Major Carriers Streamline Crossborder Ecommerce Via FBA Ocean Freight

This article provides an in-depth analysis of the advantages and disadvantages of express ships (Matson, ZIM) and regular ships (Evergreen, COSCO, etc.) in cross-border e-commerce FBA sea freight. It also details the FBA sea freight customs clearance process, offering key guidance for sellers on choosing a shipping company and customs clearance. This helps sellers select the optimal sea freight solution based on their specific needs. The comparison focuses on speed, cost, and reliability, empowering sellers to make informed decisions for their FBA shipments.
Major Carriers Streamline Crossborder Ecommerce Via FBA Ocean Freight

For cross-border e-commerce sellers shipping goods to Amazon FBA warehouses, ocean freight remains the preferred method. However, with numerous shipping companies in the market, selecting the most suitable option based on individual needs has become a critical challenge. This article provides an in-depth analysis of two primary shipping types—express and standard—and evaluates the strengths and weaknesses of major carriers to help sellers make informed decisions.

Time or Money? The Freight Strategy That Determines Success

Imagine this: Black Friday promotions are approaching, competitors have stocked up, but your best-selling products are stuck at a port due to shipping delays. Time is money, and every day of delay translates to lost sales. However, for sellers with non-seasonal products or ample inventory, opting for expensive express shipping may not be cost-effective. Striking the right balance between speed, cost, and reliability is essential.

Express Shipping: Speed as a Competitive Edge

Express shipping is renowned for its speed and reliability, making it ideal for time-sensitive goods. Currently, express shipping primarily serves the Port of Los Angeles on the U.S. West Coast.

1. Matson Express: The Gold Standard in Speed

Advantages:

  • Unmatched Speed: Matson sets the benchmark for China-U.S. routes, with its CLX service from Shanghai/Ningbo to Los Angeles taking just 11–14 days. Crucially, Matson operates its own dedicated terminal (WBCT in Los Angeles), enabling container pickup within 1–2 days. The total delivery timeline (shipping + customs + last-mile) averages 20–25 days—far faster than competitors.
  • Reliability: During peak seasons (August–December), Matson’s on-time performance outshines alternatives. Its dedicated terminal minimizes port congestion risks, ensuring timely deliveries for seasonal or urgently needed inventory.

Disadvantages:

  • High Cost: Matson’s rates are 2–3 times higher than standard shipping (e.g., $3,000–$4,000 per container vs. $1,500–$2,500). For small items, this significantly increases per-unit costs.
  • Limited Availability: During Q4 peaks, bookings require 1–2 months’ advance notice. Matson also exclusively serves Los Angeles, leaving sellers needing East Coast deliveries without options.

2. ZIM Express: The Balanced Alternative

Advantages:

  • Cost-Effective: ZIM’s transit times (12–16 days from Shanghai to Los Angeles) rival Matson’s but at 10%–20% lower rates. Its booking flexibility, especially off-peak, appeals to sellers prioritizing both speed and budget.
  • Geographic Flexibility: Beyond Los Angeles, select ZIM routes serve East Coast ports (e.g., New York), accommodating multi-region distribution.

Disadvantages:

  • Pickup Delays: Without a dedicated terminal, ZIM containers face public port queues, adding 3–5 days to pickup times during congestion (e.g., Long Beach peak season). Total delivery may lag Matson by 2–3 days.
  • Seasonal Risks: ZIM’s schedules are more vulnerable to weather disruptions or port strikes.

Standard Shipping: Cost Efficiency for Bulk Goods

Standard shipping attracts sellers with its affordability and broad port coverage, ideal for bulky, low-turnover items or off-peak replenishment. Major carriers include Evergreen (EMC), COSCO, Hapag-Lloyd, and Maersk.

Advantages:

  • Low Costs: Rates are 50%–70% cheaper than express (e.g., $1,500–$2,500 per container to the U.S. West Coast), helping sellers reduce logistics expenses.
  • Wide Coverage: Services reach U.S. West (Los Angeles, Long Beach), East (New York, Savannah, Charleston), and Gulf (Houston) ports, aligning with regional FBA warehouse needs.
  • Availability: Off-peak bookings are easier, supporting large-volume shipments.

Disadvantages:

  • Slow Transit: U.S. West Coast voyages take 25–35 days; East Coast, 35–45 days (longer with transshipments). Including customs and delivery, total timelines stretch to 40–60 days.
  • Delay Risks: Public terminal pickups face queues—peak seasons at Long Beach can add 1–2 weeks. Schedule reliability is also weaker; during the pandemic, some U.S. West Coast trips exceeded 50 days.

Amazon FBA Ocean Freight Customs Process

U.S. customs clearance, handled by licensed brokers, involves these key steps:

1. Pre-Clearance (Before Departure)

Required Documents:

  • Commercial Invoice: Must list FBA warehouse address, consignee (usually the broker’s designated importer), HS codes, and accurate declared values (undervaluation risks penalties).
  • Packing List: Details item counts, weights, volumes, and descriptions.
  • Bill of Lading (HBL/MBL): House BL suffices for clearance.

Compliance Filings:

  • AMS Submission: Anti-terrorism manifest filed 24 hours pre-departure.
  • ISF Submission: Import Security Filing due 24 hours pre-arrival, handled by the broker.
  • POA: Power of Attorney authorizing the broker.

Product Certifications: Vary by category—electronics need FCC, children’s items require CPSC, medical devices must have FDA registration. Missing certifications risk cargo holds.

2. Port Clearance (1–3 Days Post-Arrival)

  • Document Review: The broker verifies AMS/ISF consistency and submits to U.S. Customs’ ACE system.
  • Customs Inspection: Random checks or red flags (e.g., undervaluation, incorrect HS codes) trigger exams ($300–$800 per inspection), delaying clearance by 1–3 days.
  • Issue Resolution: Errors (e.g., undervaluation) incur fines (10%–200% of discrepancies). Missing certifications require remediation; unresolved cases risk cargo auctions.

3. Pickup & Last-Mile Delivery (1–5 Days Post-Clearance)

  • FCL: Containers are collected from ports after paying fees (THC, demurrage, detention), then trucked to FBA warehouses (with pre-scheduled Amazon appointments).
  • LCL: Consolidated cargo is unpacked at warehouses, then delivered via UPS/FedEx or LTL/FTL trucks.

4. Warehouse Confirmation

After FBA receives and scans goods, sellers track inventory status in Amazon Seller Central, completing the freight cycle.

Conclusion: Strategic Choices for Optimal Outcomes

  • Carrier Selection: Choose Matson/ZIM for urgent/peak needs; Evergreen/COSCO for cost-sensitive/non-urgent shipments; East Coast-bound goods benefit from direct standard routes (e.g., New York).
  • Customs Priority: Ensure complete documentation (especially certifications), accurate declarations (avoid undervaluation), and experienced brokers (familiar with FBA rules to minimize holds).