Streamline Imports from China to America:
Introducing Suzuyo's Buyer's Consolidation Services
According to import statistics, China is the second-largest import partner for the United States after Mexico and an important trading partner. Various products such as smartphones, electronic devices, and automotive parts are imported from China.
However, trade frictions, including the Trump tariffs between the U.S. and China, as well as political conflicts around the world, pose significant risks that greatly affect companies based in the U.S. Due to the increasing risks, logistics disruptions and more complicated procedures are becoming more likely, making the coordination and management of multiple suppliers a significant burden for businesses.
To address these challenges, Suzuyo offers a solution called "Buyers Consolidation".
This service centrally manages procurement from China, streamlining customer operations and helping to reduce costs.
Below, we will provide a detailed explanation of its mechanisms and benefits.
Table of Contents
1. What is Buyer's Consolidation?
2. Three Key Benefits of Buyer's Consolidation
3. Use Cases for Buyer's Consolidation
4. Summary
What is Buyer's Consolidation?
Buyer's Consolidation is a service that consolidates products from multiple suppliers into a single warehouse before loading them into containers for shipment. In typical sourcing scenarios, transportation from each supplier is handled individually, requiring extensive communication and coordination regarding documentation, handling of conforming and non-conforming goods, and customs procedures. This often leads to complex management.
However, by using Buyer's Consolidation, your point of contact is centralized with Suzuyo, significantly reducing the time and cost associated with coordinating with multiple individual suppliers.
Three Key Benefits of Buyer's Consolidation
Suzuyo’s Buyers Consolidation offers numerous advantages. Below are three key benefits:
1. Cost Reduction
Normally, importing goods requires separate customs procedures for each supplier, incurring customs clearance fees for every import.
Buyer's Consolidation allows for consolidated shipments from China, streamlining both cargo and documentation. This results in reduced transportation and customs clearance costs compared to individual imports, along with simplified documentation and procedures by eliminating the need for separate import customs clearances.
Note: Prior approval from the relevant customs office is required for consolidated import declarations (single declaration) in Japan.
2. Improved Operational Efficiency
By leveraging Buyers Consolidation and Suzuyo’s warehouse services, businesses can significantly reduce the workload of import management staff responsible for coordinating with suppliers.
Additionally, inventory and transportation statuses can be monitored remotely from Japan, helping to prevent stockouts or overstock situations and enabling efficient inventory management.
3. Reduced Risk of Transport Damage
When shipping goods individually via LCL (Less than Container Load), there is an increased risk of damage during transportation due to sharing container space with other shippers’ cargo.
With Buyers Consolidation, products from all of the customer’s suppliers can be grouped into a single dedicated container. This reduces the risk of damage or loss during transit.
Note: LCL refers to a shipping method where cargo that does not fill an entire container is consolidated with shipments from other shippers. While cost-effective, this method carries higher risks of damage or loss due to shared container space.
Use Cases for Buyer's Consolidation
Customer Overview
・Industry: Manufacturing
・Products: Automobile parts
Customer Challenges
・Difficulty monitoring shipping statuses from China, leading to challenges in tracking
actual inventory levels.
・Inability to perform inspections in China, resulting in defective products being shipped.
・Complex import processes from supplier shipments in China to final delivery at the
factory in Japan, making traceability difficult.
・Significant workload for import management staff due to separate exports from each
supplier.
Our Solutions
To reduce logistics costs, alleviate the burden on import management staff, and improve inventory traceability, we proposed Buyer's Consolidation at our warehouse in China, utilizing Suzuyo's Warehouse Management System.
This enabled the consolidation of products previously shipped individually by each supplier into a single shipment, resulting in lower logistics costs and a reduced workload for import personnel. Furthermore, conducting inspections during temporary storage at our Chinese warehouse prevented defective products from being shipped.
By leveraging Suzuyo's Warehouse Management System, "Cargo Master," and our shipping information tracking system, "LTS," the client gained the ability to monitor inventory status in China and estimated arrival times in real time from Japan. This facilitated accurate personnel allocation and production management.
Summary
The Buyers Consolidation solution offered by Suzuyo is a valuable approach to addressing common issues faced by customers, such as reducing logistics costs associated with imports.
In addition to Buyers Consolidation, Suzuyo provides a wide range of services to meet diverse logistical needs. If you’re facing challenges with logistics in China, don’t hesitate to contact us for tailored solutions.
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