China is a trade giant. THE trade giant, you might argue.
And as one of the world’s largest manufacturing industries, with a huge export market, the UK happens to be one of China’s major shipping destinations.
Understanding shipment processes and keeping up-to-date with any issues or events that might affect it help you make sure you get your products on time and for the best price.
Let’s dive in.
The Stages Of Importing
Before your goods can end up where you want them to there are a few steps to navigate first.
1 – Finding (And Affording) Capacity
It’s no good having brilliant products and eager buyers if you’ve got no way of transporting your goods to their destination. Securing containers for shipping via sea freight, or space for your goods on an aeroplane is a vital part of the trade process.
Unfortunately, the disruption of COVID-19 to the shipping industry is still complicating global trade today…
All of the shipping containers are stuck in the wrong places.
How did it happen, you might ask? Well, China came out of lockdown as the rest of the world entered it.
When we all went crazy buying material goods to get us through the boredom and frustration of days on end spent at home, China responded. The problem was that these shipping containers were then stuck in the ports of countries with tighter restrictions, quickly translating into a huge price hike in container shipping.
For this reason, securing containers to transport your goods can take time. It’s worth noting that there are many other common difficulties upon ordering a container which are worth combating prior to delivery, such as:
- Poor site conditions. The surface where the container is to sit needs to be solid, even and dry.
- Nobody available to sign for the delivery. Make sure an adult is on-site and clued in.
- Lack of appropriate access. Your site needs to clear the delivery company ahead of time so that the driver can access secured areas if necessary.
Making sure you’re adequately prepared to receive any containers that are being delivered will save you time in the long run.
2 – The Shipping Itself
Goods need to be expertly prepared before commencing their journey.
Packing, Labelling And Marking Up
Packaging your goods securely is vital to avoid damage during transit. Broken or otherwise damaged products lose you money and further shipments will need to be arranged to satisfy your buyer.
Ensuring that the packages housing your goods are labelled adequately is necessary but does take time. Checking any regulations that might apply to your product and marking up the packages carefully in line with the requirements is also key to avoiding delays at customs.
Loading and Unloading
If a port is equipped efficiently, it can take anywhere from 50 to 160 hours to load or unload a container vessel. Packing a single 20ft container can take around 3 hours!
Travel Time
If you’ve chosen to ship your cargo via plane, your goods should reach their destination in a matter of days. Containers coming to the UK from China can take up to six weeks depending on the conditions at sea.
3 – Customs
In our last blog, we covered the role of customs clearance in shipping.
Goods entering the UK from China or any other country will need to make it through customs before being delivered to their buyer.
First Up – Paperwork
The first step of customs clearance involves an available customs officer examining your paperwork. There are quite a few important documents you’ll need to have ready, including the shipping label and commercial invoice. The commercial invoice is particularly important because it details a vast amount of crucial information, including the BoL number. All documents must be filled out accurately and correctly.
Next – Payment (If Applicable)
Import fees – duties and taxes – are calculated against many variables including what the product is, its value and the rules and regulations of the country importing them. The specific incoterms the shipment has travelled under can also determine whether any payment of duties and taxes is necessary at this point. Restricted items and hazardous goods may also incur further payable fees.
Lastly – The Shipment Is Cleared
Once your documents have been processed and your shipment has been cleared through customs, it can carry on its journey to its final destination.
Shipments getting stuck at customs almost always stems from faulty paperwork. It is always worth the extra time it takes to review all documents thoroughly before importing or exporting goods. Even with all of your papers in order, clearing goods from China through UK customs can take anywhere up to 6 weeks.
Sea Vs Air
Having pit these two modes of shipping against each other in a previous blog we know that, generally speaking:
- Container shipping is cheaper
- Air freight is safer
But what does that mean for getting goods from China quickly?
The answer largely lies in what exactly you plan to ship.
Because cargo travelling by boat takes longer to arrive at its destination, it’s simply not suitable for perishable items. Container shipping can also be highly unstable, risking goods getting damaged, and is subject to longer delays. Weather, congestion and worker strikes can all slow down the journey of your cargo, as well as the issue of incorrect documentation mentioned above.
On the other hand, air freight, though safe and speedy, is much more strictly regulated and will leave a far bigger hole in your pocket.
So How Long Does It Take?
Port-to-port, cargo brought into the UK from China can take around a month to arrive on the water. Sea freight is the most popular mode of shipping when importing goods from China, which has over 15 main shipping ports.
Clearing goods through customs adds a chunk of time to the total wait too, up to an additional six weeks, and that’s if you’ve got the right papers and licences. Failing to fill out forms accurately or get hold of necessary permits can see your shipment majorly delayed.
China Is Overwhelmed By Demand
The sheer capacity of goods travelling into and out of China’s many ports is itself slowing international trade in a self-perpetuating cycle.
To import cargo from China more quickly, many businesses are outsourcing their shipping. Avoiding potential delays in transit is another simple way of getting your goods here as fast as possible. This means taking care to file for any licenses ahead of time and ensuring all labelling and documentation is clear, concise and accurate.
Need help navigating the trade giant? Call Millennium today and make sure you get your goods on time.