Finally, after some troubled years, it's mainly good news when it comes to logistics from China! Importers will remember the infamous high costs of 2021 when sending a container from China to the USA cost upwards of US$20,000...well, things have changed for the better in 2023, and in this post, we're going to explore why and what challenges may still lie ahead during the year. … [Read more...]
The Shipping & Logistics Situation in the USA (July 2022 and beyond)
In this episode… Sofeast's CEO Renaud Anjoran is joined again by US East-Coast supply chain and logistics expert, Marshall Taplits founder of Ship It Done. We have 3 main questions for Marshall: What is the logistics situation like now in the USA, what will it be like for the rest of 2022, and what might it be like a few years from now? They also both give their thoughts on cost drivers, energy costs, trucking legislation, near-shoring, China's role, and more. If you're interested in … [Read more...]
Sea freight costs falling in summer ‘22. Too early to celebrate?
Two years ago in June 2020 international sea freight costs started their slow climb to unprecedented levels. No importers with supply chains abroad were safe from ballooning costs. Shipping from any manufacturing hub was affected, China, Bangladesh, Vietnam, Myanmar, India, Turkey, and Mexico; the location just didn’t matter as long as goods needed to be loaded onto container ships and transported across the oceans. Now, in June 2022, sea freight costs have started falling. What can we … [Read more...]
North American Supply Chain Problems: Major Constraints
Last week, we recorded and published a podcast entitled Why Are American Logistics Struggling In Late 2021? which goes into detail about the various North American supply chain problems and is getting a lot of downloads. In that podcast, I interviewed Marshall Taplits, founder of Ship It Done (a USA-based 3PL warehouse and e-commerce fulfillment center). He did a great job explaining why getting products into the States is difficult these days. Long-time reader Brad Pritts sent me some … [Read more...]
Incoterms 2020: Simple Rules of Thumb To Pick the Right Term
Clients often ask us what their incoterm options are when it comes to shipping by sea. Our typical answer is "most buyers go for FOB, so that's probably what you want to do". But that's a bit short. Let's look in more detail at how to select the right option for our needs from all the Incoterms 2020 list. … [Read more...]
5 Difficulties Importers Are Currently Faced With When Preparing For 2022 [Podcast]
In this episode… The coronavirus pandemic has caused a number of difficulties for importers with Chinese or Asian suppliers. Lack of visibility over suppliers, lockdowns, increased supply chain risks, sea freight delays and very high costs requiring very advanced booking, a global electronic component shortage, and a USD/RMB exchange rate that isn't ideal right now, are the topics under discussion in this episode. If these are affecting you, Renaud's views will be … [Read more...]
How Did Sea Freight End Up In Such An Expensive Mess In 2021? [Podcast]
In this episode... Renaud is joined this week by global logistics expert Jon Monroe who boasts over 30 years in the logistics industry and has a strong focus on Transpacific trade. They discuss the current global sea freight crisis (in June/July 2021) that is hitting a lot of importers with both towering costs and delays and explore how we came to this point while dispelling certain misconceptions. Jon also gives some insight into the situation in the USA specifically, but touches on other … [Read more...]
4 Common Ways To Ship Products From China By Sea
Our clients often ask for alternatives. And we encourage that. What makes sense for one company may not make sense for another. So, I wrote this mini-guide to the 4 main alternative ways to ship products from China by sea in order, from more to less common. Note, I only discuss sea freight here for simplicity. There are, of course, differences with air freight. … [Read more...]
Packaging: How to Protect your Shipments Effectively?
Many importers forget to specify how their products should be packed. And, every year, tons of products arriving from China are thrown away because they were not adequately protected. So, you need to think about how to protect shipments effectively with the right packaging! … [Read more...]
Avoiding humidity inside containers
Last week, an importer was asking us how to avoid the formation of mold on the shoes they ship from China to Chile. The goods stay up to 50 days inside the container, so that was an extreme case. I suspect the materials are not treated against mold, in the first place. We suggested taking some samples randomly in the factory before production, and testing them in a laboratory. But that kind of test takes 3 weeks (which is sometimes longer than production)! Another way of avoiding this … [Read more...]