Aug 30, 2023
Make.Ship.Happen.® Part 6: Managing International Shipping
Welcome back to another edition of our Make.Ship.Happen.® series. In our last post, we shared insights about LTL rules tariffs and the important role they play in the world of LTL freight shipping. In this part of our series, we’re discussing an important topic in today’s interconnected world: international shipping.
Understanding the complexities of international shipments doesn’t have to be daunting. In this article, we’ll explain the basics, look at current trends, and share how TA Services can help shippers across the globe.
International shipping 101
What is international shipping?
The short answer is that international shipping is the movement of cargo between countries. However, there are several complexities involved with international shipping when transporting your goods from a foreign country to the U.S. and vice versa. Things such as specialized documentation, customs clearance, freight forwarding, and final delivery conditions can make international shipping seem complicated.
The arrival of imported cargo at a U.S.-based port is just one step in getting it to its final destination. To move international shipments to the port, and ultimately their final destinations, requires knowledge of numerous federal shipping regulations.
Understanding today’s international shipping trends
What are the recent trends with international shipping?
During the second half of 2022, U.S. imports were down considerably from the year before. Consumer spending trends shifted from goods to services following the surge of the COVID-19 pandemic. So far in 2023, ocean container bookings remain low (on par with 2019 levels), according to a report from FreightWaves. In this same report, FreightWaves forecasts that in late Q3/early Q4, U.S. containerized import volumes will drop even lower, “ultimately resulting in a significant drop of 10% to 20% below second-half 2019 levels.”
What are the industry implications of this decline in imports?
Import volumes remain low due to the reduced import markets in the U.S. and globally. The expansion of new vessels creating additional capacity of large container ships in combination with this reduction in import volumes results in container rates being driven down. As well, the shift in consumer spending coupled with high inventories at major U.S. importers both contribute to these lower rates. Lastly, the issue of supply chain failures during COVID-19 has caused many importers to turn to more near porting with land bridge use from Mexico. Taking all these factors into consideration, rates are expected to continue at current levels.
New capacity isn’t anticipated to be absorbed by additional demand in the near future, so shippers must remember that ocean rates will continue to fluctuate as they try to balance the loads on their vessels. Additionally, drayage markets are at or near their low point and are still adjusting to changes in port volumes brought on by past supply chain issues and port delays. As for demand at the ports – that will continue to fluctuate with vessel schedule changes based on volumes and shifting origins.
How TA Services can help manage international shipping trends
International shipping has its share of challenges, including customs regulations, varying import and export laws, language barriers, time zone differences, and fluctuating shipping rates and volumes. It takes expertise and experience to manage these hurdles efficiently — TA Services can help.
International shipping expertise
TA Services offers support for LCL (less-than-container loads), FCL (full container loads), breakbulk, and air freight from door to door for shippers. We also partner with customs brokerage service providers and freight forwarders to help ensure our customers follow all necessary regulations.
Port coverage
We’ve developed a trusted network of carrier partners through our freight brokerage business, allowing us to offer coverage at every port in the U.S.
Global support
Our international shipping team prioritizes communication and visibility to provide the best global support for your international shipments.
Full-service partnership
TA Services is a full-service 3PL solution offering multimodal freight brokerage, value-add services (including international shipping), warehousing, managed transportation, dedicated services, and mill services.
International shipping remains a cornerstone of the global economy, enabling businesses to connect with customers and partners worldwide. As recent trends show a decline in imports at certain ports with an increase to others due to various challenges, it’s essential to have a solid shipping strategy in place. TA Services can provide the expertise, resources, and solutions needed to successfully manage the complexities of international shipping.
Reach out to TA Services to learn more about our full-service solution offerings, including how we can help you with your international shipping logistics.