Transportation routes: how to minimize risks

International logistics allows you to trade with the whole world, which is vital for everyone. Delivery of containers from China takes a lot of time and has to travel thousands of kilometers along all major routes. The topic of risks will always be relevant. We are used to the fact that the biggest problems arise precisely on the routes, for example, the blocking of the Suez Canal, the throughput of ports, the lack of containers and other failures in this direction. Let's consider the influence of China on intermodal transportation, risks and strategies for dangerous goods and logistics trends.

Intermodal transportation is becoming more complex: China's influence

In a previous article, we looked at China's monopoly in maritime logistics for the manufacture of containers and intermodal chassis. You can read more in our article Why shipping a container to China is a challenge and an opportunity.

Intermodal transportation is perceived not only as the use of independent carriers with different contracts for the transportation of goods in one container without additional reloading. In general, this approach does not limit the use of transshipment of goods when changing transport. In the context of transportation related to China, one container is used in this case.

There is a certain dependency on containers resulting in:
• Shortage of empty containers. Some containers get stuck in various ports and do not return, or take a long time to return to the desired ports. The demand for transportation is only growing, and Chinese manufacturers cannot quickly meet the demand.
• Rising costs. Freight turnover is disproportionate to transport capacity, which increases fuel prices and tariffs
• Dependence on Chinese companies. China has a global monopoly on containers, so they can control the quantity, cost, and conditions of their use.
• Delivery delays. A shortage of containers increases logistics route time and waiting times.
• Stockpiling of goods. Waiting causes goods to be delayed in warehouses and increases losses for the business.
• Port congestion. Queues not only for shipment, but also for unloading.

It is difficult to overestimate the influence of China, everyone has already faced all the problems mentioned. But this is not the end of the development of this situation, we should expect even greater impact on maritime and other international transportation.

Transporting dangerous goods in containers: risks and strategies

Transportation of dangerous goods in containers requires compliance with certain rules, because the safety of not only the goods, but also the infrastructure and the environment depends on it. For general cargo, such types of goods must have hermetic individual packaging, proper packaging, labeling and a minimum number of repackaging. Therefore, FCL transportation in one container along the entire route is the best option for dangerous goods. But problems with containers complicate transportation.

Sometimes Chinese ports impose restrictions on the transportation of dangerous goods. Mostly these are long-term periods of several months. Alternative routes are needed for the transportation of such goods. You can use:
• Monitor legislative changes in China, the country of destination, and changes in ports.
• Check the availability of specialized containers.
• Ensure that the manufacturer provides proper documentation, packaging, and liability.
• Prepare a backup plan for transportation using other ports or transport.
• Work only with professionals with the experience you need.
• To reduce waiting time, use additional services from carriers.
• Be sure to insure the cargo.

An alternative may be LCL transportation, but there are many rules to follow so that neighboring goods do not react with your cargo. It is better to consult with a logistics operator or carrier. Despite the difficulties, there are options to make the delivery of your cargo as safe and profitable as possible.

Logistics trends in delivery from China

Logistics is evolving rapidly, regardless of the reasons. It is difficult to imagine what will happen to international transportation in five or ten years.

Modern technologies are already being implemented into the processes, although they require additional resources and time for adaptation. The main trends of recent years:
• Digitalization and automation
• Real-time tracking
• Forecasting with AI
• Creating alternative routes
• Robotization
• Environmental friendliness and sustainable development

China is actively implementing everything in its logistics activities. The country uses artificial intelligence of its own development and robots for various purposes. China is currently unmatched in creating alternative routes, the government is funding a colossal program to improve access to Asia, Europe and Africa. Although China is often accused of non-compliance with environmental standards and environmental pollution, they have their own programs, such as a hydrogen-powered ship, the introduction of smart systems in dealing with emissions associated with leading technologies. To get the most out of their transportation from China, professional training is required, so contact Mitridat for efficient delivery.