Globalization has made the world a global village, which has increased international trade, especially between China and the USA. China is regarded as the world’s factory due to the large number of industries located in the country. This has created opportunities for trade between China and the USA, which is considered a highly developed country with a vast market for products. This blog post intends to provide information about shipping from China to the USA.
Ways to Ship from China to the USA
There are a few ways for individuals or businesses to import goods from China to the United States. They include the following:
– Express Shipping from China to the USA. This involves shipping through global freight companies such as DHL, FedEx, TNX, and UPS.
– Air Freight & Ocean Freight.
In this method, goods are transported by sea in containers from China to the USA. Ocean freight is divided into two broad categories that include:
Full Container Load
FCL, which stands for a full container load. This means that the number of goods involved can fill up an entire container, either the 20 feet or 40 feet long container. If the number of goods involved can fill up an entire container, you will save a lot of time, as well as money, by shipping FCL. The pricing for full container load (FCL) is normally done at a flat rate irrespective of whether the container is full or not and, therefore, tends to be cheaper. Also, the risk of damage or loss of goods is less.
Less than Container Load
LCL stands for less than container load. This means that the quantity of goods is not enough to fill an entire container. This, therefore, means that the goods will have to be consolidated with those of other people at the origin port for it to be shipped. Once it arrives at the destination port, it has to be deconsolidated. Due to the nature of activities, involved LCL shipping takes a bit longer compared to FCL, and the risk of damage or loss of goods is higher. It is also more costly compared to FCL because the shipping rates are calculated based on the dimensional weight formula.
This is where planes from China to the USA transport goods. Shipping freight by air is faster but more expensive compared to ocean shipping. It is normally about 10 times more expensive than the ocean freight. In addition, it is limited when transporting large and bulky items. This is suitable for lightweight goods, as well as time-sensitive products.
How Long Does It Take to Ship from China to the USA?
Shipping goods from China to the USA is not a precise event where you will know the exact number of days. There are a number of things that influence the amount of time it takes to ship goods, such as the location, season, and the size of the shipment. Transit time is not always the same, which is attributed to acts of nature, market conditions, and other events that lead to delayed shipment. For example, the coronavirus pandemic led to massive delays in shipments from China to the USA. In normal conditions, it will take the following days.
It is the fastest means of shipping from China to the USA, which takes only 2 – 3 days. This is mostly used to transport goods at a short notice. It is convenient for shipping small items and is mainly used by online sellers, as it takes the shortest time. Popular couriers, such as DHL, FedEx, TNT, and UPS, are regarded as express freight carriers. When shipping goods from China to the USA, FedEx and UPS are the most reliable and cost-effective couriers.
It takes about 7 to 10 days to ship goods from China to the USA by air freight. Perhaps, you are wondering why it takes such a long time compared to the flight time, which is less than a day. This is because it involves a number of processes that include consolidation at the airport, customs clearance at the departure and destination airport, and unloading at the destination airport.
Ocean freight takes between 30 to 45 days to ship from China to the USA. The route mainly influences the duration of shipment and whether the carrier has a direct service, or they visit various ports before arriving at your shipment destination.
What Is the Cost of Shipping from China to the USA?
Freight rates will determine the cost incurred to ship cargo from one destination to another. The rate is determined by a number of factors such as the type of goods that are shipped, the means used to transport the goods, the distance between the shipping location and destination port, and the weight of the cargo. These are the main factors. Other secondary factors that influence the freight costs include seasons, which involve off-peak and peak seasons, capacity, and current events such as increased tariffs between countries and pandemics like the COVID 19 that has engulfed the entire world.
Customs Clearance for Shipping from China to the USA
Import and export procedures are complicated for many people. However, it is an unavoidable part of shipping from China to the USA. Therefore, it is something that every individual interested in international trade should be ready to learn. This is because most carriers do not handle custom procedures.
A freight forwarder will handle them for you at a fee. Even though you hire the services of a freight forwarder, there is some level of responsibility for your business. This includes the provision of accurate documents and information to accompany your freight. You will need the following documents to accompany your exports from China to the USA, as customs authorities in both countries require them.
Bill of Lading
This is the most vital shipping document. It gives information about the shipping company, buyer, seller, type, and volume of cargo. Also, depending on the agreed terms of payment between the buyer and the seller, the bill of lading can be used to confirm the release of a letter of credit or serve as proof of shipping where the buyer can then transfer the balance.
Certificate of Origin
This document gives information on the origin of goods. It helps in determining the customs duties to be charged since some countries are subject to exemptions.
It is used to process customs clearance and calculation for customs duties and other fees like goods and services tax (GST).
Letter of Credit
This is a payment method used in international trade, which gives creditworthiness to exporters of goods. It is widely used when the reliability of the parties involved cannot be easily determined.