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Under the impact of the epidemic, the development of major industries is extremely unstable, but the momentum of cross-border e-commerce is still strong, and more and more sellers will enter the e-commerce track in the future. According to the editor, under the epidemic last year, the high-speed growth of 52.8% became a new mark of China's cross-border e-commerce growth against the trend . Calculations show that the overall scale of China's cross-border e-commerce retail exports has exceeded 1 trillion yuan , and the scale of global cross-border e-commerce transactions reached 12.7 trillion yuan in 2020, and will continue to maintain high-speed growth in 2021. At present, Amazon is still one of the ways for some Chinese cross-border sellers to make profits. On the Amazon platform, sellers can start their own e-commerce business in less than a few hours and with less than $2,000 in start-up capital. With the influx of a large number of sellers, the competition on the Amazon platform is becoming more and more fierce. For newcomers who enter the market later, logistics is the key, and logistics operations are also the key to the start of all Amazon sellers! This year, whether it is sea freight, air freight or express delivery, all are experiencing price increases, warehouse overflows and warehouse congestion. The US sea freight cabinet is as high as 10,000+ USD, the US air delivery price is close to 70 yuan/KG, the red order is as high as 68 yuan/KG, and the Hong Kong DHL price has also risen to 60+ yuan/KG. The continuous rise in logistics prices means that profits are severely suppressed. It can be said that the price of distribution logistics is directly linked to our profits. How to distribute in a more economical and timely manner is the issue we need to consider most. At the same time, we must also consider the freight method and effectiveness that are suitable for the product. For example, food with a short shelf life may be shipped by sea to save freight. If there is a major ship jam in Suez, it may take a month or so for the goods to arrive. By the time the goods arrive, the product may be expired. Finding a distribution logistics provider is like finding a partner for your product. As the "father" of a product that has to travel so far across the ocean, you will naturally be worried. Therefore, only suitable and reliable logistics can allow you to deliver the product with confidence. To sell products on Amazon, sellers must understand two key steps after the order is completed. There are two main options: Merchant Fulfillment by Amazon (FBM): Sellers can process orders personally; Fulfillment by Amazon (FBA): Sellers need to send products to Amazon and let the platform handle it. In comparison, FBA can provide a one-stop logistics service including payment collection, customer service and return processing, which can save a lot of time on returns and exchanges. In addition, Amazon will also give some traffic to sellers who ship through FBA, after all, the benefits should be kept within the family. Although most sellers choose FBA and Amazon is responsible for packaging, delivery, returns and exchanges, we still need to be responsible for the first-leg logistics from China to Amazon FBA warehouse. Therefore, whether it is FBM or FBA delivery, logistics issues must be considered. Common logistics transportation methods include: international express, air transportation and sea transportation . We should choose the transportation method that suits us according to the attributes of our products and business needs. International express is similar to domestic express, except that it also sends goods from China to the destination country, which is farther away. International express parcels are delivered quickly and have excellent services, but the price is also relatively high. It is suitable for products with light weight, high unit price, and time limit (shelf life). PS: For international express delivery companies such as EMS, DHL, UPS, FedEx, TNT, ARAMEX, etc., the calculation method for the volume weight of the package is: (length x width x height) (cm) ÷ 5000. Note that the length, width and height are in centimeters. (Note: The measurement methods of each express company are different, this is for reference only.) Ocean transportation, or marine transportation, is the main mode of transportation in international logistics. It refers to a method of transporting goods between ports in different countries and regions by using ships through sea routes. It includes ocean freight FCL and ocean freight LCL. Full Container Load (FCL) refers to a container of goods that has only one consignor, who is responsible for packing, counting, stowing and sealing the goods. The common sizes of internationally standardized containers are 20`GP, 40`GP, 40`HQ and 45`HQ. LCL: Less Container Load, or LCL for short. It means that the goods consigned by the consignor are small-ticket goods that are less than a full container. The consignor will sort the goods by the agent (or carrier) and gather the goods to the same destination into a certain quantity and pack them into containers. Ocean transport accounts for more than 2/3 of the total volume of international trade, and about 90% of China's total import and export cargo is transported by sea. Ocean transport has the advantages of large volume, low shipping costs, and extensive waterways. However, its disadvantages are slow speed, high navigation risks, and difficulty in accurately determining the sailing date. Air transport [air transport; airfreight; airlift; air transportation] is also called air transportation. Air transport has won a considerable market share with its rapidity, safety, punctuality and super high efficiency, greatly shortening the delivery time, and playing a great role in accelerating the capital turnover and circulation of the logistics supply chain. The editor has sorted out the size restrictions and cost comparisons of centralized distribution methods here. You can choose a logistics method based on the characteristics of your own products. In addition to product attributes, production delivery cycle, inventory funds, profit margins, etc. are all factors that need to be considered comprehensively. Image source: Internet PS: Sellers using FBA need to note that Amazon's operation center requires an appointment for both air and sea shipments. Sellers are advised to choose a logistics carrier that is familiar with the warehouse entry process . You can also use express delivery (such as UPS, DHL, etc.) to enter the warehouse without an appointment, which can ensure that the seller's package can be warehoused quickly and in a timely manner. Many sellers will also choose a combination of " sea + delivery " or " air + delivery ", that is, shipping by sea or air to the destination country, and then delivering it to the warehouse by express delivery. Import and export customs Cross-border logistics definitely involves two steps: import and export declaration and customs clearance. In order to prevent the goods from being seized or returned by customs and thus prolonging the transportation time, do not forget to prepare in advance for matters that require attention in import and export customs affairs before shipment! Export customs declaration preparation Customs declaration is one of the necessary steps for products to be shipped overseas. It is best to prepare all the information before shipment, which will make the customs declaration process more efficient. In general, you need to prepare the following information in advance according to different modes of transportation: Image source: Internet The information required for customs declaration may vary depending on the mode of transportation, commodity, customs declaration agent, etc. It is recommended that you contact your customs declaration agent to confirm the details; For special products such as products involving FDA1, wood products and dangerous goods, you may need to provide additional information, such as air freight guarantee, battery letter, KC FORM3, FDA REG#5, Device list, etc. For specific details, it is recommended that you consult your customs broker.
Import customs clearance preparation
Before importing goods into the destination country, you must first ensure that you have your own IOR (Importer of Record) in the destination country (note: do not fill in Amazon as the registered importer). It is responsible for ensuring that your goods comply with local laws and regulations when imported and pay import taxes so that the goods can be successfully imported into the destination country. PS: Customs clearance refers to the procedures that must be performed in accordance with various laws, regulations and provisions when importing, exporting or transshipping goods into and out of a country's customs territory. Customs clearance is the general term for the entire operation process, and customs declaration is an important part of the customs clearance process. Alternatively, choose to use the new “FBA Grade and Resell as Used” or “FBA Liquidations” programs, the fees associated with which will definitely be cheaper than endlessly accruing FBA storage fees. When you ship goods to the destination country, please do not under-report, conceal or misreport the value of the goods when declaring to the customs. If you do the above, you will face huge fines; The above customs clearance considerations are not intended to constitute customs or legal advice. It is recommended that you consult a customs broker or legal advisor before exporting, depending on the actual situation; The above customs clearance considerations are not intended to constitute customs or legal advice. It is recommended that you consult a customs broker or legal advisor before exporting, depending on the actual situation.
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