When importing goods from China to the UK, you want to be sure that you’re getting a good deal. Sea freight rates are dependent on several factors and vary from port to port but these tips will help you compare LCL shipping rates and find the best price for your China-UK shipment.
LCL Shipping Rates To Import Goods From China
How much it will cost you to import your goods from China depends on several factors, including:
- The weight/dimensions/volume of your goods
- Your supplier’s shipping terms
- The outbound port
- Your location
You’ll also need to consider import duties and taxes. You can use our Duty and VAT estimator to help you estimate the UK Customs Duty and VAT you’ll need to pay on your goods.
Factors Affecting LCL Shipping Rates – LCL vs FCL
Lots of factors can influence sea freight rates, including:
- Fuel costs
- The season
- Supply chain demand
- Unforeseen global events (such as natural disasters, wars, and the Covid-19 pandemic, for example).
Generally speaking, FCL (Full Container Load) shipping rates are more unstable with peaks and troughs caused by general rate increases (GRIs).. However, LCL (Less than Full Container Load rates are less affected by variations in FCL rates and so will only vary by marginal amounts on a month-by-month basis.
How to Get the Best Price For Your China-UK Shipment
Even though LCL shipping offers more stable rates compared to FCL shipping, you should still compare LCL shipping rates to save on your China-UK shipment.
Here are some tips to ensure you’re getting the best possible price for your China-UK shipment.
Compare Quotes
Your first step is to get several shipping quotes and compare them to see which is the most competitively priced. Be sure that you’re comparing like for like, however as a deal that looks great on paper may turn out to be too good to be true!
Beware of Hidden Charges
Look out for hidden costs that aren’t covered in your shipping quote or additional fees. A common one is a ‘deferment fee’, charged by the shipping company for having paid the UK Duty & VAT to HMRC on your behalf before billing you. Deferment is typically charged as a percentage so can quickly add a significant amount to your overall costs if you’re not careful. When shipping with Shippo, we don’t charge a deferment fee.
Another way you might get stung is if you’re unclear about how the shipping process works or aren’t familiar with the jargon used by shipping companies. If you’re given a quote or an invoice and are unsure what a charge is for or come across an unfamiliar acronym or abbreviation, don’t be afraid to ask for clarification on what it is that you’re actually paying for!
Arrange Shipping Yourself
Many suppliers will offer to arrange shipping themselves. As tempting as this may be – especially to those who are new to importing and unfamiliar with shipping – you’re far more likely to end up paying over the odds this way.
Consider Your Options
It goes without saying that you should make sure that LCL is the right shipping method for you. LCL shipping offers a range of benefits, especially for smaller businesses but depending on your specific requirements, other shipping methods may suit your needs better. If you’re shipping a larger quantity of goods, you could consider FCL shipping. Or if you’re shipping valuable or perishable items, air freight might be a better option.
Consider Additional Costs
It isn’t just hidden charges you need to think about. You’ll also want to consider whether or not you’ll incur any additional costs when shipping goods from China, for example, when taking out insurance, or if you’ll need additional manpower to unload your goods on arrival at your premises.
Check Your Payment Terms
As mentioned, some freight forwarders charge a deferment fee, essentially charging you for having paid UK Duty & VAT on your behalf. You’ll want to be clear whether this service is included in your quote and how and when you’ll pay.
At Shippo, we don’t require any payment until your goods arrive in the UK and the goods have cleared through customs. At this point, we’ll have the exact UK Duty & VAT figures from HMRC, enabling us to accurately invoice you.
LCL Shipping Rates From China With Shippo
We hope this blog has helped to explain how to compare LCL shipping rates and save to find the best price for your China-UK shipment.
At Shippo, we aim to keep things simple and make it easier for our customers to ship goods from all over the world. That’s why, when you get a quote from us, you can be confident that you won’t be surprised by any hidden charges or unexpected costs. Unless your shipment details change, your quote won’t either!
If you want to find the best price for your China-UK shipment, you can request a quote online, or for more information about Shippo and how we work, don’t hesitate to contact us and we’ll be happy to help.