If you’re wondering what VAT shipping is all about, you will find all information you need right here.

So keep reading to learn more.

What VAT Means In Shipping

VAT (Value Added Tax) refers to a type of tax levied on the sale of goods and services by taxing the value added to goods being shipped.

Note that VAT is always calculated based on the value of the goods.

Every time value is added to the product along the production stage, VAT is applied to it. This explains why VAT is charged severally from the manufacturing to the consumption stage.

So really, the process continues up to the final consumers of the product.

That is, once business owners charge and collect VAT from their customers and later pay it to the government by filing taxes.

Difference Between Import Tax And VAT In International Shipping

While VAT is a flat percentage rate applicable to all imported goods.

Import taxes have a standard percentage rate imposed by the government of any extra costs on imported goods crossing international borders.

Import duties are applied to goods once they cross international borders and the rate is determined by the type of goods being shipped.

On the other hand, VAT (Value Added Tax) is imposed on goods once they increase in value on the amount the value increased by.

Sales Tax Vs. VAT Shipping In The US

Sales tax in the US is a flat rate that is only applied once to a product when making the final sale to the customer.

As you might know, VAT is applicable at every stage of production until the product is sold.

I also want you to know that US sales taxes have several levels but some locations have one tax level.

Each location has its own rate and sometimes might be subjected to local, state, or federal taxes.

This means that it might be tricky if you have businesses in different areas or when shipping to several locations.

This is quite different as seen with other countries where VAT is applied from the national level.

Difference Between VAT And Goods & Services Tax In Other Countries

VAT applies in every step of productions as goods increase in value while goods and service tax (GST) is charged as a flat rate percentage of the total amount.

Business owners charge goods and service tax to customers and later pay it to the government in form of taxes.

How VAT Is Charged On Shipping

VAT is normally charged as a percentage of the total sale price.

However, the person being taxed is authorized to deduct taxes that have already been paid at the previous stage.

As such, instances of double taxation are avoided and tax is applied on every stage of manufacturing as well as distribution.

That said, the total VAT paid will be the sum of all the VAT charged under each stage of production.

Every VAT trader who is registered is assigned a number and is required to display the VAT charged on invoices given to their customers.

This not only helps customers be aware of the amount they can deduct but also the amount of tax paid on the final product.

In that line of reasoning, it is easy to understand why the VAT is paid in stages.

Factors That Determine VAT Liability When Shipping To Different Countries

Every country has its own policies regarding charging and collecting VAT.

You can reclaim VAT via certain techniques based on the rules in the country you are shipping to.

Some of the factors that will influence your VAT liability in foreign countries are not limited to;

• What you are selling – Different countries will have different VAT liabilities on products. Often, several countries charge low VAT for essential commodities such as books.

Goods or services that help in realizing certain social and economic goals have lower VAT rates.

• Who you are selling to – Businesses selling goods to consumers and those that sell to other businesses have different VAT liability.

For instance, a business that sells goods to other businesses can reclaim any applicable VAT through refunds.

On the flip side, this won’t be possible for those that sell to consumers.

• Delivery method – In some countries, there is a difference between collection and delivery in regards to VAT.

A good example is the United Kingdom. For instance, when a customer who’s not the consumer of the goods or service picks up their purchases, the VAT may be zero-rated for such a transaction.

Countries That Charge VAT On Shipments

Most countries charge VAT on shipment apart from the United States.

Among countries in the OECD, the US is the only one that does not charge VAT.

VAT rates differ from one country to the other.

That said, several countries have their rates ranging from 1-2%.

While at it, other countries charge more than 20% a good example being Hungary.

In fact, Hungary is considered to top the list worldwide when it comes to charging a high VAT rate which stands at 27%.

It’s also important to know that the VAT rates can vary within countries.

Let’s take Ireland as an example. In as much as the standard VAT rate is 23%, certain purchases will attract reduced rates of 13.55 and 9%.

Some of these purchases are not limited to reading materials, energy, and selected services.

Apart from the US, there are some countries in central Africa that don’t charge VAT.

Saudi Arabia is also included in this list.

I also want you to know that some countries have established a VAT system but have a 0% VAT rate.

Examples of such countries include; the British Virgin Islands, Hong Kong, Cayman Islands, and Bahrain.

The European Union And VAT Shipping

 Before, a shipment whose value was 22 Euros or lower was not charged for VAT.

However, as of July 1st, 2021, some changes were made by the European Union regarding VAT policies.

Every shipment to the EU was required to pay VAT charges regardless of its value.

These changes would affect all businesses that sell to the EU without sparing those conducting online sales to EU consumers.

Below are some of the top changes;

• Abolishment of the EUR 22 import VAT exemption
• Some online marketplaces being responsible for collecting VAT.
• Establishment of the Import One-Stop-Shop (IOSS)

The new policies also require;

• An electronic interface displaying the amount of VAT charges to be paid by EU consumers.
• A customs form outlining full and accurate data regardless of the value of the shipment.
• Harmonization for each product contained in your shipment.

In as much as these changes could simplify procedures and reduce administrations, they could affect how business is conducted into the EU.

What’s more, as of January 1st, 2021, the UK revised its VAT rules.

This means that all goods being shipped into the UK will need to be charged VAT regardless of the price.

Keep in mind that before this, the only goods that were subjected to VAT charges were those exceeding 15 pounds.

How Countries Apply VAT On Shipments

Different countries have different rules on VAT charges.

In as much as the EU as a trade area charges VAT, specific member countries in the EU have their own rates.

Globally, most if not all countries charge VAT based on the value of goods and services.

Each country has a standard rate at which VAT is applied on certain goods.

Some goods are excluded from VAT charges and this will depend on a country’s policies.

Keep in mind that in as much as some countries have a VAT system in place, their VAT rate stands at 0%.

Such countries include; the Cayman Islands, Brutish Virgin Islands, Hong Kong, and Bahrain.

Exemptions On VAT Shipping

VAT exemptions refer to goods or services that are excluded from payment or deduction of VAT charges.

That said, below are some goods and services that are not subjected to VAT charges when shipping;

• Healthcare
• Banking and insurance
• Education
• Childcare
• Letting or selling property that cannot be moved (property must be more than 2 years old)
• Fundraising activities
• Sports organizations as well as sports clubs
• Services Offered by writers, composers, and journalists
• Services offered by socio-cultural institutions.
• Home care and care services
• Postage stamps, printing, publications (magazines, books, and newspapers)
• Food and drink, animal feed, plants, animals, and seeds
• Transport, freight, travel, and vehicles

Claiming A Refund Or Deduction On VAT Shipping

If your business does not often supply goods or services to an EU country, you can claim a refund or deduction on VAT.

First, you will be required to submit an electronic refund claim to your local tax authorities after which they send it to the respective EU country you incurred VAT.

This comes after the authorities confirm your identity, VAT identification number as well as the validity of your claim.

The exciting part of this procedure is that if there are delays in making the refund, the tax authorities in the EU country will pay you interest.

Before claiming a refund it’s important that you confirm with your local tax authorities if you are eligible for a refund on VAT shipping.

Other Resources:

• Shipping From China
• Importing From China
• International Freight Forwarder List
• Cross Border VAT

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

Probably, you’re wondering what trucking wait fee is all about.

That’s why you are having many questions about trucking wait fee.

The best part, this guide will answer all your questions.

What Is Trucking Wait Fee?

The trucking wait fee covers the time a driver spends waiting at their destination while loading or unloading.

We all know that waiting is the worst part of driving, but truckers have it especially tough.

Typically, drivers will allow two free hours before charging. Rates can be as high as $15/hour or more if heavy traffic or a large load.

This occurs when traffic congestion limits trucks’ movements or when shippers’ facilities cannot handle all deliveries in a timely fashion.

Additionally, if drivers arrive at their destinations before scheduled hours of operation, they may have to wait.

Why Are Trucking Wait Fees Charged?

Truck drivers charge fees for waiting in the parking lot or garage for deliveries or pickups.

They can also charge due to port congestion and additional wait time. Any other traffic delays during transit within these areas also contribute to increased costs.

How Are Trucking Wait Fees Calculated?

Trucking wait fees are calculated based on the lot’s regular hourly parking rates.

The only difference is that the drivers charge for their wait time vs. a regular paid parking spot.

What Costs Are Associated With Trucking Wait Fees?

The costs associated with trucking wait fees are simply the regular hourly parking rates where the driver waits. That can be a private lot or garage.

Who Charges Trucking Wait Fees?

The party responsible for the wait fee is the carrier.

A carrier is contracted by a freight forwarder or 3rd party logistics provider (3PL). Let’s look at this scenario as an example:

Having loaded your truck with a 20ft container at 7 am, you wait around the port only to be told at 4 pm that you can’t unload it until 5 pm.

You now have 3 hours of trucking wait fee charged by the hour, and you need to be reimbursed.

You can submit a request for reimbursement via your delivery customer or directly via your company, which is processed within a few business days.

Who Will Be Affected The Most By Trucking Wait Fees?

Typically, trucking wait fees are charged by private parking lots or garages.

The driver could also be charged if they wait in a parking area with no regular hourly parking rates.

How Much Does Trucking Wait Fee Cost?

The average cost for trucking wait fees – can range from $20 per day up to $75 per day. Therefore, truckers must do their research before stopping to ensure the private lot they choose is reasonable.

If the wait fee is too high, consider parking in an unsecured lot or next to another truck.

A trucking wait fee typically costs between $25-50 per day, depending on the location.

When Do Truck Companies Charge Trucking Wait Fees?

In most cases, trucking wait fees are charged when drivers wait in a private lot for deliveries or pickups. It could be waiting at the port or other high-traffic terminals.

Why Is It Necessary To Pay For Trucking Wait Fee?

Due to the cost-prohibitive nature of having a company own its lot, Trucking Wait fees are required. As a result, you’re charged for waiting in a private lot.

How Do I Sign Up For The Trucking Wait Fee?

If you’re a trucker, the wait fee is in your hands.

You sign up for it when you stop in a private lot or garage while waiting for deliveries or pickups.

Do Trucking Wait Fees Apply To Commercial Or Personal Drivers?

Trucking wait fees apply to commercial drivers.

They need to be reimbursed or paid for by the company that charges them. If they’re being charged for a private lot, the driver must pay it themselves.

Who Handles Trucking Wait Fee Logistics?

Companies and individuals in charge of logistics will include trucking wait fees in their delivery costs.

This way, if you’re waiting at the port, you’re covered. Additionally, you can pay on your own if you’re in a private lot awaiting deliveries or pickups.

Why Can’t Truckers Decline Loads That Require Trucking Wait Fee?

All carriers must have a signed service agreement, which means they are required by law to perform their contractual obligations.

How Do I Reduce Or Eliminate The Need For Trucking Wait Fee?

Wait fees are a cost of doing business, so follow your carrier’s best practices.

• Delivering information to drivers before they stop working can save carriers from costly, unexpected expenses at terminals.
• Ensuring your drivers are well rested when starting an assigned shift (to reduce the risk of late-night delivery windows).
• Predicting ETAs accurately using data analytics tools like TMS ERP Contact Center 5 Verification System & Service Desk Manager Express.
• Drivers can book loads in advance and avoid paying wait fees by waiting in line. Rates are determined by the market.

How Can You Avoid Paying Trucking Wait Fees Altogether?

Unfortunately, there is no way to avoid Trucking Wait fees altogether. While you may cut down on these fees by better understanding standard terms, you will never eliminate them.

However, you can park in a lot with hourly parking rates, such as a commercial shipping terminal, to reduce charges.

What Are The Steps To Avoid Being Detained Or Charged A Trucking Wait Fee?

There are several steps to avoid being detained or charged a trucking wait fee. Among those include;

• Request a copy of the P&P (Trucking Wait Fee’s policies and procedure manual)
• Do your research on where you’ll be waiting to pick up the loads or delivered them.
• Determine how much it costs to park in the lot for a few hours before your job, and know what your balance is after any additional wait fees.
• Calculate whether the costs of parking outweigh the wait fee you’ll be charged if you load it. If you end up waiting more than 8 hours, pay the wait fee for every hour you’re late afterward.
• You can avoid being charged a trucking wait fee by choosing a shipping terminal with hourly parking rates.

What Differentiates A Trucking Wait Fee From Being Detained Or Charged A Layover Fee?

A Layover fee is typically imposed by the carrier and is necessary to provide adequate prior notice of an involuntary stop or delay.

Meanwhile, the trucker determines a layover/delay fee and pays before they leave for their trip.

How Long Does A Trucking Wait Fee Last?

Trucking companies have a wide range of waiting time fee structures.

In general, most will charge for one hour or more depending on its policies regarding the particular aspect.

You should, however, always do thorough research on any potential hire before making a decision!

They only charge wait fees during the loading and unloading process.

What Happens If I Do Not Use The Trucking Wait Fee Service During This Timeframe?

For example, you use the Trucking Wait Fee service, but your order does not arrive during the allotted time. The period could be extended in that case without incurring additional costs.

However, in most cases, customers still need to pay their regular waiting fee if they don’t use this option within its limits.

If certain conditions are met, some companies offer discounts on shipping delays. These include; shorter delivery times or alternative options like Express Shipping Services.

As a result, these benefits only apply if you use their truck-wait services (which come at no added costs). If you don’t use the service within the timeframe, you will be charged a trucking wait fee.

Why Should I Pay Trucking Wait Fee When My Truck Is Idle In The Yard For A Few Hours Or Overnight?

You should use the service because sometimes, you’re not allowed to pick up or deliver your load unless you wait at a private lot.

Typically, you should pay the Trucking Wait Fee if your truck is idle in the yard for a few hours or overnight.

That is the rule.

What Are Some Common Reasons A Driver Might Incur A Trucking Wait Fee?

• The trucker has to wait for a terminal or shipper to open, and typically, must pay $1.50 – $2.00 per hour for this service.
• Trucking Wait Fees are incurred for various reasons, but typically, they occur mainly on involuntary stops or delays.

Do All Carriers Charge Trucking Wait Fees, And If Not, Which Ones Don’t?

It’s not typical that all carriers will charge a trucking wait fee, but some do.

Just confirm with the local office.

What Are Some Trucking Wait Fee Suggestions Or Best Practices?

It’s always a good idea to look for a private lot that’s reasonably priced. Alternatively, you can find a high-occupancy parking garage and wait with other truckers.

Are There a Limit To How Many Shipments I Can Book On The Trucking Wait Fee?

Yes, there is a limit of 3 shipments per week in most cases.

Still, you can get better deals.

Are There Any Disadvantages Of Paying Trucking Wait Fee?

Paying the trucking wait fee is beneficial since it ensures timely deliveries. Carriers typically include this fee in their pricing, which means you risk paying a higher shipping fee should you opt out.

Some carriers offer discounted wait fees or reimbursement of other expenses (such as holding fees) when a wait fee is paid.

If your shipment is delayed for any reason, the wait fee continues to accumulate even if you comply with the trucking wait fee policy.

I know you may be interested in:

Less Than Truck Load Freight

Full Truck Load Freight

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

If you use a single 10 watts LED bulb for five hours a day at an average price of $10 per kWh, you will pay $15 per month. That’s for just one bulb. On average, a household has more than 20 bulbs, excluding other electronics.

Factor in 20 bulbs into the above calculation, and you end up with over $300 bill every month just to power 20 bulbs from an underground grid. That might not sound much but consider how much you would spend when you calculate 10 years into the above calculations!

You end up with over $3000 per annum or $30,000 per decade to power 20 bulbs only (not any other electric appliance).

This is only for a single household bulb and not a street light with an average power of over 1000 watts. Use that in the calculations, and you will end up with hundreds and thousands of dollars every month to power the electricity consumption of a single street light only. This is only true considering outdoor lighting costs $10 billion worth of electricity every year globally.

Single Solar street lights have an average cost of over $100 – $200 only. While it might seem pricey for some, consider how much it can help manufacturers, companies, and business owners to save over months and years.

If you’re someone who cares for the environment and climate change, here are some interesting facts for you. Over 40% of Carbon Dioxide (the major greenhouse gas) emission globally is due to electricity production only. The more electricity you use from an underground grid, the more you are contributing to the melting of the glaciers, warming of the world, and drastic climate changes; that, by the way, is far more dangerous than the COVID.

That is why solar street lights have been trending for quite some time now; the market has been growing from 2019 and is projected to reach over $48 billion by 2027. This, along with the government’s initiative under the UN’s climate action program for clean energy, will foster the market economy even more. Hence even if you don’t want to plant solar street lights, they still might be an excellent investment to consider. Plus, they also require very low maintenance, which means once you install them, you can forget about them for a long time.

Benefits of buying solar street lights

Besides being highly convenient and cost-friendly, there are tons of benefits to buying solar street lights.

Installation choice – Install anywhere

Trenching is very expensive when it comes to establishing a connection to the primary power grid. Not only that, its cost is highly variable and depends especially on the location.

For solar street lights, however, you can skip trenching and wiring altogether. Install them anywhere that pleases you without worrying much about hiring professionals and laborers to establish a proper connection to the main power grid.

Being independent of the utility grid, the choice of location on Installation can be almost universal. All you need to make sure is that the ground holds the solar street light tightly in a place where the sun can gently pour some light over its panels. That’s all.

Low maintenance

Since the solar street lights are not connected to the main utility grid, their operating costs are dramatically reduced. Not only that, compared to the conventional street, they require very low maintenance, have meager running costs, and have a longer life expectancy compared to regular street lights.

Conventional street lights convert only 20% of the input electricity into light, while 80% is converted into heat. This problem of overheating in regular street lights alone translates into high maintenance costs mainly because if the temperature issues are not solved from time to time, it could lead to the eventual degradation of the light source itself.

The fact, however, is not true for solar street lights that can reportedly have an efficiency of as high as 40%. And if the number doesn’t surprise you yet, know that a yield of 40% in electronic physics is considered very high.

Higher efficiency means lower chances of overheating and still lower chances of worrying about the degradation of the lights.

Plus, a traditional street light has a life span of 5 years, and if the average replacement/maintenance cost of each bulb is about $300, it will take almost $30,000 for the maintenance costs of 100 traditional street lights per annum only.

While the only replacement costs solar street lights need are mainly batteries. And that too about every five years. A normal battery for solar street light averages around $600 only.

Easy Installation

Explore the Internet, and you will find out how easy it is to Install Solar street lights. They generate their energy and don’t require any major connections from the main utility grid.

All you have to do is Install a strong foundation, fix the batteries by following the given circuit diagram properly, fix the solar panels on the pole, and erect the pole. That’s it. You’ve got yourself a brand new solar street light in less than 2 hours.

Also, make sure you place the controller inside the lamp before for better performance.

Better return on Investment

As stated before, the solar street lights market is expected to grow up to USD 48 billion by 2027 from its current market of USD 12 billion in 2020. This means the market is going to grow explosively in the coming 5 years.

An experimental study published in The International Journal of Engineering and Science shows that solar street lights are cost-effective and have a payback period of fewer than 2 years. Along with its long lifespan, that makes them one of the perfect investments for future investors, who could import solar street lights from China at relatively lower costs, wait for the market to boom, and make huge profits from imported solar street lights.

Optimum lighting

Traditional LED solar street lights gave more blue-white light, which resulted in the creation of glares on the road and disruption of circadian rhythms (the intrinsic sleep cycles depending on the biological clock in humans). However, the design of modern street lights allows them to give optimum lighting on a warmer side.

Today, LEDs are available in a wide range of color temperatures. At the same time, the controversial high-pressure sodium lights are available in a single color temperature only on the warmer side.

Solar street lights have the best CRIs (color rendering index) in the market ranging from around 65 to 95. In contrast, the traditional high-pressure and low-pressure sodium lights have the worst CRI values in the market, averaging around 25 on a scale of 100.

A CRI is the measure of the ability of a light source to reveal the colors of various objects in comparison to natural light. It means that it will be easier for your eyes to see things in the surrounding under a solar street light at night than the other.

Renewable energy source

It shouldn’t come as a surprise to know that solar energy is one of the cleanest energy sources. It is renewable and has almost zero carbon emissions.

With 40% of greenhouse gases coming only from electric power plants, solar street lights provide an innovative solution to global warming and climate change. Governments and nations worldwide have already started initiatives to convert traditional street lighting into solar street lighting. It is highly appreciated by the UN climate action project.

5 things you need to look into before purchasing a solar street light

Before you start to import solar street lights from China or go on a shopping spree for the said reason, here are 5 things you need to look into for solar street lights.

Solar Panel: monocrystalline silicon VS  polycrystalline silicon

The first thing you should look into is whether the solar panel features monocrystalline or polycrystalline silicon.

Both the monocrystalline and polycrystalline are excellent options. The significant difference is that the former features solar cells made with a single silicon crystal while the latter features many silicon fragments melded together.

From this information alone, you can easily deduce that monocrystalline panels will be costly but with higher efficiency than polycrystalline panels that are way cheaper and have lower efficiency.

But do not let the costs confuse you because a higher efficiency means fewer panels would be needed and vice versa for polycrystalline cells. It also means that you would need a larger space to accommodate all the polycrystalline solar panels (not space-efficient), while monocrystalline are costly but are very space-efficient.

It’s pretty easy to spot a polycrystalline panel. Look for a non-uniform look/texture and a speckled blue hue in the panel, and if present, it’s a polycrystalline panel.

The final major difference between the 2 is that monocrystalline panels are more heat resistant (hence a longer lifespan) and perform better in low light conditions. The same cannot be said about polycrystalline silicon.

Battery

There are several things you need to know about the Battery of Solar street lights. Let’s break it down into digestible chunks;

Battery Types

The best type of batteries to be integrated for solar street lights are Lithium batteries. True that they are expensive, but they become much more affordable in the long term.

There are two main types of Lithium batteries that you should consider. LiFePO4 (Lithium Iron Phosphate) batteries and Ternary Lithium batteries.

The best thing about LiFePO4 Batteries is their wide range of temperature resistance (-40℃ – 70℃). This, coupled with their deep cycle charging (quick charging in a few hours of intense sunlight to discharge slowly throughout the evening)of up to 3000 cycles, makes them the perfect choice for an environment of any kind. They also have a slow discharge rate, do not have a memory effect, do not explode, and can be used efficiently for up to 8 to 10 years.

The only disadvantage is that they are the most expensive of all battery types.

On the other hand, Ternary Lithium batteries have deep cycles of up to 1000 cycles and a working temperature of around -35 to 50 degrees celsius. The best thing about ternary lithium batteries is that they have the best low-temperature resistance in the market and are recommended for cold areas.

The major disadvantage is that they have low resistance for high-temperature conditions and may also explode if produced in a faulty manner by an unqualified manufacturer.

New battery and second battery

It is recommended that you get a new battery whenever you can. Second-hand batteries have a short lifespan and are also dangerous to use since a lot of batteries tend to explode.

Make sure you get your batteries from a qualified manufacturer. This is also why you shouldn’t get second-hand batteries; people sell batteries either because they have faulty performance or have found a better alternative for what they are going to sell to you.

Battery capacity

Determination of battery capacity is a part of the battery sizing procedure for solar street lights. The battery capacity you will need will depend not only on the days of required autonomy for your solar street lights but will also be dependent on the voltage and watts of the LEDs you use, the kind of battery you want to use, and its Depth of Discharge and of course the size of the panel itself.

It is recommended you seek professional help to calculate the battery capacity you will need for your required conditions. There are, however, easy-to-follow guidelines on the internet on proper battery sizing that you can check out.

LED Lamp

There are different types of LED lights that you can opt for. SMD type of LED light is most commonly used in solar street lighting.

There are tens of different subtypes of SMD LED lights. The three most commonly used solar street lights are SMD 2835, SMD 5050, and SMD 3030.

The interpretation of these alien numbers and letters is pretty easy. SMD means “Surface-mounted device” (aka one that doesn’t use wires and hence lowers resistance and increases power and voltage), and the numbers indicate the dimensions. For example, SMD 2835 means the LED light is 2.8mm wide and 3.5mm long.

SMD2835 features newly developed technologies. They are very small but are highly efficient. They have very low electrical resistance (which explains the efficiency), making them very bright. The small size also allows a number of them to be clustered together for very bright lighting.

SMD5050 chips are also quite bright; however, in comparison are less bright than the 2835 chips. The best thing about them is that 5050 strips are almost always available in color-changing styles, and this makes them a perfect choice for balancing the light temperatures of solar street lights.

SMD3030, on the other hand, are the cheaper options and, although they do offer quite a good efficiency overall, are less bright than the 2835 and the 5050 versions. That being said, they are best when it comes to the diffuse style of lighting and the kind of lightning that’s soft on the eyes.

Smart controls

Modern Solar street lights feature built-in smart controls and sensors that make them greener to have and safer to use and make operational management much, much easier, reducing the overall costs drastically.

Some technologically advanced models even provide phenomenal adaptive lighting technology that optimizes the lighting density and efficiency based on weather, traffic density, light density, and several other conditions using smart sensors and built-in microcontrollers.

With your purchase, you can even request additional sensors that will help you collect lighting data from different solar street lights in different areas, which you can later use to analyze areas and times with solar street light activity of less or greater than average activity across all the other solar street lights.

Some smart solar street lights also have video surveillance features that help improve security without purchasing and installing a separate security camera on the spot. The video features can also be used to monitor traffic density.

Price

While you might find solar street lights a little more pricey than conventional lights, it’s not the case at all.

Solar street lights, in contrast to traditional street lights, generate electricity. This means you don’t have to worry about electricity bills here. Furthermore, solar street lights do not require any electrical infrastructure (connections to the grid, long wires, trenches, etc.), drastically reducing installation costs.

Finally, the maintenance costs for solar street lights are very low. They require the least maintenance of all the different lighting technologies, as we discussed previously.

When you add all these different factors up, it becomes crystal clear who is the winner: solar street lights.

In the long term, Solar street lights will cost you 50% of your traditional lights.

Can you charge your solar street lights without the Sun?

Yes, you can charge solar street lights without the sun. There are several different ways employed. Do remember, however the best way to charge the solar street light is with direct sunlight only.

If there is diffused sunlight instead of direct sunlight, you can simply raise the efficiency of a solar panel by several folds by simply cleaning the solar panel with a soft cloth and some water. Do not apply detergents. They will cause streaking of the panels, which can be very bad.

Another method is to mimic the sunlight by using high-efficiency LED lights on Indacest lights to charge the solar panels. You can also use a mirror to direct light onto the panel to help it charge the solar street light.

Finally, the solar street lights can still accept a connection from the primary power grid or the main power line. If the situation calls for some lighting but the solar street lights are not charged, they can still be operated by a simple, temporary connection from the utility grid.

Reasons to buy solar street lights from China

Wide variety

The world’s top-notch, best solar and solar panel companies are from China. The top 3 companies, JinkoSolar, JA Solar, and Trina Solar, are all based in China.

What’s more, China holds 70-80% of the supply of the whole world’s Solar Panels only. It’s only natural for Chinese companies to maintain their quality, improve their technologies, and continue bringing innovations to the market to hold their positions in the industry.

You can find all sorts of solar street lights from authentic, registered Chinese companies. From solar street lights that feature outdated technology, no longer made in the other parts of the world, to ultra-modern solar street lights, you can find them all. What’s more, China is one of the major exporters of electronic spare parts in the world. What you can’t find in your country or region, you can find it in China (which opens up a great business opportunity for you, by the way).

From small battery parts and microsensors to panels and poles, you can get everything from China.

Quality Products

Being a country that hosts the giants to the solar market, it’s only natural to assume that the Chinese products are very high quality.

Besides being very high quality, Chinese products are relatively cheap, especially when you buy products in bulk. Combining these two qualities has made China the top exporter of goods in the world. After all, who wouldn’t like to have high-quality products at low prices?

The normal American view about China is that Chinese products are of low quality. The narration is mainly due to the tensions created by middlemen amidst the fumes of the trade war during which only 38% of Americans viewed China favorably. The narration couldn’t be more false.

To put it in the Vincero Watches CEO and Co-founder Tim Nybo’s words: “Chinese companies are more than capable of producing great products, tensions between buyers and builders often get in the way.” You can read his whole story about how his views changed about China here on Forbes.

What can you find from China?

There are 2 major types of solar street lights you need to know about; the traditional Split type and the all-in-one type. You can find both of these types from almost all the major Chinese companies.

All-in-one Solar street lights

The all-in-one solar street light, also known as integrated solar street lights, features a compact design where the 4 major components of a solar street light, the panels, the light source, the battery, and the controller, are all integrated into one compact, easy-to-handle design.

The all-in-one design also comes equipped with technologically advanced motion sensors and time control modes. The former increases the lamp’s brightness upon sensing a person walking nearby, and the latter controls the lamp’s brightness during different, programmed time stamps throughout the night.

The integrated design is also fairly easy to install. Takes less than 30 minutes. And is very easy to handle and easier to carry around since it’s only a single product.

Split solar street lights

This is the more traditional design in solar street lights that not many companies in the west feature anymore because of its low market value. However, you can still find it available in many Chinese firms.

As the name suggests, split solar street lights feature a split design; that is, all the major components of the light are not integrated into a single product. This means that you’ll have to dig a pit for the kit, controller, and battery, fix the solar panel on the pole, fix the lamp properly, and probably hire a professional to help you with the proper wiring of the parts. All this is not true for integrated solar street lights.

The Split solar street lights do not feature Intelligent controls as well. Which means they don’t have motion sensors or time controls. This means 100% brightness throughout the length of the night whether a person walks by or not.

However, compared to Integrated solar street lights, Split solar street lights are more flexible. The solar panels’ angles can be adjusted as desired to maximize the gains from solar energy. This is not true to integrate solar street lights, the panels of which are mounted onto the lightning fixture.

Split VS Integrated solar street lights

The majority of the giants in the market focus more on the production and marketing of Integrated solar street lights because they are easier to handle and carry around, are also very cost-effective, and have longer lifespans. There are very few companies that sell split solar street lights.

Integrated solar street lights are always a better choice since they are easy, quick to install, and easier to maintain. Their batteries are Lithium-ion instead of the lead-acid found in the split solar street lights. This means that Integrated solar street lights’ batteries last longer and can endure a wide variety of weathers.

Finally, the initial investments for the integrated solar street lights seem to be higher, but in the long run, these investments can be more profitable. And since the world demands integrated solar street lights, it adds a cherry on top.

Guide on How to Import Solar street Lights from China

Find the Dealer

The first and foremost thing you need is to find an authentic dealer who works for a registered company. Make sure to read your country’s regulations on Importing from China and specific companies before signing any deals.

There are several ways to find the right dealer for you: one that supplies the right products and manages the pricing and payments well.

A simple google search for Chinese companies is the first logical option. Chinese companies do make a lot of appearances on social platforms and google. However, you do have to use the right keywords to land on a good dealer. Specifying the location in your names and the exact product you want will help your initial searches for a dealer.

Alibaba

There are various B2B Marketplaces where you can find plenty of Chinese dealers and manufacturers. Alibaba is one of the major websites where you can find almost every Chinese dealer and manufacturer.

Alibaba is a Chinese company makes it even a better place to find Chinese dealers and manufacturers. What better place to find Chinese dealers than on an actual Chinese B2B platform?

However, you need to be aware that not everyone on these B2B marketplaces practices transparency. A lot of times, you might simply encounter a reseller disguised as an authentic dealer.

To avoid an unpleasant and unfortunate event, make sure you order sample products first and have an extensive talk with the said dealer before closing any deals. Only when you are 100% sure that you are dealing with a proper dealer should you take things on a more severe level.

Other B2B Platforms

Besides Alibaba, there are several other B2B platforms where you can find plenty of Chinese deals with just a stroke of your key.

These include:

• Made in China, where you can find all kinds of Chinese products, there is
• DHgate, a Chinese platform best for bulk buying. They also give amazing offers on their products
• The Hong Kong Trade Development Council is a statutory body dedicated to creating business opportunities for Hong Kong’s businesses. Of the 50 offices around the world, 13 are only located in mainland China
• Global Sources has more than 1 million international buyers and includes 95 of the world’s best 100 retailers.
• TradeKey has millions of visitors every month and is dedicated to facilitating both importing and exporting countries. This is to connect traders with whole sellers, buyers, manufacturers, and distributors.

There are several other B2B platforms that you can always check out. The above ones, however, are our recommendations and favorites.

Exhibitions

Exhibitions and fairs are some of the best ways to find dealers and manufacturers. Not only are there increased chances of you meeting authentic authorities, but you also get to see the actual products they sell and assess their qualities on the spot, thus easing your decision-making process.

The Canton fair

It is the largest import/export fair held twice every year and covers every industry there is. The fair is so huge and successful every year it is held in three major phases.

Phase one covers electronics, chemical products, and building materials.

Phase two covers consumer goods and home decor.

Phase three covers medical and office supplies, recreational goods, textiles, shoes, and health products

The fair is very Huge. Make sure you look for booths on the website in advance to save time and energy. The entrance to the fair is free. However, you can hire interpreters to help you overcome language barriers for a max of $75 per day.

Yiwu Fair

Although the Yiwu Fair happens once or twice a year, the actual Yiwu market is open all year long and has 40,000 shops that sell almost everything on a wholesale basis.

Although the market itself is not famous for electronic products (for the sake of our discussion here), the Fair is, which brings sellers, traders, distributors, companies, and manufacturers all in one place.

The fair happens in several phases rather than one, so check dates and booths before hopping on a bus to Yiwu City.

On-site visits

Once you’ve chosen your dealer successfully, it is time for an on-site visit.

On-site visits are among the best things to do when you want to bulk order from a dealer. We know it sounds a little too much and probably too costly, but it is worth all the time, money, and energy.

Plus, many companies have their showrooms and test rooms in many major countries, including the US and the EU.

It would be best to choose a dealer with a country office and a test room so you could practically go and test the product hands-on before making any purchases or signing any deals.

It is also essential to communicate in clear terms with the dealer. The language might become a barrier, but most dealers, especially those from major companies, know basic business English. However, if they do not, we strongly recommend you hire an expert interpreter so that you and the dealer can be on the same page.

Negotiate with Chinese dealers

Negotiating with Chinese dealers is one of the best ways to narrow down your list of ‘chosen dealers.’ However, before negotiations, make sure you eliminate as many dealers from your wishlist as possible, as the fewer participants in negotiations, the better the results.

The results of negotiation should always be to create a win-win citation for both of you. Never go for just the quality or the price, as doing that can be a fatal mistake. Always keep a nice balance between the two.

A perfect strategy to negotiate between 2 dealers is to create a simple table with all the essential data included in the table about the product. Next, you can show this table to each dealer to make your case strong and show the dealers where they stand against each other.

You can omit some information when dealing with a specific dealer just for intimidation reasons, but that is just business that we don’t have to tell you because you should already know that.

Also, when it comes to negotiating prices, you don’t want to be the one who gives an initial price. Remember that no supplier is going to give you their best price no matter what. There are going to be a lot of pricing games.

There is an easy way to eliminate a majority of pricing games, though. Make your deals sound long-term and ask for three quantity price breaks on email.

For instance, you could ask the supplier for their best prices on 500, 1000, and 20,000 solar street lights. This will give the supplier an idea that you are a long-term client, so they will most probably give you their best prices.

If the pricing on three quantity tiers does not change much in ratio, it is probably that the supplier is already giving you their best prices.

If there is a significant change in prices for different tiers, that is your green signal that there is still plenty of room for negotiations and that you should do some more talking.

Order samples

Now that you have successfully negotiated on deals. It is best to order samples before you start buying in bulk, as we said before as well.

Doing this will help you assess the quality of the products, the range of customization, shipping charges, and the quality of packaging.

If a few samples are not the kind of quality you assumed them to be, back off from the deal in an instant. If a company cannot handle the quality of a few samples, how in the world are they going to keep in check the quality of bulk orders?

It’s time for the payment!

When it comes to payment, it is essential to define your payment terms as clearly as possible.

When discussing payment terms, remember that the same dealer you’re dealing with is also dealing with another ten clients since everyone wants a Chinese dealer because why not? China is the lead manufacturer of almost everything.

Be sure to agree on payment terms that allow or perhaps force your dealer to prioritize you over his other clients, because let’s be honest, not all the ten clients are going to be happy about the dealer’s action. You just have to make sure that you leave happy and satisfied.

Payment terms:

100% Advance payment

Never do this. Doing this will allow your dealer to give you the least possible priority of all his clients. Because why wouldn’t he? You already gave him everything he wanted from you. Why shouldn’t he focus his energy on the clients that still owe him money?

30% advance, 70% after inspection

This is the most common payment term when it comes to dealing with Chinese dealers. However, if you see a slight room for lower initial prices, do not hesitate to go for it as it gives you better leverage.

20% advance, 50% after inspection, 30% after delivery in importing country

This, and the next term of payment, is our recommended one. You should always try to negotiate these kinds of terms as it helps you catch the dealer even if he slipped in some bad products in the package.

100% T/T payment two months after shipment

This is the gold standard and the one you should always try to go for. However, be warned that not many Chinese dealers will agree on terms like this and will try their best to get out. However, if you are confident in your negotiation skills, do give it a try.

International trade terms with China

Here are the 3 International trade terms with China that you should be aware of and that most dealers will almost always bring up.

EX-Works (EXW)

This is a shipping agreement and the one many suppliers and dealers will force you to sign. We recommend not to.

The term simply specifies that the supplier will produce the goods in his factory. Picking up the goods, transporting them to your country, handling paperwork, maintaining quality, and bearing the responsibility for any damage whatsoever during the transportation is all your respon

If you have any question about tariff engineering, you will find the answer right here.

So, keep reading to learn more.

What Is Tariff Engineering?

Tariff Engineering is a process that a company use to make small changes on their goods in order to pay less tax to the government during importation.

Is Tariff Engineering Legal?

Yes.

As long as the changes are not tempered with by the company after importation of the goods.

How Do Exporters And Importers Benefit From Tariff Engineering?

Exporters and Importers have varied benefits;

• The main one is generating revenue on goods and services hence granting a generous boost on the products.
• Reliable taxation from the government under which their company is based and the export markets hence achieving fewer duties.
• Sustainable product specification and market control in the distribution chains.
• Advanced security by the implied laws to the government through court ruling to preserve the product classifications.
• Substantial marketability to the desired consumers in different category of goods and services.
• Improved infrastructure and technology enhance easier accessibility of the different products from the local and international manufactures.
• Ease of access to negotiable range of products to the job markets since a product may have variable terms of distribution.
• Wealth creation to consistent exporters and importers who have been able to determine the coexistence of the major tariffs engaged.

Why Should You Consider Tariff Engineering?

These are basically the benefits of tariff engineering

Here are some examples

• Cost of materials – a more sufficient supply of less costly material should be considered in oder not to have best tariff on the products.
• Cost of manufacture – a more reliable production method should be cost effective in relation to the consumer market. Th is is to increase its profit with less expenses incured.
• Marketability – Importers and Exporters should have more interest in the most convenient tariffs which will enable them outsource for the goods nd services.
• Safety – Manufacturers should be able to defend their final product classifications based on their best tariff category on the goods and services.

Are There Disadvantages Of Tariff Engineering?

These are some of the disadvantages of tariff engineering;

• Tariff Engineering can trigger trade war in member states against different duties levied to similar goods and services.
• Higher taxation to the consumers when the tariffs shift towards a higher margin in making profit.
• Improved market rates on the income tax levied to the individual companies.
• Monopoly in production since a tariff may last longer before an adjustment is made to fit different exporters and importers.
• Companies may appear to be at almost an inexistence state if the if their product classification is not matched according to the initial tariffs.
• A less reliable tariff may lead to low quality production of goods and services.
• It generates higher consumer prices hence reducing the rate of importation and increasing higher expense in local production.

Does Tariff Engineering Work For All Products?

Yes.

–        It is one of the most reliable sources in putting up sustainable product classification.

–        It provides security for local manufactures for their goods and services against foreign competitors and governments.

• A sustainable tariff will go a long way in defending a legit product in a more corrupt business environment.

Are There Critical Considerations In Tariff Engineering?

Some of the critical considerations are;

• Importers and Exporters should be able to identify your goods and services in the product market that can not to be altered.
• The rate at which the duties are levied besides the tariffs should not interfere with the flow of the product to the market.
• There should be convenience to the desired tariff to the product both locally and internationally.
• The duties should conveniently outline the usefulness of the tariffs on the particular good or service to be offered by a company.
• The tariff engineering should be agreeable to the different product markets thus generating a relative coexistence.
• In each tariff engineering whether local or international, the company should be able to make profit that will bring sustainability to the production.

When Was Tariff Engineering Introduced?

It was introduced in 1881 to help enable ease the consumption of products hence to defend a legit product in a more corrupt business environment.

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The efficiency of the order fulfillment process plays a vital role for a retailer in customer satisfaction and loyalty.

The order fulfillment process involves storage, inventory, organizing, and shipping items with an efficient operation.

Read on to know more about the order fulfillment cycle time – what it contains, how to measure it, optimizing a supply chain order, and best practices that are helpful for retailers to improve their operations.

What Is Order Fulfillment?

Order fulfillment is a process of receiving goods, processing orders and delivering them to customers.

This process begins when a customer places an order and ends once customers receive it. However, if a buyer needs to return the order, order fulfillment also deals with the return transaction.

Here are the steps included in the order fulfillment process:

• Getting Inventory Shipments
• Inventory Storage
• Processing of Order
• Shipping
• Processing Returns

The order fulfillment cycle can be complex and expensive. However, some companies handle in-house order fulfillment, and others outsource this process to any third-party logistics company.

What Are Different Types Of Order Fulfillment?

Order fulfillment is a single component of the more effective supply chain process.

There are four significant types of order fulfillment: In-house, Outsourced, Dropshipping, and Hybrid.

In-House Order Fulfillment

It is an order fulfillment model where a business uses its own employees to manage the fulfillment processes.

Employees are responsible for handling all steps of the fulfillment process.

It involves storing and shipping the products on-site in a company-controlled location.

It is an ideal model for established companies looking to have end-to-end control over the complete operation.

However, some home-based startups also use in-house fulfillment processes due to low cost. Mainly for the businesses having small order volumes. Once they are well-established, they can go for a hybrid or outsourced fulfillment model.

Outsourced Order Fulfillment

Outsourced order fulfillment is when a third-party logistics or order fulfillment company handles shipping, storing, and order/refund processing.

Companies having insufficient storage space or staff usually go for this option.

In such a case, the third-party logistics employees are responsible for handling the complete fulfillment process from end to end.

3PL deals with receiving inventory from manufacturers to deliver orders to the customers. Inventory can be stored in a warehouse controlled by a third-party company.

Thus, companies don’t need to have their own warehouse facilities for outsourced fulfillment.

Dropshipping

Dropshipping is a process similar to outsourcing, except there is no need to manage the inventory.

The retailer doesn’t need to keep the items in stock. Instead, when an item is sold, the retailer can buy it from a third-party supplier.

The supplier can be a manufacturer to a company that acquires products from manufacturers and sell them to drop shippers.

The supplier deals with all orders and then ships them to the customers.

You will be billed for the products that you sell. It is a standard process model used by startup retailers and E-commerce businesses.

Hybrid Fulfillment

A hybrid fulfillment model is a mixture of the above order fulfillment options.

For example, a company handles some orders in-house, like custom products or items that need to be assembled before shipping.

They also use dropshipping services for non-custom items.

Some companies choose to use dropshipping model for the products that are purchased occasionally or companies that don’t want to store in-house, like oversized or expensive products.

It is suitable for companies that need more flexibility or looking for speedy expansion.

Understanding The Order Fulfillment Cycle Time

The order fulfillment cycle time is the amount of time between customers buying the products and getting delivered to their doorstep.

It is an essential factor that provides insights to retailers about the effectiveness of their order fulfillment process.

The order fulfillment cycle time involves the following steps:

Order Placement

The order fulfillment process starts once a customer makes an order through the retailer’s social media, website, or a third-party E-commerce platform like Amazon or Flipkart.

Once a retailer gets the order, a confirmation email can be sent to the customer.

Sourcing Required Goods

Depending on the E-commerce platform fulfillment model, the retailer may already have the specific product, and everything else needed.

If required products need to be shipped, this step comes once the order gets placed to ensure that the sourced goods don’t go to waste.

Order Processing

The order manufacturing step comes in different forms, and it depends on the products available in the store.

This step involves storing the products from the shelf, assuring the quality, packaging the product, and sending it to the shipping team for the companies with available inventory.

Order Shipping

The products that are ready to be shipped go to third-party carriers. The best shipping options depend on the size, weight, and dimensions of a product.

Measuring The Order Fulfillment Cycle Time

It is important to keep a low order fulfillment cycle time for staying competitive in the E-commerce industry.

However, measuring the cycle time can be challenging as the sourcing industry and delivery can’t be in retailers’ hands.

Measuring the order fulfillment cycle time is the first step to optimizing the process. Below are the factors that can affect the cycle time in different ways:

Source Time

Source time is known as the amount of time between a customer placing the order and the retailer receiving the raw materials and needed goods to complete the order.

This step shows the importance of having dependable suppliers and an efficient E-Commerce platform in place.

Production Time

The production time involves prepping, manufacturing, and packing the order. Once this step is done, the parcel will be ready to deliver.

Delivery Time

The delivery time is known as the period between a parcel leaving from the warehouse to the time customer receives it.

Measuring the total order fulfillment cycle time is easy, and it can be measured by taking a sum of the source time, production time, and delivery time.

For example, suppose a customer placed an order on April 5 and received it on April 10, overall order fulfillment cycle time is 5 days.

Improving The Supply Chain Order Fulfillment Cycle Time

Many retailers feel that delivering products on time is only proof of an efficient order fulfillment process.

However, more than 60% of consumers report that a single unpleasant experience is enough to discourage them from buying from a specific brand for a second time.

This fact leaves very little room for errors.

There is always room to improve the order fulfillment cycle times, which goes beyond shipping concerns.

Retailers need to look at the bigger picture of having an efficient system.

Consider Travel Time

The time needed for raw materials to reach the retailer’s warehouse plays a vital role in reducing the overall cycle time.

Sourcing materials from local manufacturers or warehouses can be helpful to minimize travel time, and it will also be beneficial to reduce shipping costs.

However, products from local wholesalers can be expensive, but it’s worth it because it reduces the transit time lowers shipping costs.

Analyze Warehouse Flow

The layout of a retailer’s warehouse affects the overall fulfillment cycle time.

Having an optimized space can be helpful for the workers to operate more efficiently within the area.

There are different ways of optimizing a warehouse. You need to shorten the distance between coordinating teams.

This step is helpful to reduce the travel time of getting a parcel from one team to another.

Moreover, it is also better to move necessary resources to highly utilized areas. Enabling workers to acquire goods within arm’s reach can be helpful to reduce handling time.

Implementing Supply Chain Technology

Supply chain technology has massively enhanced over the last few years. Nowadays, there is no room to track inventory manually and storing in a modern E-Commerce operation.

There are different warehouse management systems that help to automate the sourcing, production, and delivery process.

Implementing technology in the order fulfillment cycle helps reduce errors and move business operations quickly.

Why Is Order Fulfillment Important?

Nowadays, customers are used to two-day or next-day shipping options.

Thus, the quick and on-time shipments are high in demand.

When the order fulfillment process isn’t steady or timely, companies struggle to get the shipments delivered on time which isn’t good for your business.

According to the stats, more than 40% of customers say that they won’t shop from a retailer at least a month again after experiencing a delivery.

More than 35% of customers say they won’t shop from such retailers at all.

Order fulfillment options directly affect the buying habits of customers. Customers need delivery options that are ideal for their needs.

Offering a mixture of fast and moderate shipping options can be helpful for customers to choose according to their budget and time limits.

Companies that don’t offer desirable options can lose their customers.

More than 40% of customers abandon their carts due to poor delivery options.

However, more than 50% of customers say they purchased from one company over another because they offered more delivery options.

If you are looking to have a competitive advantage, then it is important to deliver according to customer expectations.

Speedy delivery and return services are helpful to increase your sales. By improving your order fulfillment process, you can:

• Reduce Shipping Costs
• Reduce Operational Costs
• Increase Your Customer Base
• Focus on Sales
• Enhance Customer Service

Challenges Of Order Fulfillment Cycle

It isn’t always easy to implement effective order fulfillment processes.

Businesses encounter complex challenges regarding demand, logistics planning, and inventory management.

Here’s a list of the most common aspects:

Inventory Management

Running out of stock is a quick way of discouraging your customers from shopping with you. Companies that successfully maintain optimal inventory levels do not need to worry about losing customers due to stockouts.

Demand Planning

It is essential to understand the demand for the products that you sell. In this way, you won’t risk overstocking.

Demand shaping can be helpful with this, and it involves using promotions and marketing for creating demand.

Logistics Planning

The shipping process is also crucial for retailers as a sale is important to them.

You need to ensure your shipping methods, care, and speed are required to get products delivered to the customers.

Otherwise, the order can be late, missing, or broken, which can be damaging for your sales and reputation.

Supply Chain Execution

Despite having the best planning, retailers run short of inventory, especially during sudden spikes in demand.

When demand reduces your inventories, you should be able to restock those items as soon as possible.

Working with manufacturers that can fulfill your orders quickly is essential.

Order Fulfillment Cycle Best Practices

Creating an efficient order fulfillment process is essential to win over customers and maintain the competitive edge.

There are different best practices to keep in mind that are helpful to improve order fulfillment processes.

Choose What Works Best For You

First of all, you need to use the fulfillment model that is ideal for your business.

The model needs to be flexible enough to handle the order volumes, sales channels, and customer locations.

If you sell tailored or made-to-order products, then the fulfillment process should be able to accommodate those difficulties without adding unnecessary delays.

Using Data For Making Decisions

Your technology needs to be supporting order fulfillment with real-time data, providing you inventory visibility and allowing more accurate demand predictions.

You need to make data-driven decisions for making purchasing and production easier to fulfill the demand and maintain enhanced inventory levels.

Clear And Effective Communication

With the help of better supply chain visibility, you can set clear expectations with deliveries and customers. You need to be transparent about returns and processes also.

Don’t Be Scared By Automation

Finally, you can influence warehouse automation to improve order fulfillment efficiency and accuracy for meeting your customers’ expectations.

Flexible automation solutions such as mobile robots can optimize picking routes in real-time, reducing travel time and improving picking efficiency.

Collaborative mobile robots help leverage machine learning and AI, guiding warehouse workers through tasks and helping them to work faster and reduce errors.

There isn’t a single fulfillment process that works for every business.

Whether you are moving to outsource the process to a third-party logistics company.

Or using a hybrid warehouse fulfillment model, what matters the most is finding the proper procedure that fulfills the needs of your company and customers.

The goal is to measure and reduce the order fulfillment cycle effectively.

Improving Order Fulfillment Cycle Time Is Important

The order fulfillment cycle can be the major difference between struggling to sustain customer satisfaction and winning customers loyalty for a fruitful business.

Making efforts to optimize this process and repeatedly pushing to enhance the cycle time can increase the growth and scalability of operations.

The pandemic has affected entire industries and the merchants that depended on just one or two suppliers.

Experts predict more diversification across sourcing, marketplaces, fulfillment channels, and carries to avoid this from happening again.

Bottom Line

Taking time to analyze, assess, and enhance your order fulfillment processes and systems by keeping track of your E-commerce fulfillment metrics will be helpful.

It will improve the bottom line. It can be beneficial to make life easier for you and your employees.

However, if you find that fulfillment processing takes too much time and resources, it can be ideal to consider outsourcing with a third-party logistics provider.

There are different benefits of outsourcing order fulfillment to a well-established and reputable 3PL.

It will be helpful to save your time and money, scale your business, and increase conversions while staying at the top of your order management performance metrics.

It can be helpful to make your customers happy with a streamlined fulfillment experience.

More Resources:

Fulfillment By Amazon

Ecommerce Shipping

Shipping From China To Amazon FBA

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Today’s guide will focus on another important freight term residential delivery fee.

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

What Is Residential Delivery Fee?

A residential delivery fee is a trucker’s price for delivering to a house, condo, or apartment building.

Why Is There Residential Delivery Fee?

Truckers charge based on the package’s size and weight.

They then add a residential delivery fee to account for time, gas costs, and other expenses incurred during their journey.

Residential delivery is different from commercial delivery.

Under What Circumstances Am I Charged Residential Delivery Fee?

A set fee per box purchased by customers through an e-retailer applies to all orders.

The cost is necessary because truckers have associated expenses while delivering goods.

What Is The Best Way To Avoid Paying Residential Delivery Fee?

If a customer chooses not to pay a Residential Delivery Fee, the package is returned to the original shipper or sent to a local UPS Store.

There are three ways to avoid this fee.

• The first and default option is to refuse the package when it arrives at your doorstep or choose another carrier.

However, extra fees depend on where you live.

• The second option is getting everything redirected through another service provider like USPS Priority Mail.

It doesn’t have an additional surcharge over regular first class rates.

• The last option would involve using either FedEx or other major freight companies like DHL.

These offer similar services but come at lower rates than most USPS standard shipping charges.

What Happens If I Choose Not To Pay For Residential Delivery Fee?

If you refuse a package, it is returned to the original shipper or sent to a local UPS Store.

However, if you have the item shipped to a UPS Store, you will be charged the appropriate storage and box fees.

Furthermore, if your shipping label includes store pick-up as part of its itinerary, they will charge accordingly.

When And How Are Residential Delivery Fees Calculated?

UPS calculates their residential delivery fees by looking at the package’s weight, size, length, height, and width.

Then they determine how much it costs to deliver the parcel and how long it takes to get to its destination.

Why Are Residential Delivery Fees More Expensive?

There is a residential fee regardless of whether your orders are shipped by small package or LTL carrier.

There is a fee associated with all shipments that are picked up or delivered to residential addresses.

Apartments, condos, and single-family homes are all considered. If someone lives there, it’s regarded as a residential address.

Moreover, routes are spread out, and services like address corrections incur extra administrative expenses if errors occur.

What Factors Affect The Residential Delivery Fee?

Several factors can influence the cost of a residential delivery fee.

These include:

• Weight and package dimensions, i.e., number of boxes.
• Proximity to the nearest drop-off location.
• The size of the package.
• Delivery time.

Is There Any Other Way To Get My Package Without Paying The Residential Delivery Fee?

Yes, there are two ways to avoid the fee.

The first is if you refuse your package, and it’s returned to sender.

However, if you choose not to accept it, UPS will charge you the appropriate return fees.

The second option is for you to redirect your package through USPS. However, you will be charged an extra fee for doing so.

Why Are Some Companies Charging Residential Delivery Fees?

Companies charge these fees to cover the cost of delivering goods in residential areas.

It helps pay for the trucks and equipment that are necessary while making these deliveries.

It also helps keep packages on schedule and cover fuel costs.

Do I Have To Pay Residential Delivery Fee If My Parcel Weighs Less Than 30 Pounds?

In a nutshell, yes.

If your package weighs less than 30 pounds, it will still incur a charge if delivered to a home address.

Is It Worth Paying Residential Delivery Fee On A New Appliance Or Furniture Item?

It depends on the size of your item.

If you have a new refrigerator, stove, or washing machine delivered to your home, then yes, you will most likely have to pay the residential delivery fee.

Do Online Orders Incur A Residential Delivery Fee?

For online orders, the fee applies to the shipping cost.

Depending on where you live, this fee could cost up to $25 per package.

If you choose not to pay it, then your order is canceled.

Why Was I Charged A Residential Delivery Fee When It’s Not Listed As An Option In The Checkout?

In the case of free shipping, a company will choose the least expensive option for your package.

For example, if you order two lightweight products, they will most likely use an LTL carrier.

However, if one item weighs more than the other, they will use a small package carrier instead.

A residential delivery fee applies if your items are too heavy for the LTL carriers and too lightweight for the small package carriers.

The fee will show up in the cart and checkout process before you submit your order.

If you are eligible for free shipping, then this fee will not apply.

This fee does not apply to wholesale orders, but it may apply to items purchased from other retailers.

Find out if you qualify for free shipping by checking the Shipping & Handling section on our website or contacting Customer Support.

How Does The Residential Delivery Fee Work If I Buy Only One Item And Live Outside Urban Areas?

Deliveries to residential addresses are subject to the Residential Delivery Fee.

However, if you live in an area that’s not considered urban, most companies will choose to use an LTL carrier instead.

That is because the shipping costs are lower.

How Can You Tell If Your Address Qualifies For Residential Deliveries?

The USPS is the only legal way to send packages to most areas.

Also, the private carriers primarily service business locations, but they deliver residential mail outside their regular routes.

The best way to tell if your address is eligible for a Residential Delivery Fee is to check if it is stated on the checkout page.

Unless they are listed, fees do not apply.

Can I Cancel My Order If I Don’t Want To Pay The Residential Delivery Fees?

It varies depending on a particular company.

Some companies will cancel your order entirely if you choose not to pay the extra fees. Other companies will require payment before a refund is issued.

Are There Any Residential Delivery Fee Restrictions On International Orders?

In most cases, no.

In general, companies will only charge international fees if your package weighs over four pounds.

These charges may also apply if you live in a country that requires them.

 Under What Circumstances Do Residential Delivery Fees Apply?

• To residents of rural areas
• When the delivery is being made to a business address
• If the package weighs over four pounds
• If you have a PO Box

 What Are Some Benefits Of Using The Residential Delivery Service?

• Supplement delivery services are offered by LTL carriers, private carriers, and the Postal Service.
• Keep packages on schedule (shipping time is reduced).
• Cover fuel costs.
• Keeps equipment and staff on schedule (lowers idle time).
• Lower shipping rates overall.
• Eliminates the need for large, expensive equipment (smaller packages are delivered with small carriers).
• Increases efficiency.

Who Should I Contact With Any Questions About The Residential Delivery Fee?

The company you’re ordering from would be the best place to start.

If there is a Residential Delivery Fee applied to your order, they can inform you at that time.

At Tj chinafreight, we will help you in all shipping from China to any global destination.

Contact us today for all freight forwarding services.

Economy shipping and standard shipping are often lumped up together when it comes to shipping options. But what exactly does each one entail?

This guide clears up confusion and outlines essential factors to help you choose a suitable shipping service for your business.

What Is Economy Shipping?

It is the most cost-effective shipping option for businesses operating on a tight budget.  This service is suitable for sending all kinds of packages, including small and large packages, documents, crates, pallets, etc.

Basically, economy shipping is the cheapest shipping service offered by most couriers and freight brokers.

And since shipping costs are often tied to delivery speed, economy delivery is relatively slower than other options.

The typical delivery time for economy shipping is 1-15 days depending on the destination.

The time will be much shorter for local deliveries, while international economy shipments take slightly longer to deliver. The latter is usually subject to courier status and shipping distance.

Pros Of Economy Shipping

There are many benefits of economy shipping. Here is a quick overview:

• Suitable for all kinds of senders
• Inexpensive compared to other shipping options
• Ideal for shipping small and bulk packages
• Shipments can be tracked at a basic level
• Just as quick as regular shipping when sending domestically

Due to its low price and dependability, economy shipping offers the best value for money, especially local shipments.

Cons Of Economy Shipping

• Not suitable for time-sensitive deliveries
• Economy shipment tracking is not as efficient as other alternatives
• It is challenging to keep track of individual packages when sending via economy shipping
• Turnaround time for international deliveries can be too long

What Is Standard Shipping?

Now that you know what economy shipping is, let’s look at how standard shipping is different.

Standard shipping is a feasible shipping option for packages that are a bit time-sensitive. Usually, these are packages that can be processed within a day and delivered within ten days.

Standard shipping offers a wide choice of costs. You can make use of the plethora of online shipping calculators to get the best deals.

This might help you save money as well as plan your delivery and budget accordingly.

Please note that the standing shipping service is designed for all kinds of senders. It is ideal for small and large businesses that send packages of different sizes and weights.

This option also allows you to ship to different regions, including international destinations.

In addition, standard shipping offers reasonable shipping times. It also offers full tracking to allow you to keep track of your shipments at different locations in real-time.

The shipment’s size, dimensions, and destinations influence standard shipping costs just as they do in economy shipping.

Pros Of Standard Shipping

Some advantages of standard shipping include:

• Provides the best of both worlds; it is economical yet speedier than economy shipping
• It offers a shorter delivery time! Although the difference is only by a few days, it may be beneficial to your supply chain.
• Guarantees safe delivery of goods, no matter the delivery location
• This form of shipping has full tracking options
• Many couriers companies offer it

Cons Of Standard Shipping

The benefits of using standard shipping outweigh the cons.

As a matter of fact, the only downside in using standard shipping is the amount you’ll have to pay for the service.

It is slightly costlier than economy shipping but cheaper than other expedited shipping solutions.

Difference Between Economy And Standard Shipping

At this point, you may have noted that the economy and standard shipping options have more similarities than differences.

The main difference lies in the price, turnaround time, and available tracking options.

Economy shipping focuses on providing a cost-effective shipping solution for businesses that ship bulk regularly.

It helps them save money while ensuring safe sending and receiving of goods.

On the other hand, standard shipping caters to senders looking to send or receive packages within a tight deadline.

It is only faster than economy delivery by two to three days but costs comparatively more.

For example, economy delivery may cost you $30 to ship a 20kg parcel. Standard shipping will set you back $50 to send a package of similar weight to the same destination.

The price difference is because economy shipping vessels involves sending large volumes at a time.

They must be at full capacity at the time of shipping to ensure profits for the shipping company.

But in standard shipping, vessels leave at the scheduled time, whether full or not. Thus the high price!

Regarding shipment tracking, this is possible in both types of shipping. Only that tracking in economy shipping is not as fast and effective as it is with standard shipping.

The tracking restrictions in economy shipping tend to be greater, especially for international shipments. Couriers only provide tracking information at the time of an economy shipment delivery.

But in standard shipping, couriers provide GPS tracking, allowing real-time monitoring of shipments while in transit.

When To Consider Economy Or Standard Shipping

As a business, you must determine which shipping option is suitable for your needs. Usually, choosing the best shipping method depends on how fast you want the delivery to be made.

If there is an urgent need for the goods you want to ship, then standard shipping is the right solution for you.

Otherwise, we recommend that you choose an economy shipping service. It is slow! But it offers affordable rates, which may benefit your business, mainly if you often ship large packages domestically.

Some carriers don’t offer economy deliveries for goods with special shipping conditions. So, in this case, you’ll have to rely on standard shipping or the express shipping service.

Major Companies That Offer Economy And Standard Sipping Services

Most courier companies offer economy and standard shipping as they’re currently the most sought-after shipping services.

This variety gives senders the benefit of researching and choosing a reliable partner for their shipping operations.

To name a few, you can choose economy or standard shipping services from the following providers:

• FedEx
• UPS
• DHL
• USPS
• EMS

Including other multi-national carriers, these are the main ones that you can trust with confidence for cost-effective shipment delivery.

They are each professionals in their fields and will ensure safe and timely delivery of your shipments.

Conclusion

There are plenty of factors to consider when choosing the best shipping services for your parcels. Every sender has different needs and preferences.

Therefore, it is essential to consider the pros and cons of choosing between economy shipping versus standard shipping.

But when it comes to successfully navigating through the shipping industry, having a logistics partner you can trust is instrumental.

Tj chinafreight is an authority with years of experience in the China freight forwarding service.

We can help you find the best courier services and rates that suit your requirements precisely.

Contact us today for your shipping needs and take advantage of our expertise.

I know probably, you have any questions about economy shipping.

A reason this guide will make everything easy and simple to understand about this type of shipping.

The best part – you’re likely to save a lot of money.

Let’s find out how it works.

What Is Economy Shipping?

Economy shipping is for the common people. It is the most inexpensive and secure way of

transporting a product.

Although economy shipping is not faster than standard or expedited shipping when it comes to reaching its destination, economy shipping is cheaper.

Besides, it is more reliable than any other transporting service.

Almost every courier delivery company offers economy shipping. If you don’t have an urgent delivery that cannot be delayed, then economy shipping is the best option for shipping.

Usually, fragile, bulky goods are being transported domestically since economy shipping can prevent fragile products from breaking in transit.

This method of transporting is environmentally friendly and comes with options like biodegradable Styrofoam.

How Does Economy Shipping Work?

Economy shipping offers many services, including international shipping.

So when you order a product via the economy option, courier services pick your product up from the assigned warehouse.

They then move that product just like any other product.

It’s been done alongside their supply chain. However, when it’s time for final delivery, it arrives at the closest hub and is then handed over to USPS.

The post office then makes the delivery to your house. That is why economy shipping is more affordable.

The package is delivered just like any other mails you receive daily.

What Is The Difference Between Standard Shipping And Economy Shipping?

There are three key differences between economy and standard shipping.

Cost:

The expenses of these two shippings are the biggest difference between them.

Economy shipping, as the name suggests it is economy friendly. It’s way cheaper than standard or express courier services.

You can easily ship bulky items with less price. Standard shipping usually delivers smaller items with much higher prices.

Delivery Time:

Another difference between economy shipping and standard shipping is delivery time.

Since economy shipping is more affordable and does not have any urgency in delivering products, it takes more time than standard shipping for package delivery.

Economy shipping is done on land via the post office, so it takes longer than standard shipping.

The difference in delivery timing can range from 2-10 days.

Standard shipments are delivered more early because of the urgency of the product.

Tracking:

Tracking an economy shipping is more efficient than standard or express shipping.

Economic shipments have scan codes printed on them when they are collected and when they have been delivered.

Since economy shipping is cheaper and happens in bulk, the tracking is limited, and there is less scanning potential.

On the other hand, tracking standard shipping is more difficult than economic shipping.

Why Should You Consider Economy Shipping?

Nowadays, online businesses are growing rapidly, so shipping has also become a crucial part of it.

However, shipping is a long process and expensive.

That is why E-Commerce firms want their shipping to be timely and less costly so that their customers can get the products in time with less money.

If your product does not have an urgency for delivery, then economic shipping is the most reasonable way of shipping your products.

Economic shipping is more effective when it comes to delivering products domestically.

You can easily track down your economy packages.

Many online retailers use economy shipping to avoid any damages to the product and also to afford the shipping charges.

Almost every courier service, including UPS, FedEx, and USPS office chair low cost economy shipping. You can also use economy shipping for international products.

Although economic shipping takes a longer time than standard for express shipping to deliver products, it is less costly and more safer.

If you are shipping heavy or fragile products, economy shipping is a more suitable and reliable option for you.

Another reason why you should consider economic shipping is because it is eco-friendly and offers packaging options.

These include options like biodegradable Styrofoam to avoid fragile items from breaking in transportation.

Can You Save Money Using Economy Shipping?

The answer to that question is yes.

You can save a lot of money using economy shipping since economy shipping does not have any urgency when it comes to delivery.

Also, economic shipments are usually delivered via the post office, so it’s more affordable.

You can easily ship heavy or frag products using economy shipping to avoid items from breaking in transportation.

Many companies offer discounts of up to 70% to their customers.

What Are The Benefits Of Economy Shipping?

Economy shipping has more benefits than cons. Here are some benefits of it.

• As we have already mentioned before, economy shipping is less costly since the post office delivers the product.
• It is the ideal shipping method for delivering bulky or fragile items. Also, it’s a better option for shipping in bulk.

•  Economy shipping is more time-consuming. However, when you are shipping products domestically via economic shipping, it can be as quick as standard shipping.
• Economy shipping can be easily tracked. So it’s more reliable and safe.
• Economic shipping is environmentally friendly. It offers packaging options like biodegradable Styrofoam so that the items don’t get damaged in transportation.

 Who Delivers Economy Shipping?

Almost every courier service nowadays offers economy shipping to their customers.

However, these companies offer the most reliable and cost-friendly economy shipping.

They are DHL, FedEx, USPS and UPS. Let’s take a look at them.

DHL:

DHL is one of the biggest shipping giants in the world. They provide B2C economical delivery to more than 220 countries. With DHL, you can easily deliver products weighted up to 2 kg.

However, if you want to ship items heavier than you may have to go for another company.

It is the most reliable and trustworthy courier service for economy shipping.

DHL is the best option when you are shipping small items worldwide.

They offer economy shipping with less completed customs clearance.

FedEx:

FedEx is one of the famous courier services that offer economy shipping to over 215 countries. It is a United States based company. Usually, they offer delivery within  2-5 business days.

However, there is a limit on the size and length of the package. You can only ship products weighed up to 150 pounds domestically.

FedEx also offers international Economy shipping.

USPS:

It takes up to 2-8 business days to deliver via USPS economy shipping.

The duration of the delivery depends on how far the delivery has to make.

It is usually delivered by the post office, so it can take a little longer. So if you don’t have an urgent delivery, USPS is the best option for shipping.

However, just like any other companies, there is a limit to the package’s size.

You can only ship products up to 70 pounds and up to 130 inches in length and width.

They do deliver items heavier than the limit, but then the price of those deliveries will be even higher.

UPS:

unlike the above companies, UPS is faster. They offer quick economy shipping within 1-5 business days.

Although there is a size limit when you are sleeping heavy products, UPS is more secure and more reliable when it comes to economy shipping.

Is Economy Shipping Safe?

Economy shipping is more reliable and safe if you are trying to ship heavy products or products in bulk.

Standard or express deliveries are much quicker, but most of the time, the quality of the delivery service is so poor.

The items are not packed well and take and break easily in transportation.

Economy shipping is safer because they don’t have urgency in delivering, so the items are being well packed, and then they are delivered.

Economy delivery can also be easily tracked down so that the customers can rest assured that their products are being delivered properly.

How Long Does Economy Shipping Take?

Unlike standard shipping or express shipping, economy shipping takes a longer duration of time when delivering products.

Domestically it can take around 1-8 business days to deliver the package. The duration of delivery time also depends on its destination.

Internationally, economy shipping can take up to 15 business days or more. Usually, economics shipping delivers heavier items or items in bulk that do not have any urgency.

However, you can make your delivery faster with economic shipping, but then you may have to pay more in order to do so.

But you can easily track down your economy shipping and see when your package is right now.

Is Economy Shipping Better Than Standard Shipping?

One of the main issues of economy shipping is the duration of the delivery. Compared with standard shipping, economic shipping takes longer to deliver items.

However, the difference between these two is only visible in international shipping. Domestically, economy shipping can be as quick as standard shipping.

The reason behind this standard shipping is more expensive than economic shipping.

Usually, standard shipping delivers smaller and less items.

That is why the delivery is faster. Economy shipping also delivers small items, but you can also ship heavy items with more safety.

Economy shipping is cost-friendly and environment friendly.

Standard shipping has many issues with the quality of the delivery. However, customers can rest assured when they choose economy shipping.

Do International Courier Companies Offer Economy Shipping From China?

There are many international companies that offer economic shipping from China. Also, there are many China-based companies that offer economy shipping globally. These are:

DHL:

DHL or DHL Express is an international German courier service that offers economy shipping from China. The Chinese head office of DHL is located in Beijing.

FedEx:

FedEx is a US-based courier service that has its Chinese head office located in Shanghai. Also they have more than 82 branch offices and 220 cargo flights that deliver from China every week.

UPS:

UPS or United Parcel Service is also a US-based courier service that has its office in China. UPS also offers economy shipping in China domestically.

TNT:

TNT is an international courier company bought by FedEx in 2015.

It has its head branch located in Shanghai along with regional offices in more than 37 cities in China. TNT offers express economy delivery.

China Post:

China Post Group Corporation is a state-owned Chinese courier service. The head office is situated in Beijing.

It’s the biggest China-based courier service that offers economy shipping internationally.

China EMS:

China Postal Express & Logistics Co., Ltd is a China post group corporation on the mail service.

It offers economy shipping in all the cities in China along with shipping to more than 200 countries.

Hong Kong Post:

It is a state-owned courier service based in China and has its head office located in Hong Kong. It is one of the most prominent delivery services that offer economy shipping internationally from China and has more than 125 post offices in Hong Kong.

SF Express:

SF Express is also a Chinese own courier service that has its head office situated in Shenzhen.

It is the second biggest courier service in China. Economy shipping internationally and domestically are among its many services.

How Can You Track Economy Shipping?

Tracking economy shipping is much easier than other shipping methods.

Since it is limited to a scan on the package when the product is collected and when it’s in transportation.

Sometimes a second scan is needed at the time of delivery.

The reason behind this is economic shipping delivers products in bulk to keep them cheap.

That is why tracking down economic shipping is less complicated and limited to a few scanning.

Standard delivery or express delivery is more difficult to track since the shipping involves various processes.

Can You Deliver International Economy Shipping?

You can use economy shipping to deliver products domestically or internationally.

However, delivering packages worldwide, even if you are using economic shipping, can be more expensive and can take a longer period of time to deliver the items.

It is less cheap, however, compared to other shipping services.

Almost every courier service offers various International economy shipping services to eCommerce businesses and individuals. You can also ship heavy items internationally with economic shipping.

What Service Does Economy Shipping Offer?

Economy shipping is the cheapest method of shipping regionally or Internationally.

Economy shipping offers many services, including air courier service, ground shipping services and international shipping services.

Economy Ground shipping services include:

Ground Pick Up:

Shipping companies offer to take your package from your home and ship them domestically within 1-5 business days. You can track your package.

Ground Drop Off:

It means the shipping company will deliver your package to your doorstep within 1-5 business days. You don’t need to drop or take your package from the post office.

Economy international shipping services include:

Small Package Service:

Smaller items will be picked up from your house or work and will be delivered worldwide within 3-9 business days.

Ground International Drop Off:

Your package will be delivered at the nearest FedEx Drop Off location. And then it will be delivered to you within 2-5 business days.

Does eBay Offer Economy Shipping?

eBay is a US-based multinational e-commerce corporation located in California. They offer standard, express and economy shipping to their customers.

eBay offers really cheap Economy shipping both domestically and internationally.

eBay also has a protective cover option that you can choose when you’re booking your shipments. It may require extra money for it.

Can You Get Economy Shipping When Buying From AliExpress?

AliExpress is a Chinese online retail service. It is owned by Alibaba Group.

AliExpress offers a variety of shipping services within China and globally as well.

They include more than 1859 international economy shipping products to choose from when you’re making a purchase.

AliExpress offers Cainiao Super Economy when you can ship items globally with Paid + Free Shipping and Cainiao Super Economy Global service. However, you can not track your package.

What Are The Real Challenges In Economy Shipping?

Economy shipping may be the best option for big shipments and can help to reduce the risk of common issues related to shipping.

Still, there are many challenges when you choose Economy Shipping.

• The most key challenge in Economy shipping is the duration of time. Economy shipping takes longer than other shipping services. You may have to wait forever for your package to be delivered.
• Heavy industrial items sometimes are delivered via Economy shipping. If the quality of the shipping services is not good, the items can be damaged in transportation.

• Even though Economy Shipping can deliver bulky items, there is a limit to the package’s size. If your package is heavier than the limit, you have to pay more for the shipping. It can become very expensive.
• When shipping globally, the Shipping routes can be disrupted. There are many factors that can cause a delay in delivery, such as political unrest, natural disasters and pandemics.

Which Good Does Economy Shipping Offer To Deliver?

Usually, heavy items and items in large amounts are delivered using Economy Shipping.

Industrial companies or tech companies, or agriculture firms use Economy shipping for their products.

Goods, like heavy industrial machinery, papers that come with huge bundles, tech products, pesticides, or even large furniture are being delivered through economy shipping.

More Resources:

Express Shipping From China

Ecommerce Shipping From China

Shipping From China

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

This guide covers all information you’re looking for about preferential duties.

So, if you have any question about preferential duties, you will find the answer right here.

Keep reading.

What Are Preferential Duties?

When the duty rate is lower than the value set on imports of a particular commodity line in an FTA member country, then we can call it a preferential duty.

The preferential duty rate is more formal and applies to certain trade terms.

For instance, when goods being imported from member countries are identified to meet the FTA requirements, it thus applies.

How Can You Claim Preferential Duty?

Claiming of a preferential duty rate is based on the free trade agreement set between the participating countries.

With or without a certified certificate of origin, claiming the preferential duty rate is still possible.

The difference comes in on the claiming procedures where they differ slightly.

With a certified certificate of origin for goods being imported at that particular period;

First, you have to indicate a valid reason for claiming the preferential duty rate.

This is done through TradeNet when making your In-payment permit.

Submission of your certificate of origin (CO) or self-certification alongside a permit comes second. Not forgetting a commercial invoice and bill of lading.

They all serve as supporting documents to your claim just to do away with the benefits of the doubt.

With a certified certificate of origin for goods bonded at a licensed warehouse;

You are required to submit a certificate of origin, a commercial invoice, and an In-Non payment permit.

Once these documents are processed, go further and declare an In-payment permit.

Without a certificate of origin or self-certification;

Here, the first step is to give a reason for claiming the preferential duty rate.

The process is done through TradeNet when handing in your In-payment permit.

Full payment of custom duty for your goods is a necessity.

Next, get a customs endorsement on your documents, thereafter submit a refund through TradeNet. This should be within the same year upon completion of duty payment.

Submit the documents to the customs.

What Are The Benefits Of Preferential Duties To Import-Export Business?

They have led to the promotion of economic integration to greater levels.

They have played a great impact on the development of regional and global networks.

Regular shipping of goods at lower costs has been made possible through preferential duties.

Global networks have led to reduced tariffs between partnering countries thus low production costs.

Maximum use of locally available resources and economies of scale.

How Do You Know If Your Imports Are Eligible For Preferential Duties?

The eligibility of imports is determined by the country of origin of the commodities.

Your state country has to be a member of tariff under the Free Trade Agreement and meet specific requirements as agreements vary.

Goods produced from this FTA partnering territories are therefore eligible to preferential Duties.

Are Preferential Duties Same As Bound Tariff Rate?

No, they defer regardless of the two falling under tariffs.

Bound Tariff rates are usually made by individual states that are members of WTO and are known to have the highest rate.

Their ideologies tend to be more specific on their kind of commitments.

In general, when you maximize your MFN tariff level of a certain commodity line, what you have on the table is a Bound Tariff.

The tariff does not necessarily rely on the applied rates but instead gives room for negotiations about bound tariff rates within member states of WTO.

This flexibility of increase or decrease of the tariff rates is allowed as long as it does not go beyond their set limits.

In case Bound Tarif rates of a member state exceed the limit, members come together and agree on settlement terms if not claiming compensation.

For preferential duty rate, the rate set by member states is usually lower when compared to the MFN rate.

Normally, they use Global Preferential Trade Agreement Database (GPTAD) to obtain details of several preferential details.

Preferential Trade agreements are found on this database where indexing is done with the help of classification consistency.

Classification is done based on the WTO criteria. The preferential duty rate is always zero for member states.

We have other benefits associated with it except that they defer between partner states based on the desired agreements.

This involves lowering the MFN tariff percentage for state members.

Developing countries do not meet these requirements. For that reason, they are given unilateral preferential treatment.

More Resources:

Free Trade Agreement

World Tariff Data

For all your freight forwarding services from China, contact us now.

This guide explores everything you need to know about transloading.

So, if you have any question about transloading, you will find the answer right here.

Keep reading to learn more.

What Is Transloading?

To be precise, transloading refers to a logistics process involving the shipping of goods via different modes of transport.

It is significant in cases where a single mode of transport is not enough to successfully deliver goods to the final destination.

For instance, once a container arrives at the port, the goods are taken to a warehouse after which they are loaded into a truck.

Thereafter, the truck delivers the goods to the final destination which can either be a warehouse or distribution center.

What Is The Main Purpose Of Transloading?

Transloading is done to ensure efficient shipping of goods from one location to the other to fulfill the demand for all types of goods.

What Are The Benefits Of Transloading?

Transloading has several advantages some of which are outlined below;

• Transloading bridges the gap between different locations both locally and internationally thereby facilitating business growth.
• Reduces shipping costs – Being able to select your preferred mode of transport allows you to decide on the most cost-effective option.

Additionally, costs incurred when returning empty containers are reduced.

Not forgetting that transloading has eliminated inland shipping of goods in containers which would otherwise cost more.

• Helps your business reach new markets -Transloading provides an opportunity for you to use different shipping methods depending on the destination of goods.

This way, you have the potential to explore new markets.

• Improves efficiency – Transloading makes it easy and efficient to ship goods from one point to another at reasonable costs and save time.
• Reduces transit time for shipments -This is quite important especially when shipping perishable goods.
• Saves time -Transloading speeds up time and delivery of goods. It also eliminates the need for distribution centers which in turn saves on time and money.

How Does Transloading And Intermodal Shipping Differ?

Intermodal shipping always involves the use of rail transport together with another mode of transport.

Technically, it entails the transfer of containers between road and rail carriers.

On the other hand, transloading involves shipping goods via different modes of transport.

What Reasons Would Make Your Cargo Be Transloaded?

There are two main reasons why your cargo would need to be transloaded;

• If you are delivering your shipment to different locations.
• If the distance to transport your goods from the port to the final destination is longer. By so doing, per diem charges are evaded.
• When shipping FCL to a residence

What Is Transload Fee?

The transloading fee is meant to cover the labor costs involved when deconsolidating your shipment, palletizing, and loading it into trucks.

What Type Of Shipment Will Need To Be Transloaded?

Transloading is commonly done on Amazon shipments which are mostly shipped to several FBA warehouses.

In addition to that, you will need transloading for FCL shipment especially when shipping to a residence.

How Does Transloading And Cross-docking Differ?

Cross-docking involves unloading goods from a truck and storing them in the warehouse.

The storage lasts for a short period after which the goods are loaded into another truck ready for outbound shipping.

With transloading, goods are unloaded and deconsolidated then later re-palletized for outbound shipping.

What Types Of Goods Can Be Transported Via Transloading?

Almost any products can be transloaded including;

• Household goods-House hold goods can include anything used at home be it electronics, furniture, and home décor just to mention some.
• Building materials -Some of these include; bricks, loose gravel, metals, and lumber among others.
• Special freight -Hazardous materials including dangerous chemicals, temperature-sensitive shipment, cryogenic materials.
• Oversized cargo – Some of the bulky cargo include; heavy machinery, military equipment, transformers, military vehicles, and aerospace equipment among others.
• Foods and beverages – Whether it’s grains, spices, bottled or canned drinks, sauces all can be transloaded.

How Is Transloading Process Carried Out?

Once goods are loaded in a container in the country of origin, they shall be received at the destination port.

It’s at the port where the goods can either be moved to a warehouse for a short period or loaded directly into trucks.

In the warehouse, the merchandise undergoes deconsolidation after which they are loaded into trucks.

Trucks are used to transport the goods from the port to the final destination.

Transloading can also involve shipping by rail and thereafter switching to trucking services to deliver the cargo.

More Resources:

Rail Freight From China

Sea Freight From China

Air Freight From China

LTL Freight

Full Truckload Shipping

For any questions or inquiry about shipping from China, contact us now.