When you are shipping from China to the US, when is it suitable for sea freight?
When your suppliers are located near major ports in China, when your shipments are greater than 2 CBM, and when you are not in a hurry to receive them. Sea freight from China to USA is your best option.
When shipping from China to the United States, various sea freight cost from China to USA must be considered, here are some surcharges for shipping:
● Terminal Handling Charge (THC)
● Local Export Surcharge (ORC)
● Automatic Manifest System Entry Fee (AMS)
● Entry Summary Declaration (ENS)
● Fuel Surcharge (BAF)
● Fuel Adjustment Surcharge (FAF)
● Peak Season Surcharge (PSS)
● Port Congestion Surcharge (PCS)
● Container Service Charge (CSC)
● Direct flight surcharge (DDC, IAC)
● General Rate Increase Surcharge (GRI)
● Overweight surcharge, extra long surcharge (HLA, LLA)
● Tank Washing Charge (CC)
Sea freight cost from China to USA
FCL, or Full Container Load, is when your cargo fills an entire 20-foot or 40-foot container. If you’re shipping in bulk, you can save time and sea freight cost from China to USA by shipping FCL. FCL pricing is flat whether your container is completely full or not.
LCL or less than container load means your cargo will not fill the entire container and will be shipped with other boxes or pallets. Please note that when you ship LCL, your cargo needs to be consolidated at the port of origin and unpacked at the port of destination.
This is the reason why LCL shipping takes several days than FCL shipping.
Once the cargo weighs more than around 500kg, sea shipping becomes the cheapest option. Ocean freight offers huge economies of scale (some ships can carry 20,000 20-foot containers).
Some sea freight forwarders offer premium service, often called expedited freight, which is a bit more expensive than regular ocean freight. As with air freight, ocean freight rates vary widely between freight forwarders, and over time, again – shop around.
Factors affect sea freight cost from China to USA
1. Transportation cost
Sea freight cost from China to USA refers to the sum of production costs incurred in the process of completing transportation as a labor service. Transportation cost is the main factor that affects freight rates. So, what does the shipping cost include?
Capital cost: refers to the actual cost of purchasing a ship, which is the most basic cost of a ship, including loans, interest and taxes when purchasing a ship. Generally speaking, the cost of each voyage includes the capital cost, operating cost and voyage variable cost of the ship.
Operating costs: refers to the recurring maintenance costs required to maintain the seaworthiness of the ship. Regardless of whether the ship is shipping or not, this part of the cost must be paid for its operation, so it is also called operating expenses.
2. The structure and competition of the shipping market
The structure of the shipping market means that under the monopoly of a few large-scale shipping companies, in order to avoid price wars caused by fierce competition among shipping companies, many companies in the market form various shipping cartels to form liner ships. Structural patterns of shipping markets. This is the most important factor affecting the sea freight cost from China to USA.
3. Type and quantity of goods
The type and quantity of goods are also important factors that affect the sea freight cost from China to USA. Different goods have different properties and characteristics, and the different properties and characteristics of the goods will affect the use of the deadweight and capacity of the ship, so the freight rates are also different. The additional costs that may occur for goods of different nature will also necessarily be reflected in the sea freight cost from China to USA.
4. Routes and port conditions
Different routes have different navigation conditions. For example, some routes need to pass through the Panama Canal, and some routes need to pass through the Suez Canal. Different navigation conditions have different effects on the transportation cost of ships, so it will be reflected in different freight rates.
In addition, the length of the voyage, the weather conditions on the route, and the safety of the route, such as whether there is a war along the route and whether there are pirates appearing or not, will all be reflected in the sea freight cost from China to USA.
5. Terms of the contract of carriage
The transportation conditions in the transportation contract between the shipper and the carrier, such as the payment method of the freight, the responsibility for the cost, the responsibility range of the carrier, etc., will affect the level of the sea freight cost from China to USA.
In addition, the carrier’s shipping service quality will also have an impact on the sea freight cost from China to USA. Some liner companies with excellent service quality and good reputation often have higher freight rates accordingly.