How to pick a reliable Chinese freight forwarder to cut our international shipping costs.
How to pick a reliable Chinese freight forwarder to cut our international shipping costs.
It is regardless of the profound changes taking place in global industrial organizations or the negative impact of COVID-19 on the global supply chain that results in complexity and great challenges to international trade, As importers, we should keep integrating our management over the supply chain in order to improve our competitiveness. For example, we should find a professional shipping forwarder in China to be our partner because Chinese freight forwarders are increasingly important in international trade. So, what aspects should we take into account during our cooperation with a Chinese forwarder? Why are Chinese freight forwarders important?
What aspects should we take into account during our cooperation with a Chinese forwarder?
In order to prevent the frauds or the unnecessary losses due to Chinese freight forwarders, we must perform preliminary screening upon them.
- We should select a reputable freight forwarder:
- When selecting a Chinese freight forwarder, we should first take measures to judge the authenticity of its existence, such as checking its business license and other certificates. (for instance, when it comes to international ocean freightservices, we should request a Chinese freight forwarder to produce the NVOCC qualification. CXMM-CM stands as a formally registered NVOCC.)
- We should request the freight forwarder to provide photos or videos regarding its office environment and warehouse environment as far as possible, and check its company information via its official website. (We can try contacting CXMM-SCM for this information.)
- We shall try our best to find a Chinese freight forwarder with the lowest quotation but it must conform to the market trend. A quotation deviating from the market tendency may increase potential risks concerning cooperation.
- Please do not make any payment before shipment.
- Confirm the logistic plan and the service content: Before cooperating with a Chinese freight forwarder, we should confirm its logistic plan and service content, including the requirements and agreements on shipping mode, route, transport company, transportation time, freight, etc., so as to avoid all subsequent disputes
- Confirm packaging and marking specifications: Before the shipment, we shall confirm the packaging and marking specifications for cargoes so as to avoid any rejection or damage due to improper packaging, unclear marking and other questions and any excuse for the Chinese freight forwarder to pass the buck. Furthermore, we shall require it to provide on-site photos or videos during the specific operation processes like cargo warehousing, storing or loading.
- Give attention to theimport-export clearanceand clearance matters in China: When conducting cross-border transportation, we should take into consideration those customs declaration and clearance matters, including the relevant credential preparation, the customs regulation compliance, the payment for relevant taxes and fees, etc., so as to ensure the smooth clearance of cargoes.
- Confirm terms and conditions on insurance and claim: During the process of shipment, we shall confirm the terms and conditions on insurance and claim for cargoes, so as to avoid any uncovered loss or damage in the shipment process.
- Confirm the requirements on shipment route and destination: When determining the shipment route and destination of cargoes, we should confirm the requirements and stipulations on destination of cargoes, including the requirements on cargo import at the destination (Check if any permit is required by customs code), the requirements on customs clearance, the requirements on distribution upon arrival, etc., in case of cargo detention or return due to our ignorance of local regulations.
- Avoid cargoes loss or damage: During the process of shipment, we should take measures against cargo loss or damage, including choosing appropriate packaging methods and preventing cargoes from damp, pressure and similar conditions as far as possible, so as to reduce the losses of cargo in the process of shipment. (CXMM-SCM will provide the feedback on packaging status of cargoes free of charge and the proposals on whether a further measure is necessary.)
- Follow the limitations on weight and volume of cargo: When conducting the shipment, we should follow the limitations on weight and volume of cargo so as to avoid the shipment failure or the course reversal due to the cargoes beyond the limits by airline or shipping company. (CXMM-SCM will provide the most economical shipment solution based on the volume and weight of cargo.)
- Notice payment approach and fee settlement: When cooperating with a freight forwarder, we shall notice payment approach and fee settlement, including shipment cost, customs declaration fee, insurance charge, etc., so as to ensure a clear expenditure and to avoid any dispute arising from fee settlement.
- Understand local laws and regulations and cultural conventions: When cooperating with a Chinese freight forwarder, we shall also understand local laws and regulations and cultural conventions so as to avoid any cooperation failure or dispute arising from the cultural difference or our ignorance of their laws and regulations.
- Establish a long-term partnership: by virtue of a long-term partnership with a Chinese freight forwarder, we can enjoy more preferential and customized services and develop a more stable and reliable cooperative relationship, thus bringing more business opportunities and benefits to both sides.
Importance of Chinese Freight Forwarders
- They provide professional services: Chinese freight forwarders have professional service team and experience to offer various logistic plans and services for different demands, including international seashipping(FCL and LCL), international air shipping (Door to airport and door-to-door), land transport, warehousing (In addition to cargo storage, CXMM-SCM can also collect cargoes from different manufacturers in China through in-batch warehousing and export them overseas from China in one go), global express delivery service (DHL, UPS and FEDEX), China FOB service customs clearance, insurance, etc., so as to provide clients with logistics services in all respects.
- They add value to our supply chain (driving value to supply chain management): Chinese freight forwarders can coordinate various logistic resources, optimize logistic processes and improve logistic efficiency, thus shortening cargo shipment duration and cutting logistic costs for clients.
- They reduce risks: Those freight forwarders can help clients avoid logistics risks because they will remind you or provide some proposals based on their rich experience to prevent you from cargo loss, delay, detention and other problems, and simultaneously offer insurance services for more perfect guarantee to you.
- They offer diversified options: those freight forwarders can provide various logistic options, including different shipment modes, routes, transport companies, etc. We clients can choose the most appropriate logistic plans upon our own demands.
- Integration: as the important components of international trade, those freight forwarders can facilitate the development of international trade, offer more convenient, efficient and safer logistic services for both domestic and foreign clients, and provide support for the enterprise internationalization.
- They integrate supply chain resources: those freight forwarders can integrate various supply chain resources, including manufacturers, suppliers, distributors, etc., and facilitate the collaborative operation throughout the supply chain so as to improve the effectiveness and efficiency of the supply chain. (CXMM-SCM can conduct effective communication with manufacturers and suppliers, and provide free services for factory inspection.)
- They help companies expand their overseas markets: by virtue of their logistic services worldwide, those freight forwarders help enterprises develop their overseas markets, expand their sales channels and improve their international competitiveness.
- They provide the one-stop services for clients: Those freight forwarders can provide clients with the one-stop logistic services, including cargo pick-up, shipment, customs declaration and clearance, warehousing, deli, etc., so that clients can gain a more convenient and economical experience in freight forwarding service.
The Major Aspects Concerning the Cooperation with China Freight Forwarders
- Logistics costs: clients are most concerned about the logistics costs in selecting a freight forwarder. They expect their freight forwarder to avoid unnecessary fees and additional charges while providing reasonable prices and quality services. (After 14 years of progress, CXMM-SCM has established a stable partnership and achieved a favorable pricing system with shipping companies, international airlines and international express companies. This endows customers with a strong advantage in costs. It has established a complete and closed supply chain management system, its own transport fleet, warehouse, as well as professional service team and supporting equipment so as to provide clients with economical and safe services.)
- Cargo Safety: The safety level of freight forwarder is also one of those issues of great concern to clients. They hope that freight forwarders can offer secure shipment mode so as to ensure cargo safety and intactness. Meanwhile, freight forwarders should also establish complete insurance and emergency plans to address emergencies. (CXMM-SCM accumulates the rich experience in international logistics as well as professional warehouse management system, and is equipped with professional warehouse monitoring equipment and high-quality teams to take care of your cargoes.)
- Timeliness: many clients set high requirements on the timeliness of their cargoes. They expect that freight forwarders can provide fast and timely services to assure that their cargoes can arrive on time. Therefore, freight forwarders shall have the capabilities of fast and efficient logistic management to provide whole-process tracking services and timely feedback the shipment situations and problems of cargoes. (CXMM-SCM can offer multiple transportation solutions of which each contains multiple mode options. In a special period, CXMM-SCM can achieve stable timeliness and ensure the stability of shipment duration.)
- Customs Clearance Issue: Customs clearance works as a crucial link in the international trade. Consumers expect that freight forwarders can understand the processes and stipulations on customs clearance, provide them with professional customs clearance services and avoid problems and delays during the customs clearance. (CXMM-SCM can offer door to door dual customs clearance services in many regions worldwide and provides professional proposals based on our experience.)
Service Quality: The service quality of freight forwarder is also one of those issues of great concern to clients. Customers expect that freight forwarders can provide professional, meticulous and efficient services, address problems and offer feedback in a timely manner, so as to ensure that the rights and interests of clients are under protection. In short, the key issues in cooperation with Chinese freight forwarders include logistic costs, cargo safety, timeliness, customs clearance, service quality, etc. Freight forwarders need to offer quality service, meet the demands and requirements from clients, and establish a good partnership.