• Wiki-Amazon FBA

       Q & A about shipping to Amazon

    Q1: Pallet requirements I intend to get the goods palletized on wooden pallets and am trying to work this out with the factory. They prefer to use plastic pallets; however, these are not accepted by Amazon. Do you have any suggestions on the palletizing side?

    Yes. Amazon accepts only wood pallets or plywood pallets. Wooden pallets must be fumigated and must adhere to IPCC regulations.

    General requirements and dimensions

    Use standard or EUR-pallets for stuffing
    Use GMA Grade B or higher, 40" x 48" / 1 m x 1.25m 4-way access, wood pallets
    Any single pallet must not be taller than 72"
    Pallets can be double stacked for a max height of 100"
    Max weight per pallet: 1,500 lbs. / 680.4 kg

    Q2: Palletizing place Should we palletize cargo at origin or at destination for FCL & LCL shipments?

    FCL shipments
    You can palletize cargo at origin if the manufacturer can provide qualified pallets. Normally, palletized cargo occupies more space in the container than floor-loaded, loose cargo.
    Luckylucky can build pallets at destination (US, CA, UK, DE, AU) as per Amazon's requirement.
    LTL shipments
    If your cargo is fragile, Luckylucky recommends you palletize cargo at origin. Otherwise, you can deliver cargo in cartons to the consolidator's warehouse, and they will be palletized at destination before delivery to Amazon.

    Q3: Product and packing requirements for goods deliver to Amazon FBA

    Amazon's products need to be affixed with the barcode of the product, so that the inventory can be scanned when it is put on the shelf.
    *Sellers can choose the barcode generated by Amazon, or buy a third-party barcode to upload to Amazon.
    *U.S. Customs requires the country of origin on the product packaging. Some Amazon sellers will print the country of origin information on the barcode.
    *If the product has a plastic bag and the opening is larger than 5 inches, the customer needs to be reminded to put a suffocation warning (to prevent the child from suffocating on the head)
    *If the product is a set, a set of products must be packaged or wrapped together for easy differentiation
    * If the product box itself is not fragile, we recommend the customer to ask exporter to do a drop test.
    * At least 5-layer corrugated export carton should be used in the carton
    * For other special packaging such as fragile products/plush products, please refer to Amazon's packaging guidelines document

    Q4: Frequently-used Incoterms and comparison (FOB, CIF, EXW, DDP)

    An EXW trade agreement means that the vendor is not obligated to load the goods on the buyer's designated method of transport. On the other hand, an FOB trade agreement means that the vendor must load the goods on the buyer's method of transport at the shipping point, and, depending on the exact type of FOB, may be responsible for them throughout the trip and to the final destination.
    In regard to freight costs, the seller (exporter) doesn't have to pay any local export charges at origin if it's EXW, and the buyer (importer) doesn't have to pay any local export charges at origin if it's FOB.
    When the Incoterms are FOB or EXWORKS, if you ship goods by express, the express company will ask whether it is DDU or DDP. However, DDU and DDP here actually refer to the tariff payment method of the importing country. If you are not a company located in the importing country, the courier company only accepts DDP, that is, the tariff needs to be paid in advance, because there is no entity company in the destination port to pay the tariff. If you are located in the importing country, the DDU mentioned here actually means that the importer will pay the tariff, and there is no need to pay in advance. Therefore, DDU and DDP here do not refer to Incoterms, but actually refer to a way of tariff payment.

    Q5: We are looking for an accurate and quality quotation.

    Please provide the following information when you inquire about door-to-door freight:
    1. Commodity name, material, HS code (we can also check with your supplier for more details in order to calculate import duty cost).
    2. Weight, measurement, number of cartons, packing
    3. Delivery address (Amazon warehouse or importer's warehouse at destination)
    4. Manufacturer's address (pickup cost)
    5. Trade terms (FOB, EXW, DAP, DDU)
    6. Registered importer in US/Europe or not? (Do you have EIN/EORI/VAT?)

    Q6: Do I need to have an inspection?

    We recommend that our clients use an inspection service before loading, especially for Amazon shipments. Inspection services can help check the quality, quantity, and packing of the product. When selling on Amazon, the quality of the product is correlated with the listing’s reviews.
    In an e-commerce business where products will be shipped from the manufacturer to the consumer directly, there is no importer/distributor/wholesaler's inspection like there is in traditional trading.
    Any kinds of defects in regard to the product, the packing, or the labeling must be found before being delivered to consumers. The return logistics cost is very high and it's harmful to both consumers and sellers.
    Inspection services include random sampling inspection and overall inspection. The cost of random sampling inspection is listed in Q6; the cost of overall inspection needs to be confirmed on a case-by- case basis as per the actual quantity of products.

    Q7: How is the inspection service charged and what is the procedure?

    The standard inspection cost is USD 155.00 per person per day; however, if the factory is located in a remote area, the inspection cost will need to be confirmed case by case.
    Usually, our inspector will check the quantity, visible workmanship, function inspection, labeling and marking, packing, barcode and QR code, etc.
    The inspector will inspect randomly 50-300pcs of products as per the client's inspection checklist. The number of inspected products depends on the complexity of the inspection requirements and the total quantity of goods.
    You will need to provide us with the manufacturer’s address, contact information, the person in charge, and the inspection checklist. After the inspection is completed, we will send you an inspection report and videos the next day.
    Inspection instructions must be sent to us at least 2-3 days prior to the intended inspection date. A successful inspection needs the manufacturer's full cooperation.

    Q8: What is the difference between air freight and courier express? What is chargeable weight?


    Air freight is an airport-to-airport service. The basic air-freight rate is less expensive than the courier-express rate. However, the courier-express rate includes the destination customs declaration and delivery service.

    For door-to-door delivery service, if the chargeable weight is less than 200 kg, normally the courier- express rate is more competitive than air freight. Chargeable weight for an air-freight shipment is the cargo's measurement (cbm) x 167.

    The chargeable weight for a courier-express shipment is the cargo's measurement (cbm) x 200.
    Delivery to Amazon for a courier-express shipment doesn't need an appointment, but there is a volume limit.
    Delivery to Amazon for an air-freight shipment (LTL) needs an appointment, but there is no quantity limit.


    What's chargeable weight?

    The chargeable weight refers to the bigger one between the volume weight and the gross weight. The calculation method of the chargeable

    weight is different for different transportation methods.

    Express/Groupon sea freight(CN-SG, CN-AU)

    Measurement (cbm) * 200 compared with gross weight(kg), whichever is larger

    For example, for 1 CBM of cargo with a gross weight of 100 kg, the volume weight is is 200 kg, as the volume weight is bigger, the chargeable weight is 200kg.

    For another example, if 1 CBM cargo has a gross weight of 300 kg, the volume weight is 100 kg, as the gross weight is bigger, the chargeable weight is 300kg

    Air freight

    Measurement (cbm) * 167 compared with gross weight(kg), whichever is larger

    For example, for 1 CBM of cargo with a gross weight of 100 kg, the volume weight is is 167 kg, as the volume weight is bigger, the chargeable weight is 167kg.

    For another example, if 1 CBM cargo has a gross weight of 300 kg, the volume weight is 167 kg, as the gross weight is bigger, the chargeable weight is 300kg

    Q9: How long does it take to ship to Amazon by Ocean/Air/Courier Express?

    China-US West Coast                            
    Ocean FCL: 18-23 days
    Ocean LCL: 20-25 days
    Air freight: 4-7days
    Courier Express: 3-8 days
    China-US East Coast
    Ocean FCL: 33-38 days
    Ocean LCL: 35-42 days
    Air freight: 4-7 days
    Courier Express: 3-8 days
    China- Europe
    Ocean FCL: 33-38 days
    Ocean LCL: 35-42 days
    Air freight: 4-7 days
    Courier Express: 3-8 days

    Q10: Do you offer insurance for the shipment? What is covered by the insurance?

    Yes, we help our clients get insurance coverage and we recommend that they do so. Because of our large volume of shipments, we have competitive insurance costs and can provide easy electronic issuance of the insurance policy. Cargo insurance (ALL RISKS) protects the client against potential loss and damage of goods.
    If Amazon and the consignee report any damage or loss of goods, please obtain all related evidence and forward it to us as soon as possible. We will coordinate with the insurance company and claim compensation.

    Q11: When should I request that you liaise with the factory in regard to the freight?

    You can have your supplier contact us one week before the goods are ready. You can also send your supplier's contact information to us, and we will contact them and confirm all shipment details. When we have the actual time that the cargo is ready, we will arrange accordingly the soonest shipping schedule.
    We will also update you on any developments regarding the shipment
    Our online tracking system will send all cargo status updates to you, such as cargo pickup, customs release, shipped on board, import customs release, and delivery to Amazon.

    Q12: Why do you charge a duty deposit for an express shipment to Amazon?

    For a courier-express shipment, the express company (FedEx/DHL/UPS) is responsible for customs clearance and import duty collection.
    As Amazon is not the importer and Amazon will not pay the duty fee, the shipment has to be arranged under DDP terms, which means that the duty needs to be paid in advance.
    The express company will collect the duty at origin instead of collecting it from Amazon at the destination. This can help to avoid delays due to duty/tax payment waiting time at the destination.
    Normally, the express company refunds the duty bill amount, but this can take 1-6 months after shipment is delivered. As per practice and our company policy, we will collect the duty deposit in advance. Once the actual duty bill comes out, we will settle the balance as per the actual customs duty/tax bill.

    Q13: I am not located in the importing country. Is it necessary for me to have an EIN number in the U.S. and/or an EORI/VAT in Europe?

    In many situations, Amazon sellers are not located in their destination countries. In order to import products, sellers are required to register for an EIN in the United States and an EORI in the UK and Europe.
    Please click the following links to get more information about how to register.
    United States EIN application link
    United Kingdom EORI application link
    Germany EORI application link
    However, due to continued strict regulation, Amazon sellers are requested to register for VAT in Europe if they are planning a long-term business there. Avoid potential risk by protecting your most valuable asset, your listing. Our UK and German partners can assist you with applying for local VAT.

    Q14: Do I need another freight forwarder in the U.S.A., the UK, or EUROPE?

    Luckylucky provides a one-stop cross-border logistics service. Amazon sellers just need to contact Luckylucky once, and all of the exporting and importing countries’ complex requirements will be processed by the sophisticated teams at both origin and destination.
    This is how Luckylucky has grown quickly, by working together with our clients We are dedicated to helping Amazon sellers focus on the products themselves and on their listings’ performance.
    The client simply needs to provide a POA (Power of Attorney) to authorize Luckylucky’s destination broker to declare customs.

    Q15: How do I set the "Ship from address" in Amazon Seller Central? Should it be the manufacturer’s or the freight forwarder’s address? What's the name I need to show?

    Usually, the "Shipping From” address and name is your manufacturer's address and name. Please ask your supplier to provide the information to you.
    However, if you need a U.S. local address as the “Ship From” address, we can also provide a U.S. local address to you.

    Q16: What is the correct information that Amazon needs to have on the outside of each carton? For example, the barcodes and other details?

    For the master carton, Amazon requires only that the carton labels be affixed so that they can be scanned when being received. There is the same requirement for the product barcodes. Just make sure that Amazon can scan each product when an order is received.
    However, due to the importing country's regulation, "Made in China" (or whatever country is pertinent) must be shown on the product itself and the packing box (shipping mark).
    If "Made in China" is not shown properly on the product, the shipment might be rejected in import customs. Even if we can ask our import country’s office to assist with applying such a label to the product, the cost will be very high and the shipment will be delayed.
    Carton label & Pallet Label
    1. Each box of goods should be affixed with 2-3 labels, and the labels should be prevented from falling off or being worn during transportation in the carton
    2. The pallet labels of the same FBA ID are exactly the same, just stick to the center around the pallet (4 labels). The difference between the pallet label and the carton label is that the carton label is FBAID + serial number, and the ID under the barcode of the pallet label is only FBA ID, no serial number 001, 002, etc.

    Q17: Is the import duty I will need to pay included in this quote? Can you let me know how much duty I will have to pay?

    Our freight quotation doesn't include import duty. Normally, we will receive a customs entry summary when our destination office finalizes the import declaration.
    If you want to know the estimate of duty tariff of your goods, please provide the HS code of the goods, the material, and product pictures. Then we can check the tariff for you.
    The actual HS code classification and duty fee for a shipment are subject to customs’ official confirmation and duty bill.

    Q18: When do I need to arrange for the payment? What payment methods do you accept?

    Ocean LCL & LCL shipment: the client is requested to pay full freight and import duty/tax before the cargo is delivered to the Amazon fulfillment center.
    We accept payment by T/T.
    Air-freight shipment: the client is requested to pay full freight and import duty/tax before the cargo is delivered to the Amazon fulfillment center.
    Courier-express shipment: the client is requested to pay full freight plus customs duty deposit before flight departure.
    Payment methods:
    T/T (Bank account in China, Hongkong, USA)
    Western Union / Paypal

    Q19: What is the timeline difference for a shipment from destination to Amazon FBA if delivered by Amazon LTL, Courier express, or Luckylucky LTL?

    Amazon LTL service (slowest speed, cheapest cost)
    It takes 2-3 weeks to deliver a shipment to an Amazon FBA warehouse after Amazon's contract trucker has picked it up from the destination warehouse.
    Courier-express service: (fastest speed, highest cost)
    It takes 1-5 days to deliver a shipment to an Amazon FBA warehouse after courier express (FedEx/UPS/DHL) has picked it up from the destination warehouse.
    Luckylucky LTL service (fast speed, balanced cost)
    It takes 1-6 days to deliver a shipment to an Amazon FBA warehouse after Luckylucky's trucker has picked it up from the destination warehouse.

    Q20: Can I send my products to one fulfillment center? Can I nominate a delivery fulfillment center?

    Yes, you can send your shipment to just one Amazon-assigned fulfillment center by participating in Amazon's " Inventory Placement Service". However, Amazon might charge you an extra fee for each unit of product to do so.
    Only Amazon can determine to which fulfillment center a shipment is assigned.
    If you have multiple products/ASINs or a single product with different sizes, they may direct it to different fulfillment centers.

    Q21: How can I assist with the import customs declaration when the shipment arrives at destination?

    First of all, a client should be a qualified importer at destination, which requires a local EIN/EORI/Tax ID to be registered in advance. Then you need to issue a POA (Power of Attorney) to our import agents to authorize them to declare customs on your behalf.
    Your supplier/exporter is also required to provide necessary documents, such as the Invoice and Packing List, a detailed description/photo/related certificate of product, and/or a certificate of origin (if needed).

    Q22: Why do I need to pay a deposit for a courier shipment? How do you pay the customs duty/tax for a courier shipment?

    If a client is not a registered company in the import country, the courier-express company (DHL/FedEx/UPS...) accepts only a DDP shipment, as Amazon doesn't agree to act as the importer or pay the import duty/tax. This means that the import duty fee must be prepaid by the sender (Exporter). Normally, the client is requested to pay the DDP handling and import duty deposit before the shipment departs. After the courier-express company forwards the customs formal duty bill (1-6 months after shipment arrival), we will refund the duty deposit.

    Q23: Who should print and affix the Amazon carton labels/pallet labels?

    The most economical way is to request that the supplier/manufacturer print and affix the labels, as they are familiar with the product and, normally, they don't charge an extra service fee.
    If the supplier/manufacturer is able to build pallets according to Amazon's requirements, they can print and stick the pallet labels as well. If the pallets will be built at destination, Luckylucky agents will take care of pallet labeling there.
    Additionally, if there is any special condition that requires replacement or removal of the previous labels after shipment departure, Luckylucky is still able to handle this at the client's request.

    Q24: How do I arrange shipment when Amazon assigns more than one FBA warehouse in the U.S.A.?

    When sellers create an Amazon shipment, they are always assigned more than one warehouse address. If it's a courier shipment, sellers need only to pay a higher unit shipping price, as the freight is normally cheaper if the weight of a shipment is bigger. However, if it's air freight or a sea freight shipment, sellers have to pay a fixed cost (documentation, declaration, handling) more than once.
    Under the circumstances, we need to analyze the destination locations, considering the volume going to each address. Then we will determine which place should be the first stop, and then split the shipments after finishing the import declaration there.
    However, if it's an urgent shipment, we need to balance the total freight difference and arrange direct shipping to each destination.

    Q25: Why is a customs inspection a possibility? Is there any way to avoid inspection or decrease the probability of an inspection?

    Export or import inspections occur when they select your shipment randomly in their system. Sometimes, for certain categories of products, Customs requires more information, supporting documents, or even physical inspection of the products.
    Nobody can avoid customs inspections. The only thing a client should do is to provide as much accurate information as possible when declaring customs. The client is also required to make sure that the manufacturer is able to provide any document when Customs needs it. Customs might need a certificate of origin, WiFi, USB, Bluetooth, CE, or FDA certification.
    If you are not sure what kind of certification Customs might need, please provide the HS code of your product, and Luckylucky will help you confirm this with the destination broker teams.

    Q26: What is the import customs inspection category in the U.S.?

    We list mainly the customs inspection category in the U.S. as follows:
    1. X-ray Exam: no devanning, simple inspection, verify prohibited/hazardous articles.
    Normally takes 1-2 days.
    2. CET/Intensive Exam (contraband enforcement exam): Unload cargo and verify if the actual products match the declared information in customs.
    Normally takes 5-6 days.
    3. MET Exam: Devanning and counting the number of packages, check details of product, amount of goods, copyright, etc.
    Normally takes 3-5days
    4. Tailgate Exam: Inspect tail of container to see if there is any violation and determine further inspection.
    Normally takes 3 days.

    Q27: What are the FBA packaging requirements?

    Follow these general requirements when shipping units to Amazon fulfillment centers. Certain products have other specific requirements. Amazon may refuse, return, or repackage any product delivered to an Amazon fulfillment center with inadequate or non-compliant packaging at your expense, and you may also be subject to non-compliance fees.

    Any FNSKU you use on a Unit must be unique and must correspond to one unique product. For example, each assortment type, such as size or color, will have a different FNSKU.

    Each Unit must have an exterior scannable barcode or label (which includes a scannable barcode and the corresponding human-readable numbers) that is easily accessible.

    Remove, cover, or render unscannable any existing scannable barcodes on the outside of shipping boxes. For example, cover existing barcodes with opaque tape or use a black felt-tip marker to render the barcode unscannable. This prevents the incorrect barcode from being accidentally scanned during the receiving process.

    Q28: How should I package my shipments?

    Follow these instructions to help shipments arrive undamaged and ready for intake to our fulfillment centers:
    Use a rigid, six-sided box with flaps intact.
    Use a single address label that has clear, complete delivery and return information.
    Each box you include in the shipment must have its own FBA shipment label printed from your Shipping Queue.
    Each pallet requires four labels, one on the top center of each side. Each box on the pallet also requires its own label.
    When shipping multiple case-packs in a master carton, apply the unique shipping label on the master carton you are using for shipping inventory to Amazon fulfillment centers.
    If you are reusing boxes, remove all old shipping labels or markings.
    Wrap all items separately.
    Use adequate packaging material.
    Use strong tape designed for shipping.
    Use two inches of cushioning between each of your items and the inside of the box.
    After you pack your box, shake it gently. The contents should not move when shaken.

    Q29: What is DDC

    DDC, destination delivery charge, can be considered as the THC (terminal handling charge). Usually, DDC will be quoted separately for U.S. routes

    Q30: What is CFS warehouse fee

    CFS generally refers to a warehouse for cargo consolidation or devanning. In most cases, CFS is a customs-bonded warehouse. The manifest of each shipment loaded into a container must be submitted to customs by CFS, the warehouse inbound, outbound and storage is supervised by customs. CFS warehouse fee including the unload fee apportioned in proportion to the goods and handling fee per shipment.

    Q31: What is customs bond fee, single bond and annual bond.


    Customs bond is a contractual agreement between the Importer of record, the Bond Surety Company and US Customs & Border Protection (CBP). Customs Bonds facilitate faster Customs clearance because they guarantee the CBP will be immediately paid if any additional import duties, taxes or fees need to be assessed. This allows the CBP to clear the shipment without having to wait for the Importer to submit payment. The CBP is paid by the Surety Company, then the Importer reimburses the Surety.


    Customs Bonds are available as Single-Entry bonds, which cover individual shipments, or as Annual/Continuous Customs Bonds, which cover all shipments over a 12-month period. Customs Bonds are required by the CBP for all commercial imports valued at $2500 or more, even if a shipment is duty-free.


    Customs Bond pricing depends on the bond value and type. Single-entry bonds are calculated based on the individual shipment, The calculation method of SINGLE BOND is US$65 within US$10,000 . If the value exceeds US$10,000 , US$6.5 will be levied for every US$1,000. The cost of purchasing annual bond is US$550/year plus US$50 as handling fee.

    Q32: Why the cost of express delivery is lower than that of sea and air


    The standard express service includes freight, delivery, import and export declaration. The freight paid to the courier company already includes the cost of all services. Choosing sea and air freight will incur a lot of fixed service fees such as customs declaration fees, bill of lading fees, pick-up and delivery fees, handling fees and etc. Unless the quantity of goods is large enough, because there are fixed expenses, the total door-to-door cost will be higher than that of express delivery. In practice, the total cost of air transportation within 200 kgs or sea freight within 1 cubic meter may not be economical by express delivery.

    Q33: Why we have to pay 35% of invoice value as duty deposit for express delivery shipment


    Normally the import duties for express cargo are paid by importers located in the importing country. Since you are not a company literally located in the importing country, the express company only accepts DDP, the import tariff prepaid in the origin. Since the import tariff bill of the express company takes 1 month or even up to 6 months to be returned to us, the express company will require us to pay 35% of the amount of the goods as a tariff deposit and US$35/shipment as DDP handling fee. This deposit will be used to offset the actual customs duties. Once we receive the customs bill for the goods, the deducted deposit balance will be returned to your company.


    Usually, we recommend using PayPal to collect the duty deposit refund to avoid additional bank charges. If you choose wire transfer, you need to bear the wire transfer fee. If we don't receive tariff bill from express company for more than 6 months, we will return the tariff deposit to the customer first.


    Although most import tariff rates are lower than 35%, the actual value of the goods recognized by the customs may be much higher than shipper's declared value, so the express company requires a deposit of 35% of the declared value of the goods.


    In practice, express company only collect duty deposit for invoice value more than US$500.

    Q34: Can we use your overseas warehousing service but ship the goods by ourself?


    We prefer to accept warehousing order only for the shipments we handled the whole process from the beginning. As our overseas warehouse can hardly explain the source of the goods if there is any regulator inspection. As you may know government has increasing strict regulation for e-commerce import goods. We can‘t prove to the government that the goods are imported 100% no problem in compliance.

    Q35: Can we use your importer of record agency service but ship the goods by ourself?


    Sorry we could not provide importer of record agency service if the shipment is not handled by us. As we are unable to physically check the actual product or receive necessary proofs from the shipper. Unless the shipment is officially consigned to us by the shipper along with 100% legally presented documents/certifications.

    Q36: Why freight rates are high right now?


    The COVID-19 pandemic

    The shipping industry has been one of the worst-hit sectors by the Covid-19 pandemic. Firstly, all the major oil-producing nations have cut down production drastically due to the pandemic, which has created a demand-supply imbalance resulting in pricing pressures. While crude oil prices were hovering around US$ 35 per barrel until recently, they are currently, more than US$ 55 per barrel.

    Secondly, surging demand for goods and shortage of empty containers is another reason for distribution going haywire which has in turn caused freight rates to rise so significantly. With the pandemic bringing production to a halt in the first half of 2020, companies had to step up manufacturing to meet the sky-high demands. Also, with the pandemic-related restrictions disrupting the aviation industry, there was enormous pressure built up on ocean shipping for the delivery of goods. This in turn had a knock-on effect on the turnaround time of containers.

    Continued reliance on split shipments

    Ecommerce retailers have been comprehensively using split shipments for years now owing to multiple reasons. Firstly, goods need to be picked from inventories across different locations. Secondly, breaking order into sub-orders, especially if it belongs to different categories can help enhance the speed of delivery. Thirdly with not enough room on a single truck or plane for an entire shipment, it may have to be divided into individual boxes and transported separately. Split shipments happen on an extensive scale during cross-country or international shipment of goods.

    Additionally, customers requiring to ship goods to multiple locations may also encourage split shipments. The more the shipments, the higher the shipping costs, therefore the trend ends up being an expensive affair and often harmful to the ecosystem.

    Shipment Imports from China

    Apart from the above reasons, another major reason behind these surged prices is the tremendous demand for containers in China. China being the largest manufacturer in the world there is a huge dependence of western countries such as the US and Europe on China for various goods. Therefore, countries are willing to shed double or triple the price to procure goods from China. So, while container availability has anyway shrunk drastically through the pandemic there is a huge demand for containers in China and the freight rates too are substantially high there. This has also contributed significantly to the price hike.

    Other factors in the current scenario

    Apart from the aforementioned points, there are a few lesser-known contributors to the high freight rates. Communication issues stemming from last-minute diversions or cancellations in the current scenario are one of the reasons for booming freight prices. Also, the transportation sector, like other industries, tends to have ripple effects when corporations take major actions. So, when the market leaders (the largest carriers) decide to increase their costs to recuperate losses, the overall market rates are inflated too.

    The industry can resort to several measures to put a check on the rising freight rates. Altering the day or time for the shipment and transporting during ‘calmer’ days such as Mondays or Fridays, instead of Thursdays that are generally earmarked as the busiest can reduce freight costs by 15–20% annually.

    Companies can plan in advance to club and ship multiple deliveries at once instead of individual deliveries. This can help companies avail discounts and other incentives from shipping companies on bulk shipments. Over-packaging can augment the overall shipment costs, besides damaging the overall ecosystem. Therefore, companies should look at avoiding it. Additionally, smaller companies should seek the services of integrated transportation partners for shipments as outsourcing can help them focus on their core operations.

    Q37: how shippers can adapt under the current situation


    Advance Planning

    One of the most effective ways to combat these high freight rates is advance planning of shipments. Cargo cost is increasing every day. To avoid paying surged charges and avail early bird facilities, companies have to strategically plan their shipments well in advance. This can help them save a considerable amount of cost & help them avoid delays. Using digital platforms to leverage historic data on the freight costs to predict the rates as well as the trends affecting the rates also comes in handy when planning in advance for the shipment.

    Ensuring transparency

    It is digitization that can usher in a strategic transformation in the Shipping & Logistics industry. Currently, there is a tremendous lack of visibility and transparency amongst the players of the ecosystem. Therefore, re-inventing processes, digitizing shared operations and implementing collaborative technologies can maximize efficiency and reduce trading costs. Besides building resilience for supply chains, it will help the industry to bank on data-led insights, thereby helping players make informed decisions. The industry, therefore, needs to adapt technologically bringing about a systemic shift in the way it operates and trades.
    Source: CNBC TV18

    Q38: Amazon appointment


    Almost all Amazon-related sellers/logistics will know or know that Amazon's warehouse needs to make an appointment for delivery.

    Not all types of warehousing require an appointment.

    SPD delivery does not require a separate appointment. The courier company has a daily appointment with Amazon. A separate appointment is required for truck deliveries.
    Luckylucky's main business is shipping to Amazon door-to-door service. The appointment is a prerequisite before the truck is dispatched. Each LTL/FTL shipment is dispatched by trucks against case-by-case appointment in advance, and appointments are done by destination local LTL service provider sometimes.
    Some trucks/agents will charge USD40 Amazon appointment fee as an operating fee to coordinate truck and cargo appointments.
    Amazon's appointment needs to be made through carrier central, and the confirmed appointment will be sent by email with barcode and time. The carrier cannot make an appointment by phone/email, etc. Therefore, there is no public delivery contact in the Amazon warehouse.


    An Amazon appointment sample:

    Hello, An appointment for LISF with ISA Id 68XXXXXX0 has been confirmed at Amazon.com's MEL1 Fulfillment Center for Tue 07/12/2022 14:30 AEST. Please make sure you have the appointment ID ready when you show up for the appointment.


    Please ensure the driver has a printed copy or a soft copy of this email notification which includes the barcode. Thanks!

    Appointment Summary:

    Fulfillment Center: MEL1 Inbound Shipment Appointment (ISA) ID: 68XXXX0 Appointment Reference Code: MEL1-XX-6XXXO Arrival Date: Tue 07/12/2022 14:30 AEST Door: 17 Trailer Number: Shipments: ISD: 18XXXXXX90 PRO: SXXXD954-YMEL Pallet count: 3 Carton count: 67 POs: [4XXXXMOT, 7XXXXQM, 4XXXXL2U, 6XXXX5ET, 5XXXXS6T, 21XXXX7E, 4XXXXFUN, 1XXXXOHC, 53XXXX7Q, 5PXXXXVC] BOLs: [FBA1XXXXGGH6, FBA1XXXX45C1, FBA15XXXXXR, FBA15XXXXJJ, FBA1XXXXM8CH, FBA1XXXX06CZ, FBA1XXXXMCQ8, FBA15XXXXN74, FBA15DXXXX0C, FBA15D1XXXXP]


    Vendor Name: Luckylucky International Supply Chain Co Ltd

    Have a great day!
    Amazon.com Transportation Department

    Q39: How to choose the right delivery method to Amazon

    Seller can either use LUCKYLUCKY arrange delivery or ask Amazon carrier pick-up goods from our overseas warehouses.
    1. If you choose to be delivered by luckylucky, we will set appointment with amazon at the nearest delivery time for each shipment and provide POD after delivery is complete.

    2. If you choose Amazon's self-collection, there are three ways to receive the goods by Amazon.
    a. SPD No appointment is required. This method can only be used by courier companies. The courier company has a regular appointment with Amazon. SPD does not need to go through carrier central again. Quantity: less then 15cartons, non-palletized goods.
    b. LTL This method requires an appointment, labeling and palletizing according to specified requirements, and palletized goods are delivered by truck
    c. FTL This method is to make an appointment and send the whole cabinet to the Amazon warehouse, and ask to refer to the Amazon documents. This method is rarely used, and it is likely to incur higher costs than demolition. In practice, we need to unload container in our warehouse and deliver they after labeling and palletizing after get appointment from Amazon.

    Q40: How to guide customers to the information required to make an appointment

    Normally, "FBA shipment ID" , "Reference ID" and "Ship to address" are required to make an appointment from carrier central,.
    Usually, for goods delivered by sea or truck, we need to assist customers to find these information from the seller central.
    The new background "send to Amazon is the green main interface, in the shipment summary section you can find the FBA shipment ID and Amzon reference ID" and "Ship to address". If the customer can't find it, please refer to the following Amazon "send to Amazon" step-by-step tutorial.

    Q41: How to handle multiple FBA IDs

    If there are multiple FBA IDs, but the goods are to the same address, we can arrange different FBA IDs in one shipment.
    Sellers are required to specify how many cartons belong to each FBA ID.
    When making an appointment, different IDs of the same warehouse can make an appointment together in the background
    Yes, just add a line. E.g.:
    50CTNS FBAXXXXX reference ID: XXXXXX
    Ship to: ONT8

    Q42: How to deal with multiple assigned FBAs

    If multiple IDs correspond to different FBA warehouses
    ① It is recommended that customers use Amazon inventory replacement service to merge warehouses.
    ② It is recommended that customers use the 3rd-party warehouse + Amazon pickup mode (US)
    It is not recommended for customers to send shipments directly to multiple warehouses,
    Because: 1. Multiple goods are shipped separately leads to more fix cost expense.
    2. Long transit time might cause the label to expire on the road

    Q43: What is BOL when deliver to FBA.

    BOL number: BOL that seller mentioned refers to the documents when truck deliver to the Amazon warehouse.
    This what logistics company usually call delivery order or POD.
    Customers often associate Amazon's BOL (local delivery to FBA at destination) with Ocean/Air Bill of Lading(port of loading-port of discharge), requires logistics company show Reference ID on the Ocean/Air Bill of Lading, h/ever, this ID is not required to be displayed on the Ocean/Air Bill of Lading.

    Q44: Why there is no POD after delivery.

    Amazon no longer offers stamped PODs after the pandemic.
    Amazon U.S. uses Amazon's seller central appointment record as POD proof.
    Amazon Singapore adopts electronic file e-POD
    Amazon Australia uses a handwritten signature or electronic signature

    Q45: How to avoid labels that have expired when you deliver to Amazon

    Due to the congestion in the port of the importing country, the entire transportation time will last for 30-60 days. If the label is created too early, it may have expired when it is delivered to Amazon, and the receiving warehouse will not be able to scan the label.
    If you are factory labelling, try to label only before delivery goods to your forwarder at the origin country.
    Please try to let the logistics company choose the consolidation service directly to the nearest destination of the warehouse (applicable for some cities such as Dallas, NewYork, Houston, Miami, Atlanta, Chicago)
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