Here are 10 tips for reducing shipping costs from China
China is becoming a global center for industrial exports due to reforms. The production of goods in China is also competitive with many highly developed countries because of the cheap labor and low cost of production, along with the ability to introduce new technologies into production. As a result, the whole world is buying goods or moving production to China in order to optimize business. China is a great place to buy the right things since they are affordable there.
It can be costly to purchase goods from China, but Falcon has prepared a few tips that can help you reduce logistic costs without compromising the quality of the shipment.
10 easy ways to save money on shipping
1) Let’s talk about the crisis! : Don’t forget to explain the economic situation to the supplier when communicating. Although he probably already knows, don’t hesitate to ask for a discount. The seller always makes concessions in market relations. Do not be afraid to get in touch with the seller. In this way, you can save at least 10% on the cost.
2) Replace materials : Ask the factory to replace some components with alternatives if you are working directly with them. As a result, you reduce the cost of goods and maintain quality. The eco-packaging industry is gaining popularity because it is much cheaper and doesn’t harm the environment. Some manufacturers do not offer such solutions.
3) Don’t use bulky packaging : It is possible to transport some goods without packaging. Make sure the supplier places the whole load in one box and covers it with soft material. The package adds additional volume (which affects the cost) and does not protect the cargo during transportation. Any country can order packaging locally or separately.
4) Request installments : After working with a supplier for more than a year, and you have developed a trusting relationship, it’s fine to ask for installment payments. A service such as this is actively gaining popularity and allows you to grow your business and reduce the risk of purchasing low-quality products. Falcon forwarders offer such solutions to their regular customers, allowing them to optimize their business.
5) Increase production : Ensure that the shipment is heavier. As a result, you’ll receive an attractive rate for shipping, as well as get the goods transported more economically. In a custom warehouse, you can leave large quantities of goods, where the goods can then be sold at a quick profit. As a result, you do not need to invest the entire amount in one purchase, but you should distribute it over time.
6) Designate someone to pick up cargo : Request the supplier to deliver the goods to the transportation company’s warehouse in China. It is your supplier’s responsibility to ensure the safety of your cargo, so an unverified company can’t be recommended. In most cases, the sender will be responsible for all costs.
7) Perform direct duties : If you need a wide range of products, find a supplier in China and work with him directly. Falcon can help you find a supplier and competitive rates. So, you get rid of intermediaries and save up to 20% on the cost.
8) Schedule delivery at least 90 days in advance : In most cases, the goods are produced and delivered within 20 to 35 days. To receive the goods on time, plan the delivery at least six months in advance. Purchasing summer goods in December would be a good example.
9) Utilize container shipping : Generally, the cost of transportation and delivery of goods from China is 100% of their value. It is a convenient, economical, and reliable method of delivery. On the Falcon platform, you can choose your route and see in real time the route of your goods. It is possible to deliver goods anywhere in the world through China’s two largest ports: Shanghai and Shenzhen. In comparison with other modes of transport, this method of transportation is long, but it is also reliable and cheap.
10) Make sure your cargo is always insured : Having cargo insurance ensures you that you are protected from any road risks and that you will get your goods on time. If anything happens along the way, insurance will cover it and you won’t suffer losses for your business. You can choose favorable Incoterms conditions and resolve all disputes with the seller.
By employing some of these tips, you will be able to reduce logistics costs without harming the cargo.
** Our website offers a free online consultation that can help you learn more about delivery from China or how to save on delivery. There are many more ways of saving on goods shipped from China and beyond that our experts know. Once you become our client, you can be confident that we will offer you the best delivery option for cost, speed, and security **
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