.

Do You Provide Professional Assistance To Help In Transtainer Installation?

Yes, we do provide professional assistance to help in your transtainer installation. We usually send one of our staff to help and supervise the installation or your transtainer.

They typically come once you have confirmed the receipt of your shipment.

Do You Have A Maintenance Guide For Transtainer?

Yes, we provide the booklet’s maintenance guide, which is usually packed inside the parts plywood box. We recommend you first read the booklet and understand it before your transtainer is installed.

What Should You Do If The Transtainer Has A Breakdown?

If your transtainer breaks down, we suggest you call us immediately to know where the problem is.

Or you might call a professional specialist of transtainer to come and check where the problem is and fix it.

For a cost effective shipping solution from China, contact Tj chinafreight now.

If you have any question about Toestemming Tot Wegvoering, you will find the answer right here.

So, keep reading to learn more.

What Is TTW?

Toestemming Tot Wegvoering (TTW) is a Dutch term that refers to permission to release a document for imported cargo from customs supervision.

Customs authorities are responsible for granting this permission.

The European Union required you to have this document for your cargo to be considered released from customs supervision.

What Is A Toestemming TOT Wegvoering Document?

A toestemming TOT Wegvoering document is mostly used during the importation of goods. Its main purpose is to permit the release of goods from customs supervision.

Who Issues Toestemming TOT Wegvoering?

Customs officials are obligated to issue toestemming TOT Wegvoering.

Is Toestemming TOT Wegvoering Applicable To All Countries?

Toestemming tot Wegvoering is a Dutch term used specifically used when importing goods to the European Union.

However, all countries exporting to the European Union have to undergo through toestemming TOT Wegvoering.

Are There Customs Checks Between EU Countries Requiring TTW?

Yes, there are.

However, it’s worth noting that you don’t need to go through checks or customs procedures when moving goods via EU states.

Since it’s a single trade area, you can freely move your goods through Borders.

When shipping from other countries out of the European Union, your shipment will be treated the same as any other international shipment.

Therefore, you need to present all the proper documentation to import your goods.

Nevertheless, importing or exporting from the European Union has been made much simpler with a free trade agreement.

The free trade areas among the European Union states allow for a common customs procedure on shipments.

How Does Customs Supervision Work Before Receiving Toestemming TOT Wegvoering?

To understand this better, let’s first describe what customs supervision entails.

Once you import goods, customs officials take measures to ensure adherence to set legislations.

This is what is referred to as customs supervision.

That said, before receiving toestemming tot Wegvoering, goods are kept in temporary storage as they undergo custom supervision.

The facilities where goods are stored are authorized and controlled by customs authorities.

Customs officials can also direct the goods to be stored at other facilities approved by them.

During this time, the stored goods can only be taken care of to ensure they are well preserved before their release date.

This can be achieved through practices such as regulating temperatures to preserve the goods.

The importer is allowed to examine the shipment or take samples only after seeking permission from the customs officials.

The maximum amount of time for goods to be placed under customs process is 90 days following their presentation to customs.

As soon as customs authorities are done with customs supervision, they will issue toestemming tot Wegvoering document.

This document is issued to confirm that your goods have been released from customs supervision.

Custom supervision normally applies to goods that must pass through checks such as safety checks, health checks, and environmental checks.

These checks are always done before the goods are released into free circulation.

An importer is also required to have a license before goods are placed under customs supervision.

What Happens If Goods Are Not Released After Issuance Of Toestemming TOT Wegvoering?

If the goods are not released after issuance of toestemming tot Wegvoering, necessary measures are taken.

Customs officials can either decide to confiscate or sell the goods to regularise the situation.

All this is done at the expense of the declarant.

On the other hand, the goods might be neglected by the declarant after seeking permission from customs officials.

Can Goods Be Considered Released Without Toestemming TOT Wegvoering?

No. Toestemming tot Wegvoering is needed for your goods to be marked as released from customs supervision in the European Union.

At Tj chinafreight, we help you in all shipping from China to any region in the European Union.

Contact us now for all your freight forwarding services from China.