International logistics, especially the transportation of goods between countries, is an important link and carrier of international trade. The main modes of transportation in international logistics are international express, international air transport, international maritime transport, international railroad transport, international road transport, international multimodal transport, container transport and other 7 categories. Each of these modes of transportation has its own advantages and disadvantages, in this article, we will introduce the advantages and disadvantages of each of these seven types of transportation, for you to choose the best logistics and transportation methods for reference.
1. Considerations
Before you choose a logistics transportation method, consider the following factors and use this information to guide your decision:
(1) Products
First, analyze the goods you want to transport. Choose your logistics based on your product, including the type of product, product weight and other characteristics, and choose your logistics transportation method accordingly. Is your product dangerous, perishable or difficult to handle. This information is critical to choosing a mode of transportation that can accommodate your product within your budget.
(2) Location
Next, consider two locations - where the shipment leaves and the final destination.
Shipping Location: Where are you shipping from? Where you or your product is located is important because it's where your tracking mileage begins.
Borders: Do you need to ship across borders and require special customs clearance? What natural borders will your shipment cross? While one mode of transportation may be the most appropriate option for your product, if you don't have easy access to these options, it may be more expensive and time-consuming than other modes.
Shipping Destination: Where are you shipping to? The shipping destination is one of the most important factors to consider. Calculate the total transportation distance, taking into account all stops and checkpoints.
(3) Receiving party
Do you ship to individuals or businesses? This may indicate which speed or method is preferable.
(4) Timeliness of logistics
When choosing international logistics, we also need to understand the timeliness of logistics. Logistics is not the faster the better, because the faster the logistics, usually tariffs are very high, which is complementary. If the buyer and the seller agree on the more stable the results, the better, the lower the price, the time of logistics is guaranteed, the price of logistics will be lower.
2. Comparison of international logistics and transportation modes
Regardless of how you ship, there are pros and cons to each method. The secret to finding the best transportation method for your shipment is to understand these differences. Here's a breakdown of each transportation method and its pros and cons:
(1) International Express
International express refers to the logistics business between two regions and countries or more than two regions and countries, country to country delivery of express mail, documents, etc. Delivery business, that is, in the issuance of express mail is through the country's border crossing and customs inspection through the delivery method.
Advantages: the time limit is very fast, more countries can be delivered, the information on the inquiry website is updated quickly, and the response to problems encountered is timely. Customs inspection capability is also very good, and the guarantee of cargo preservation is also very high, such as import and export air transportation business from China to all over the world, customs clearance, inspection, insurance, cargo packaging, warehousing, door-to-door service, cargo tracking business, and "sea-air" intermodal transportation.
Cons: More expensive, heavy product volume to consider, and tighter restrictions on checked items.
International express transportation in addition to DHL, UPS, FedEx this kind of commercial courier, there is also the post office carries the parcel transportation mode.
Parcelpost transport is a simpler mode of transportation. There are agreements and contracts between postal administrations of different countries, through which mail parcels from different countries can be transmitted to each other, thus forming an international parcel transportation network.
Due to the international parcel transport with international multimodal transport and "door-to-door" nature of transport, coupled with simple procedures, the cost is not high, so it has become one of the modes of transport commonly used in international trade.
(2) International air transportation
Air transportation is available in most parts of the world and is ideal for goods that need to be transported quickly over long distances, and is also very wide-ranging compared to rail and ship freight, as it is an ever-expanding industry with thousands of airports and landing strips in operation around the globe.
International air transportation with its swift, safe, punctual efficiency has won a considerable market, greatly shorten the delivery period, with fast, mobile features, is the international trade in the transportation of valuables, live goods and precision instruments indispensable way. For the logistics supply chain to speed up the capital turnover and circulation has played a great role in promoting.
Advantage:
Allows for fast delivery: Despite occasional flight delays, in most cases air transportation is much faster than ship, truck or airplane deliveries. In addition, airplanes operate on a fixed schedule. This reliability is an asset when arranging transportation, especially for perishable goods that require timely (usually overnight) delivery.
Provides enhanced safety: Aircraft offer this speed with little or no impact on product quality, providing optimum protection and safe handling due to stringent flight checkpoints and minimal disruption during flight.
Drawbacks:
Cost: Air transportation is more expensive than trucking because of the higher cost of fuel, as well as additional costs for tickets, maintenance, checkpoints, special handling fees for certain materials, containers, and so on. When ground logistics is an option and a guarantee of fast delivery is not required, trucking is usually the more economical decision. Air freight is ideal for companies that can afford the cost and rely on quick shipments.
Limitations: Due to the nature of air transportation, some companies may find it difficult to navigate certain limitations, including size, weight and product restrictions. Aircraft have a fixed load capacity that cannot be exceeded, and many materials are too dangerous to be transported by flight.
(3) International maritime transportation
International Ocean Freight is the most important mode of transportation in international trade, more than two thirds of the total volume of international trade.
Ships are capable of carrying very heavy loads at a fraction of the cost compared to air transportation. It is the preferred mode of transportation for bulky items shipped in bulk, such as metals, agricultural products, building supplies and other items that cannot be reasonably accommodated by aircraft.
Advantage:
Accommodate more space and weight: Cargo ships vary in length and can carry thousands of tons of weight. For this reason, ships are often the best and only option for oversized or high-volume products that must be moved simultaneously.
Lower costs than air transportation: Maritime transportation is usually more economical than air transportation due to lower fuel costs. Cargo ships operate on a set schedule, so there is also less chance of costly transportation delays.
Sea transportation may not always be the most economical or convenient option, depending on the location of your warehouse. However, the most important factor to consider regarding sea transportation is how long it takes to transport your goods.
Disadvantages: Slow timeframe. While ships are able to carry larger loads than other modes of transportation, ocean freight takes longer. This is often not the preferred mode of transportation for businesses that rely on quick deliveries.
(4) International railroad transportation
Since the invention of railroads, trains have played an important role in trade and logistics around the world. International railroad transportation is a major mode of transportation in international trade, second only to maritime transportation. Its biggest advantages are larger capacity, faster speed, significantly lower transportation risk than ocean transportation, and the ability to maintain punctual operation all year round.
Advantage:
Provide greater carrying capacity: Trains can transport heavy bulk goods, such as coal, over long distances. They can handle more weight than trucks can transport.
Reduced opportunity for delays: Trains operate on a fixed schedule, making them a predictable and reliable mode of transportation. Because railroads operate independently, train transportation is generally less prone to the delays that plague truck freight, such as traffic congestion or inclement weather.
Minimizing environmental impact: While the environmental impact of transportation depends on a combination of many different factors, trains tend to have a smaller impact than trucks, planes and ships because they require less fuel to operate.
Drawbacks:
Transportation time: Rail transportation is slower than trucking and air freight, and usually requires multiple transfers throughout the shipment.
Accessibility: Not every region has access to railroad tracks, so rail transportation almost always requires other forms of transportation to move products. Rail transportation is often combined with truck freight for efficient delivery.
(5) International road transportation
International road transportation of goods refers to the process of moving international goods across and between two or more countries or regions along the highway with the help of certain means of transport, which plays an important role in connecting them.
The characteristics of road transportation determine that it is most suitable for short-distance transportation. It is possible to connect two or more modes of transport, to realize joint transport by various modes of transport and to provide door-to-door services for the transport of imported and exported goods.
Road transportation can cooperate with ships, trains, airplanes and other means of transport to complete the whole process of transportation, is an important means of ports, stations, airports to collect and disperse goods. Especially live and fresh commodities, set port evacuation rush, often can play other modes of transportation is difficult to play a role. It can be said that other modes of transportation often rely on automobile transportation to ultimately complete the task of transportation at both ends.
Road transportation is also an independent system of transportation that can independently carry out the whole process of transportation of imported and exported goods. Road transportation is one of the most important modes of import and export cargo transportation between the countries of the European continent. A considerable part of our border trade transportation and transportation of goods from Hong Kong and Macao is also completed independently by road transportation.
Despite these numerous benefits, there are some important factors to consider before choosing road freight transportation, such as:
Timeliness: Road transport can take longer and is more vulnerable to transportation delays than other methods. The average speed of trucks on major roads is around 60-70 kilometers per hour. Other factors, such as road closures, bad weather or traffic congestion, can also have an unpredictable impact on delivery times.
(6) International multimodal transportation
International multimodal transport referred to as multimodal transport, is produced and developed on the basis of container transportation, refers to the international multimodal transport contract, at least two different modes of transportation, by the multimodal transport operator will be transported from one country's territory of the takeover of the location of the goods to the other country's territory of the designated delivery point of the Cargo transportation. International multimodal transportation applies to waterways, roads, railroads and air transport modes. In international trade, since 85% to 90% of the goods are completed by sea transportation, sea transportation occupies a dominant position in international multimodal transportation.
Advantage:
Harmonization of responsibilities and simplicity of procedures;
Save money and reduce transportation costs;
Reduced intermediate steps, shorter time and higher quality of transportation;
The level of transport organization has increased and transport has become more rationalized;
Enabling door-to-door transportation.
(7) Containerized transport
Container freight transport refers to the container this large container as a carrier, the collection of goods assembled into a container unit, so that in the modern circulation area using large-scale loading and unloading machinery and large vehicles for loading and unloading, handling operations and complete the task of transportation, so as to better realize the goods "door to door "A new type of transportation, high efficiency and high benefit mode of transportation.
Advantage:
Cargo transportation security enhancement: Container transportation greatly reduces the number of manpower loading and unloading, handling in the traditional mode of transport, which can avoid man-made and natural factors caused by cargo breakage, wet loss, loss and other freight accidents, reduce economic losses.
Saving goods packaging materials: using container transportation, you can simplify or do not need to transport packaging, saving packaging materials and costs, reducing the cost of goods.
Simplification of freight operation procedures: After the goods are transported in containers, the box is used as the transportation unit of the goods, which reduces the complicated operation links and simplifies the freight operation procedures.
Improvement of loading and unloading efficiency: As the container loading and unloading operation is suitable for mechanization, its loading and unloading efficiency has been greatly improved. At the same time, greatly shorten the container station (port) stay time, accelerate the turnover of vehicles and ships and the delivery of goods.
Reduction of transportation costs: Cargo losses and cargo discrepancies are greatly reduced, and cargo insurance premiums are also reduced; after the development of "door-to-door" transportation business, significant savings can be made in the construction costs of warehouses and warehouse operation costs.
Facilitate automated management: the container is a kind of standardized cargo transport unit, which creates convenient conditions for automated management.
Summarize: How to choose a suitable mode of international transportation? It is necessary to consider factors such as cargo characteristics (value, material, packaging, dimensions and gross weight, etc.), time requirements (degree of urgency), the location of the source of goods, special requirements, etc., and then come up with the optimal solution.
Written by Karla
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