Project logistics to China: Combining different modes of intercontinental transportation and still making a unified entry possible

Project Logistics Project cargo logistics to China: Combining different modes of intercontinental transportation and still making a unified entry possible

Karl Gross is specialized in handling project cargo and in handling freight traffic with trade lane China.

Ms. Susanne Kreuziger, Route Manager China, gives insights into our logistics activities regarding the organization and handling of exports of large industrial machinery and equipment to China.

We need to work out a shipping concept which adheres to two time restrictions: the "ready-for-shipping” sequences from the manufacturing side and – the required date of delivery to the consignee.

Shipments of large production lines, machinery and equipment for industrial often consist of components of very different nature. There are often parts that are oversize and/or overweight and there are components containing sensitive high-tech units. Then, there are small(er) pieces which are needed for erecting and installation. The different transport and handling requirements the single components have need to be taken into account and catered to when it comes to organizing and realizing intercontinental logistics solutions to China.

Time is also an important criteria. More often than not, the single pieces of a shipment are manufactured in a “multi-step-process”. “For us, this means that we need to work out a shipping concept which adheres to two time restrictions: the 'ready-for-shipping' sequences from the manufacturing side and – of course – the required date of delivery to the consignee."

Also, the sales contract between shipper and consignee might contain restrictions relevant for logistics. “There are for example cases, where the shipper and consignee have agreed that predetermined shipment’s components or some of the shipment’s part lots have to be shipped via air freight.”

Special import customs clearance processes in China are another aspect that needs to be taken into account. “When importing large industrial machinery and equipment to China, there are special regulations which might allow the consignee to benefit from customs preferences – from a so-called ‘zero-license’.”

This license enables its holder to import pre-determined goods with zero import customs duty. To have the chance of obtaining such benefits, the importer needs to apply for the license way in advance to the actual shipping and importing process. If the importer was granted a zero-license for a specific shipment, this affects the transport process’ planning and handling.

Special coordination

“Such shipments need special coordination. There are provisions that need to be fulfilled when the goods are to enter the Chinese customs territory. This may mean that all components of a shipment have to be submitted electronically to the Chinese customs authorities on one manifest.”

The Karl Gross project shipping specialists cater to all of the above particularities. They regularly realize shipping solutions for oversized and or overweight goods break bulk on a container vessel in liner service.

“Yet project cargo shipments often consist of different partial shipped for which – considering the time and cost – we use different modes of transportation. It is not unusual that a shipment divided up in part lots transported by break bulk vessel, part lots which are shipped via container vessel and part lots which are airfreighted. If there is a zero-license applicable to such shipments – then it gets ‘exciting’.”

 

 

Project cargo shipments often consist of different partial shipped for which we use different modes of transportation.

“We recently shipped a production line for the automotive industry from Germany to China. The consignment consisted of several partial shipments transported via break bulk and container vessel. One part lot was shipped via air freight” says Susanne Kreuziger. “While organizing and handling the shipment door-to-door, we were requested to set up a logistics process which would allow the consignee to make use of the zero-license he had obtained for importing these goods.”


“Of course, close cooperation between all parties involved and good communication are indispensible in the field of project cargo logistics – and the more complex the shipments get, the more these two factors are decisive to successfully realizing the shipment – also in regards to the total cost.”


Related articles