The U.S. Shipper Export Declaration (SED) is a standard U.S. government form for all U.S. exports valued at $2,500 or more. It has been superseded by the Electronic Export Information Form (EEI).
If the value of a single item in a U.S. export exceeds $2,500.00, an EEI must be submitted to the U.S. Census Bureau. The U.S. Census Bureau uses the EEI to compile trade statistics and enforce export controls.
The Census Bureau requires exporters to complete the SED for two main purposes:
Fulfilling obligations to collect U.S. export data, including the export value of each commodity.
Help ensure compliance with U.S. export regulations that require exporters to provide export license information.
The FTR requires exporters to complete SED for shipments with a merchandise value exceeding $2,500 per Schedule B number and for mail-in shipments with a value of at least $500. SED is required for all shipments that require an export license or are destined for embargoed countries, regardless of value.
How to use the export declaration?
Any U.S. exporter (or freight forwarder) must complete Form 2575-V required by the U.S. Department of Commerce and submit it to U.S. Customs at the port of export. If the value of the exported goods is $2,500 or more, or the value of the mailed goods is $500 or more, the individual must make the necessary filings. This form must be completed for any shipment to an embargoed country or that requires an exporter's license. The U.S. Census Bureau uses this form to compile trade statistics and enforce export controls. The Automated Export System (AES) allows shippers to make the necessary declarations online.
According to the Census Bureau, more than half of all SEDs submitted by exporters contain errors, making accurate data collection difficult. In the mid-1990s, in an effort to improve data accuracy and ease of data collection, the Census Bureau, in partnership with what is now the Bureau of Industry and Security (BIS) and the Department of State, introduced electronic collection of SED information through the Automatic Export System (AES).
The disruption to global coal trade flows caused by Western sanctions on Russia and the resulting increase in ton-mile demand will benefit the dry bulk market.
The earth and commodity logistics
On April 7, local time, EU countries agreed to impose a coal embargo on Russia and give a 120-day phase-out period, a month later than originally proposed, giving EU member states time to find alternative sources of supply.
It should be noted that among the "three major items" of coal, oil and natural gas, coal is undoubtedly the easiest to start with. Russia is the main source of thermal coal in Europe. The import volume in 2021 will be 33 million tons, accounting for the total import of European thermal coal. more than half of the amount. On the Russian side, the ban will affect a quarter of Russia's coal exports, according to the European Council.
Relative to coal, there is currently no agreement within the EU to embargo Russian oil and gas. The largest trade between the EU and Russia is oil and natural gas, which is extremely important to the European economy. For the EU, the embargo on oil and gas is undoubtedly an act of "harming others and not oneself".
One broker said: “The flow and flow of the coal trade market is changing as European coal buyers rush to switch suppliers. The US, South Africa, Australia, Colombia and Indonesia may become alternative sources, increasing demand for dry bulk. The ton-mile demand for cargo ships. In theory this should have a positive impact on freight rates, but we need to focus on how long this is likely to last.”
Another market player added: "If a large number of ships go to Europe as a result, the results may be unexpected."
Because of the ban or the buyer's voluntary sanctions?
Europe relies on Russia for coal imports
In fact, there have been signs for weeks that European buyers want to increase the supply of non-Russian coal. Either because they expected such a ban, or because they decided to sanction themselves.
It is not easy for the EU to find alternative sources of Russian coal. Coal exporters Australia and Indonesia have reached their production limits, and South Africa is also constrained by logistical issues, and a global rush to buy coal is expected to keep coal prices higher.
But this sudden collaboration is difficult. After all, alternative coal producers have their own supply needs, mostly from China and India. So if China or India's coal import demand increases, they don't have the extra capacity to sign long-term contracts with Europe.
The European Union is not the only region to impose a ban on Russian coal, with Canada, France, Germany, Italy, Japan, the United Kingdom and the United States jointly saying on April 6 that they would all "phase out and ban the importof Russian coal."
Handling international shipments is a complex process. It involves not only coordinating the actual shipping, but also getting the item through Chinese and Korean customs while making sure your company follows all regulations and doesn't violate any restrictions. This requires background knowledge, experience, and the ability to stay abreast of changes in the industry. That's why choosing the right freight forwarder for your company is crucial.
South Korean and Chinese flag pair on desk over defocused background.
Before you are ready to export goods from China to South Korea, it is important to consider the following factors:
Customs regulations of both countries
Import and export policies and restrictions of various countries
Shipping documents
The transport method suitable for transporting the goods
Appropriate shipping route used by the selected shipping method
Finding a Chinese carrier that is affordable and can handle your shipping items efficiently will ensure that your needs are met, whether it's maximizing your company's profits or maintaining the integrity of your inventory. Even if you won't handle this process yourself, it's important to understand how it works so you can work with your forwarder to address logistics and potential pitfalls. TJ chinafreight is one of the most trusted international logistics companies in China, with partners in more than 100 countries around the world.
What you need to know about shipping from China to South Korea
Check Chinese and South Korean trade laws
When exporting and importing from China to South Korea, make sure you are aware of current regulations and restrictions. The two countries have different policies that change frequently, so it's important to stay informed. This is also the time to find out what documents you need to prepare to get your shipment through customs smoothly.
Prohibited and restricted items
Not all goods can be shipped, every country has restricted import and export of goods, some of these items are restricted or even banned completely, it is important to anticipate such shipments to avoid any problems, so before starting your shipping this is what you need to know.
Select shipping method
Before shipping your product, you must select a shipping method. Shipping method depends on your item type. If you don't know which shipping method is best for you, then we have a good suggestion for you. Shipping methods vary by product weight and quantity.
South Korea is a country located in the southern part of the Korean peninsula. It borders North Korea, its only neighbor to the north. The country is surrounded by water, with the Yellow Sea to the east, the East China Sea to the south, and the Sea of Japan to the west. As indirect neighbors, China, Japan and Russia are quickly reached by sea from South Korea. This situation explains why there are only two modes of freight that reach the country, sea and air. It influenced South Korea to build one of the world's greatest fleets and state-of-the-art port infrastructure.
Shipping time
Shipping to South Korea takes a long time, usually 5 to 8 working days, and some important issues are that these times are for normal circumstances. Sometimes unexpected events happen and they make the process a little longer!
Shipping fee
In general, ocean shipping is always privileged because of two big benefits: You can transfer large quantities of goods at very competitive prices. Regardless of whether you need a one-time transshipment, or more regular multiple transshipments, ocean freight will surely meet all your needs and requirements.
The biggest advantage of air freight is its speed. Items leaving China can arrive in Korea within 2-3 days. This is the best option for high-value items as they take less time in transit. However, with this speed, there are some tradeoffs.
Air freight is usually more expensive than rail or sea. It's also better for small items, as airlines have weight and volume restrictions. Air freight also uses more fuel than alternatives, so if carbon footprint is an ethical issue for you and your company, you'll want to choose ocean or rail freight.
Air freight is divided into two categories: general cargo and special cargo. As the name suggests, most items are considered ordinary goods.
Example of general cargo:
Electronic
Jewelry
Medicine
Personal accessories such as watches and wallets
Special cargo has different regulations than general cargo and may involve additional inspections.
Examples of special goods:
Fragile items
Dangerous goods, such as certain chemicals
Items that require temperature control, such as seafood
Air transit time
Door to door, a plane arrives in South Korea from any airport in China in up to 6 hours. Courier (Express) will allow you to transfer all of your shipments to the exact address in South Korea in less than 3 days. With regular air freight, from a Chinese supplier to your South Korean address, your goods will be shipped within a week.
Requesting door-to-door shippingfrom China to South Korea will provide you with a stress-free import experience. We'll pick up, ship, and deliver directly to your warehouse, office or home from your Chinese supplier. With TJ chinafreight, you can be sure to get the best shipping rates and prompt delivery.
Door-to-door couriers handle items of all sizes and weights. Light cargo is generally shipped fast by air, while heavy cargo is shipped by sea, and the shipping time is longer. But since they come right to your door, they are the most convenient option.
Necessary documents
Bill of Lading or Air Waybill (BL)
Packing List
Valid return
Certificate of Origin (CO)
Licenses, certificates... (if any)
Commercial invoice
Proof of insurance (if any)
Detailed Description of Duty Exemptions
Common problem
How to import duty-free from China to South Korea?
It mainly depends on the type of product you are importing. The FTA signed by China and South Korea came into effect in 2015. The vast majority of China's imports to South Korea are agricultural products, and vice versa are automobiles. The FTA mainly applies to such commodities. So, if you want to import agricultural products, you will definitely benefit from tax exemption. If you're importing other types of goods, your chances of getting an exemption are slim.
What is the cheapest way to ship from China to South Korea?
Sea freight is the cheapest way to ship from China to South Korea. However, prices often vary based on several factors. Keep in mind that FCL and LCL prices are different and which one is most economical for your situation will depend on the particularities of the particular cargo.
How to reduce shipping costs?
If you are familiar with your destination country, we invite you to consider door-to-port service. However, this is not possible for every destination. You can choose to pack your inventory yourself to reduce the cost of origin. Remember, your personal packing items must still be professionally loaded by our overseas moving company. Packing your own goods must also be professional export shipping and can only be insured for total loss.
Nitrous oxide (nitrous oxide) is an inorganic substance with the chemical formula N2O. Also known as nitrous oxide, a colorless and sweet gas, it is an oxidant that can support combustion under certain conditions (same as oxygen, because nitrous oxide can be decomposed into nitrogen and oxygen at high temperature), but it is stable at room temperature and has a slight Anesthetic effect, and can cause people to laugh.
Laughing gas does not currently belong to the scope of drugs in Chinese law, but it is almost equivalent to the category of drugs in China's judicial practice.
Nitrous oxide has a wide range of uses in commercial, medical and aerospace industries
Burner
The modified vehicle using the nitrogen-oxygen acceleration system sends nitrous oxide into the engine, and when heated, it is decomposed into nitrogen and oxygen, which improves the combustion rate of the engine and increases the speed. Oxygen has a combustion-supporting effect and accelerates the combustion of fuel.
Rocket oxidizer
Nitrous oxide can be used as a rocket oxidizer. This is advantageous over other oxidants because it is non-toxic, stable at room temperature, easy to store and relatively safe to fly. The second benefit is that it can be easily broken down into breathable air.
Medicine
Nitrous oxide for medical anesthesia
Due to the poor effect of general anesthesia, it is often used in combination with halothane, methoxyflurane, ether or intravenous general anesthesia. Less used now. N2O is used for anesthesia, without irritation to the respiratory tract, and without damage to the functions of important organs such as the heart, lungs, liver, and kidneys. Without any biotransformation or degradation in the body, most of it is still excreted with the original drug with exhalation, and only a small amount evaporates from the skin without accumulation. It only takes 30s to 40s to inhale into the body to produce analgesia. The analgesic effect is strong and the anesthesia effect is weak. The recipient is in a awake state (instead of anesthesia), avoiding the complications of general anesthesia, and recovering quickly after surgery.
How to export nitrous oxide in China?
Nitrous oxide belongs to category 2.2 dangerous goods, so the export must be declared for export in strict accordance with the formal channel booking. Dangerous goods are generally divided into 1-9 categories, and the smaller the number, the higher the risk factor. Then one of your goods needs to provide a complete corresponding dangerous goods certificate when exporting, and your packaging must be packaged in accordance with the relevant UN number regulations, and it must be sent to the warehouse. It is delivered to the warehouse by a vehicle qualified for dangerous goods.
What documents are required when shippingnitrous oxide：
1: MSDS
It is a comprehensive regulatory document on the characteristics of chemicals provided by chemical production, trade and sales enterprises to downstream customers and the public as required by law.
2: Dangerous package certificate
The dangerous package certificate mainly includes the performance list and the use certificate. The performance list is relatively simple. Generally, manufacturers who can make regular packaging can provide it. However, the use certificate is more complicated.
3: Booking Power of Attorney
There must be detailed sending and receiving information, product name, piece hair information, etc.
4: Customs declaration information
A set of customsdeclaration materials includes: packing list, fp, contract, customs declaration form, proxy declaration power of attorney and declaration elements + commodity inspection
Rules for filling in the AEO enterprise code when exporting and importing:
When exporting:
When China's AEO advanced certification enterprises export goods to countries (regions) with mutual recognition, they should notify the AEO advanced certification enterprise code (AEOCN + the 10-digit enterprise code registered in China Customs) to the importers of the country (region), and the country (region) ) The importer fills in the declaration in accordance with the local customs regulations, and the customs of the mutually recognized countries (regions) will provide relevant convenience measures after confirming the identity of the Chinese AEO enterprise.
When importing:
When Chinese enterprises import goods from AEO enterprises in mutually recognized countries (regions), they need to separately enter the "Overseas Shipper Code" column in the "Overseas Shipper" column of the import declaration form and the "Overseas Shipper Code" column in the water and air freight manifests. Fill in the AEO code of the overseas consignor in the "AEO Enterprise Code of Shipper" column. China Customs will provide relevant facilitation measures after confirming the identity of AEO enterprises in mutually recognized countries (regions).
Countries (regions) that have officially implemented mutual recognition
As of May 2021, China Customs has achieved AEO mutual recognition with 46 countries (regions) in 20 economies around the world. Countries (regions) that have been formally implemented are: Singapore, South Korea, Hong Kong, the European Union, Switzerland, New Zealand, Israel, Japan, Belarus and Chile.
Find out if the trading partner is an AEO enterprise of the customs of a mutually recognized country (region)
Appellations of AEO companies in different countries (regions)
Singapore - STP-PLUS Enterprise
South Korea - Excellent Enterprise in Import and Export Safety Management
Hong Kong, China - Hong Kong Authorized Economic Operator
European Union - Secure AEO Certified Enterprise (AEOS), Simplified Customs Procedures and Secure AEO Certified Enterprise (AEOC/AEOS)
According to the requirements of the "Customs Declaration Form Filling Specification", there are 7 types of transaction methods that can be filled in: CIF, C&F, FOB, C&I, market price, advance position, EXW. The common ones are CIF, C&F, FOB, EXW. Among them, CIF (CostInsurance and Freight) cost plus insurance and freight, C&F (Costand Freight) cost plus freight are two transaction methods, and the freight is paid by the seller, and FOB (FreeOnBoard) is delivered at the port of shipment. EXW (ExWork) EXW (designated place) two transaction methods, the freight shall be paid by the buyer.
2. EXW freight needs to be complete
The "Shipping" column should be filled in:
The transportation cost before the imported goods arrive at the import point in my country before unloading
The transportation cost after the export goods are loaded to the output point in my country
If the imported goods are traded by FOB, the "Freight" column should be filled in with the actual transportation costs paid before the goods arrive at the Chinese port from the overseas delivery port; if the imported goods are traded by EXW, the "Freight" column should be filled in before the goods are delivered from the overseas delivery point to the Chinese port. The transportation cost actually paid; if the transaction is made in CIF or CFR, and the transaction price includes the aforementioned transportation cost, the "Freight" column is exempt from reporting.
3. Miscellaneous fees are filled with positive and negative
When an enterprise declares to the customs, the transportation surcharge can be filled in the miscellaneous expenses column of the customs declaration form. Such as common demurrage charges, should be filled in the miscellaneous charges column.
4. Demurrage distinction is important
Demurrage refers to an agreement to be paid by the charterer to the shipowner due to the failure to unload all the goods within the specified time, resulting in the ship continuing to berth in the port, increasing the shipowner’s expenses in port and suffering loss of shipping time. payments.
Demurrage occurs before the cargo is unloaded, that is, if the demurrage has already occurred at the beginning of the actual unloading of the goods, the enterprise shall apply to the customs in writing and provide relevant documents, and there are objective quantitative data on the delay before and after the loading and unloading. In the case of accurately distinguishing the demurrage charges, only the demurrage charges incurred before the loading and unloading of the goods are included in the dutiable value of the imported goods (that is, the demurrage charges incurred after the loading and unloading are not included in the customs value).
Demurrage occurs after the goods are unloaded, that is, if the demurrage has not yet occurred at the beginning of the actual unloading of the goods, it will not be included in the dutiable value of the imported goods.
5. The dispatch payment is normally not deducted
Dispatch fee means that the unloading of the cargo is completed in advance within the specified time, which shortens the life cycle of the ship, and the shipowner returns the agreed payment to the charterer.
The consignment fee shall not be deducted from the dutiable value of the imported goods after the goods are loaded and unloaded at the place of import.
If the dispatch fee occurs when the goods are loaded at the exporting place and is returned to the buyer by the shipowner, the fee can be deducted from the dutiable value of the imported goods.
6. Pay attention to surcharges when oil prices rise
Fuel surcharge BAF (BunkerAdjustmentFactor) or BS (BunkerSurcharge), also known as FAF (FuelAdjustmentFactor), is an additional surcharge charged by the ship to compensate for the increase in fuel costs without adjusting the basic freight rate due to the increase in fuel prices. fee. Japan and Australia routes can be represented by EBS, and routes in Africa and Central and South America can be represented by EBA.
The emergency fuel surcharge EAS (Emergency Adjustment Surcharge) means that if the fuel price suddenly rises again when the fuel surcharge has been levied, the ship will also increase the fuel surcharge in addition to the normal fuel surcharge.
At the same time, the export of semiconductors, automobiles and transport equipment to Russia is banned, with a total export value of about 10 billion euros per year.
On April 5, local time, the European Commission issued a statement on its official website saying that the chairman of the European Commission, Ursula von der Leyen, proposed to impose a fifth round of sanctions on Russia.
According to the statement, the fifth round of EU sanctions against Russia includes the following six aspects:
1. An annual import ban worth 4 billion euros will be imposed on coal from Russia. That would cut into another important source of income for Russia.
2. A complete ban on transactions by four major Russian banks, including VTB, Russia’s second largest bank. These four banks, we are now completely cut off from the market, account for 23% of the Russian banking market share. This will further weaken Russia's financial system.
3. Prohibit Russian ships and Aeroflot ships from entering EU ports. Certain exemptions will cover necessities such as agricultural and food products, humanitarian aid, and energy. In addition, we will propose a ban on road transport operators in Russia and Belarus. The ban would greatly limit the options for Russian industry to obtain critical commodities.
4. Further export ban worth 10 billion euros in vulnerable regions of Russia. This includes, for example, quantum computers and advanced semiconductors, but also sensitive machinery and transport equipment.
5. A specific new import ban, worth 5.5 billion euros, to cut off the flow of capital to Russia and its oligarchs, from wood to cement, from seafood to wine.
6. Some very targeted measures have been taken, such as the EU's blanket ban on Russian companies from participating in public procurement in member states, or the exclusion of all financial support for Russian public institutions, both European and national. Because European taxes should not go to Russia in any form.
"We are also working on other sanctions, including sanctions on oil imports from Russia," added Von der Leyen, explaining that a fifth round of sanctions would further put financial pressure on Russia.
As of now, the effective date of the fifth round of sanctions has not been announced. According to EU rules, the European Commission's proposal must be unanimously agreed by the 27 member states before it can come into effect.
German Foreign Minister Annalena Baerbock said recently that Germany, as a member of the European Union, has agreed to completely end its dependence on Russia's fossil fuels, starting with coal, followed by oil and gas.
However, the Confederation of German Industry has previously said that giving up imports of natural gas and oil from Russia in the short term will cause huge damage to German industrial companies.
The president of the association, Ruswarm, said that the energy embargo will harm Germany and the European Union more than it will affect Russia. German industry, supply chains and security of supply will all face "extremely serious" consequences.
He further said: "Energy imports from Russia cannot be replaced overnight. One-third of the oil and more than half of the natural gas that Germany uses now comes from Russia."
It is understood that any sanctions on coal will seriously affect the trade volume of bulk carriers as the energy crisis engulfs Europe. At the same time, Europe relies heavily on Russia's oil and gas resources in the fields of transportation and energy.
Relevant data show that Russia is an important importer of EU natural gas, oil and coal. In 2021, 40% of the EU's natural gas imports, 25% of its oil imports and 45% of its coal consumption will come from Russia.
The exporter (a client of UniCredit Bulbank) ships the goods to the buyer and presents the bank with documents related to the goods and their shipment, such as commercial invoices, bills of lading, cargo insurance, etc., with collection instructions. In the collection instruction, the exporter identifies the foreign buyer (payer), full details of the buyer's bank (collecting bank), a brief description and value of the exported goods, a full description and value of the type and number of documents submitted, and Conditions for handing over documents to the drawee.
UCB processes the documents and forwards them to the collecting bank, usually the buyer's bank, for processing and delivery to the buyer in accordance with the collection instructions. As instructed, the collecting or presenting bank releases the documents to the payer after paying the value of the documents, or according to a written commitment to accept/pay when due, or not to pay.
Under export documentary collection, the bank only receives and transmits documents according to the exporter's instructions on how to handle the documents, without any payment obligation to the exporter. Payment for documents sent on a collection basis depends solely on the goodwill and creditworthiness of the buyer.
A step-by-step guide to understanding export documentary collections
Broadly speaking, from your (as the exporter) perspective, the export documentary collection process can be broken down into five steps:
1. Terms and Conditions:
You and your importer agree to terms of transaction and payment, including the use of export documentary collections. At this point, you should also negotiate whether:
Acceptance Document (DA) – Once the importer agrees to pay later, a document related to the sale of the goods will be provided.
Payment Document (DP) – Once payment is made and finalized, the importer will get the document.
2. Shipment and receipt of documents:
You ship the goods and receive documentation from the carrier or freight forwarder that the shipment has occurred.
3. Submit documents to the bank:
First, fill out the export documentary collection application form and the draft. Next, submit these documents along with your shipping documents to OCBC, which is also known as the remittance bank during the process. Your remittance bank will then proceed to:
Forward these documents to your importer's bank, the collecting bank.
The collecting bank will then notify your importer that the documents have arrived and will release the documents when the payment terms are met (this depends on whether your payment term is DA or DP, as described in step 1 above).
4. Receive payment from importer and own the goods:
Importers will pay their bank and obtain documentation via DA or DP (as above).
5. Payment receipt from OCBC Bank to exporter:
OCBC Bank will deposit funds into your account immediately upon receipt of funds from the importer's bank (in the case of DP) or on the scheduled date when the draft has been accepted (in the case of DA).
Key point
D/C is less complex and less expensive than LC.
Under a D/C transaction, the importer is not obligated to pay for the goods before shipment.
If properly structured, the exporter will retain control of the goods until the importer pays the draft amount at sight or accepts the draft to meet the legal obligation to pay at a later date specified.
Although sea transportation can control the goods, it is more difficult to control air and land transportation. Foreign buyers can receive the goods with or without payment, unless the exporter hires an agent in the importing country to pick up the goods until the goods arrive for payment.
The exporter's bank (the remittance bank) and the importer's bank (the receiving bank) play a vital role in the letter of credit.
Although banks control the flow of documents, they neither verify documents nor take any risk. However, they can affect the mutually satisfactory settlement of D/C transactions.
