2023 Air Freight Guide | Do you know about Air Freight?

There is a special situation in china air freight – a blank voyage (also known as an invalid voyage)

This refers to a situation where a scheduled port or entire voyage is skipped or cancelled.

People are reluctant to break their original sailing opportunities, so the factors that make this happen are often out of their control.

Reasons why air voyages happen 

One of the most important things to know about air sailings is that they can be planned or unplanned. How much notice you receive depends on the reason the sailing was cancelled. Although the circumstances vary, stoppages are usually due to sailing schedule problems or market fluctuations.

Difficulties in meeting sailing schedules

Shipping companies have a fixed number of days to complete their voyages and each schedule has a specific ETA (Estimated Time of Arrival) and ETD (Estimated Time of Departure) for each destination port. Adherence to sailing schedules is essential to keep containers moving through the global supply chain, but it is not always possible to meet every deadline. Shippers may see empty sailings due to delays caused by

Supply chain issues

Congestion and labour shortages are two port issues that can lead to stoppages. In these cases it often makes more sense for the vessel to skip the port rather than risk a delay that will affect the rest of the sailing schedule. Port omissions may be known prior to booking if the event is ongoing (e.g. if the port is heavily congested or locked during Covid restrictions), but may occur throughout the voyage if unexpected challenges arise.

Adverse weather

Weather can also cause a stoppage if the vessel is unable to safely travel to or moor at a specific location. Some ports may even be closed if conditions make it unsafe to complete the required processes. For example, ports may cease operations if cranes are unable to operate due to high winds.

Market changes

Sometimes planned stoppages are required to help control demand. When demand for cargo space is low, shipping companies often use stoppages to help improve operational efficiency. By cancelling certain sailings, routes can consolidate cargo to use all the available space on board – a more cost effective method than sailing multiple ships with a lot of space left.

Due to low demand, stoppages often occur during holiday periods such as Lunar New Year, when factories shut down and outbound cargo volumes at Asian ports fall. Your carrier will be able to discuss historical patterns and current maritime market conditions to help you plan shipments accordingly.

Vessel complications

Although vessels are maintained to help maintain seaworthiness, mechanical problems may arise in the process. Some repairs can only be carried out in specific locations, which may mean re-routing or skipping ports where the problem cannot be resolved. Depending on how long repairs take, additional cancellations may be required to meet the remaining port arrival times.

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The potential impact of a stoppage  

A stoppage can create multiple challenges for shippers, including

Additional costs

Significant delays due to air traffic can result in unexpected costs. Firstly, any cargo requiring access to the port will require additional service charges. Another possible cost is a demurrage and detention charge for filled containers that are held in port for more than a specified number of free days. In addition, cargoes containing perishable or temperature sensitive goods may result in a total loss.

Inventory issues

Not receiving items on time can lead to long term inventory problems. Initially, you may struggle to keep up with demand while waiting for your goods to arrive, but problems can arise even after delivery – especially if your shipment is seasonal. This can lead to a backlog of items you no longer need, thus limiting the amount of storage space available.

 

Reducing customer satisfaction

Delivering on your promises and maintaining adequate product stock is key to keeping your customers happy with your brand. Frequent shipping delays or constant out-of-stock inventory can lead to a loss of market share.

 

Leave your freight to the professionals – TJ China Freight minimises the risk for you.

 

What Will Be the Trend of China’s Freight Forwarding Industry

Since the reform and opening up, China freight forwarding industry has developed rapidly and played an important role in expanding foreign trade, attracting foreign investment, expanding employment, and promoting the development of third-party logistics. At present, with the implementation of the “One Belt, One Road” strategy and the vigorous development of cross-border e-commerce, the development of international freight forwarding is expected to enter a new chapter.

Before the reform and opening up, cargo agent in China was strictly controlled and lagged behind in development. After the reform and opening up, the Chinese government gradually liberalized the management of international freight forwarding, international freight forwarding industry has ushered in rapid development. China’s international freight forwarding industry employs about 2.5 million people, the development momentum is strong. At the same time, the “Belt and Road” strategy and the continuous development of cross-border e-commerce provide sufficient growth momentum for the international freight forwarding industry, with a bright future. However, the international freight forwarding industry itself also has certain limitations. On the one hand, the international freight forwarding industry is a pure service industry, closely related to the quality of service, geographical location, interpersonal relationships, past history, etc., resulting in a small number of small and medium-sized freight forwarding companies and large freight forwarding companies, which is not conducive to the further development of the industry.

On the other hand, international freight forwarding is an industry where competition and cooperation coexist. For international freight forwarding enterprises, to achieve complementary business between different countries, regions and enterprises, information sharing and freight network sharing to enhance their own strength. In the above context, China’s international freight forwarding industry will show the following four major trends.

First, large-scale application of Internet information technology to improve the scope and efficiency of sharing and cooperation. Through the use of modern information technology, the integration of physical logistics networks and invisible information networks can be achieved.

Second, continue to extend the industry chain. A strong freight forwarder will certainly expand its business to logistics and supply chain management consulting services to improve its competitiveness.

Third, specialization, refinement and specialization continue to strengthen. With the increasingly fierce competition in the market, how to stand out has become the primary consideration of many small and medium-sized international freight forwarding enterprises. Therefore, strengthening specialization, refinement and specialization is inevitable. Finally, the speed of integration is accelerating. Since the development of the international freight industry, the trend of integration has gradually unfolded, especially for enterprises with similar geographical ties, regional concepts and social relations. With accelerated integration, the international freight industry can develop better.