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FedEx Optimizes International E-commerce Services for Chinese Sellers; UPS to Raise Surcharges Again!

News source: author: 2024-07-30 Page View:65
Introduction:FedEx Further Optimizes FICP Services; Temu Expands into New Markets; UPS Issues Rate Update Announcement

1. FedEx Further Optimizes FICP Services


On July 30, FedEx announced further optimizations to its "FedEx International Connect Plus (FICP)" service for e-commerce sellers in mainland China, expanding the service coverage from the current Asia-Pacific market to the U.S. and Europe. This expansion allows mainland Chinese e-commerce sellers to provide international logistics solutions for their customers and ensures that most goods can be delivered to the U.S. and Europe within 2-3 business days.

Source: FedEx


2. Temu Officially Launches in Thailand


On July 30, it was reported that following Malaysia, Singapore, and the Philippines, Temu has quietly launched its Thailand site, making another move in the Southeast Asian market. It is reported that, consistent with other sites, Temu also offers free shipping, 90-day free returns, and discounts of up to 90% in the Thai market. Additionally, the Temu Thailand website shows that many items in categories such as home and luggage have sold tens of thousands of units, with some even exceeding 100,000.

Source: SEA Window


3. UPS to Raise Surcharges in September and November


On July 30, UPS recently issued a rate update announcement indicating that its surcharges will increase twice during the upcoming holiday shopping season, with the changes expected to be implemented in late September and mid-November. The 2024 holiday surcharges are higher than in previous years. According to the UPS website, the surcharge is currently $3.50 and will increase to $7.75 from September 29 to November 23 and then rise again to $9.95 before December 28, 2024. Additionally, surcharges for large packages and overweight packages will also increase from late September and mid-November to the end of December.

Source: AMZ123


4. Amazon Conducts Large-scale Cleanup of VC Accounts


On July 30, it was reported that Amazon is conducting a large-scale cleanup of Vendor Central (VC) accounts, possibly leading to the closure of some accounts. VC accounts have a "symbiotic" relationship with Amazon and have considerable authority, but some VC sellers have abused their power to modify other people's product links, drawing attention. This cleanup mainly targets VC sellers with an annual GMV of less than $10 million and those without primary resources, aiming to eliminate smaller, power-abusing accounts and attract genuine manufacturers, factories, and brand owners to join to cope with competitive pressure. Previously, some VC sellers had already received notifications that their accounts were closed or would be closed soon.

Source: NetEconomics


5. TikTok Shop USA Launches Shared Free Shipping Program


On July 30, according to TikTok Shop USA, starting August 26, 2024, the shared free shipping program will replace the original platform free shipping policy, transitioning to a new model where the platform and sellers share the cost. Under the new plan, platform buyers can still enjoy full free shipping service after meeting the order amount threshold—TikTok Shop will bear part of the shipping cost, and the remaining part will be borne by the sellers. The new plan applies to local shipments in the U.S. and sellers with a store score of no less than 2.5, including local U.S. sellers, U.S. entity cross-border sellers, and self-operated overseas warehouse sellers (excluding fully managed cross-border sellers). Newly registered sellers without a rating can temporarily be exempted from joining.

Source: NetEconomics


6. Alibaba International Station Announces Prohibited Transaction Categories


On July 30, Alibaba International Station announced restrictions on industries involving fluctuating raw material prices, highly customized industries without definitive prices and specifications, and categories lacking quick delivery capabilities or posing platform risk management issues. For existing products in prohibited transaction categories, sellers should promptly delist or re-edit them as opportunity items. Ongoing RTS orders will be managed according to the transaction restrictions. The platform will adjust the product release function for certain industries (including new and edited products) and gradually return items belonging to restricted industries still online. This announcement will take effect on August 1, 2024.

Source: Alibaba International Station


7. Amazon Updates Seller-fulfilled Performance Metrics


On July 30, it was reported that Amazon updated its on-time delivery rate (OTDR) policy for seller-fulfilled orders. Starting September 25, 2024, seller-fulfilled sellers must maintain at least a 90% on-time delivery rate (OTDR) without extending the promised delivery date to ensure their Amazon account performance. Amazon stated that the new performance metrics are designed to help sellers improve their sales and operational capabilities, providing buyers with a better shopping experience. For a better buyer experience, Amazon recommends maintaining a 95% or higher OTDR. This policy does not apply to products using Fulfillment by Amazon (FBA), as sellers are not responsible for the on-time delivery promise of FBA orders.

Source: Amazon Global Selling


8. New Regulations for Russian Cross-border E-commerce


On July 30, it was reported that Russia has lowered the personal goods duty-free threshold from 1,000 euros to 200 euros, causing a slowdown in cross-border business. Additionally, Russia is discussing new legislation that plans to classify cross-border orders as "cross-border e-commerce." If the bill passes in July or August, cross-border orders may be subject to a value-added tax of 5%-15% and stricter packaging, quality certification, and product certificate requirements. These changes could significantly impact the cross-border e-commerce industry.


Source: NetEase


9. SF Airlines Opens New International Cargo Route

 

On July 30, SF Airlines officially launched the "Shenzhen-Singapore-Sanya-Shenzhen" international cargo route. This is the first international full cargo route operated by a domestic airline from Sanya, and the first domestic continuation cargo route from Sanya. The route is operated by a B767-300 wide-body freighter, running one flight per week, ensuring nearly 100 tons of cross-border transportation per week.

 

For exports, goods gathered from across the country to Shenzhen can be directly shipped to Singapore, broadening the air logistics channel for Chinese brands to Southeast Asia. For imports, the return flight from Singapore directly reaches Sanya, serving the import transportation of duty-free goods for Hainan Free Trade Port, supporting the development of the offshore duty-free industry. After a short stopover in Sanya, the goods are flown to Shenzhen, further serving the import logistics supply chain of Shenzhen and the Guangdong-Hong Kong-Macao Greater Bay Area, supporting more "buy globally, sell globally" scenarios.  

 

Source: Fengcai Yiyi

 

10. AFKLMP Cargo Launches Amsterdam-Hong Kong Route

 

On July 30, Air France-KLM-Martinair Cargo (AFKLMP) announced the launch of a new service operated by Martinair using a Boeing 747-400ERF or BCF freighter from Amsterdam Schiphol Airport to Hong Kong via Dubai. Initially, the service will operate three times a week, increasing to four times a week from October 27, 2024, under the winter schedule. This new service will provide 110 tons of capacity per flight, facilitating seamless cargo flow between key international hubs and offering extensive connections to the Americas and Africa via the Amsterdam Schiphol hub.  

 

Source: Cross-border E-commerce Logistics Expert

 

11. Zhengzhou Airport Exceeds 1,000 Cross-border E-commerce Cargo Flights in H1

 

On July 30, Flight K4819, carrying over 80,000 parcels weighing 77 tons, took off from Zhengzhou Xinzheng International Airport, destined for Felipe Angeles Airport in Mexico, where it will land 23 hours later. "Cross-border e-commerce cargo flights from Zhengzhou Airport can reach up to 15 flights per day," said a customs officer from Zhengzhou Airport Customs. Recently, the airport customs supervises nearly 300 tons of cross-border e-commerce export goods daily, with peak days exceeding 470 tons. The average number of cross-border e-commerce cargo flights per week is 46. In the first half of the year, Zhengzhou Airport exported over 34,000 tons of cross-border e-commerce goods, surpassing the total volume for 2023; the cargo value exceeded 5 billion yuan, a year-on-year growth of over 40%. Zhengzhou Airport has surpassed 1,000 cross-border e-commerce cargo flights, achieving significant growth.  

 

Source: Henan Daily

 

12. New Breakthrough in Global E-commerce Negotiations

 

On July 30, Bloomberg reported that after five years of negotiations, about half of the World Trade Organization (WTO) members have reached a preliminary agreement on e-commerce, permanently banning tariffs on digital trade. The Singapore "Lianhe Zaobao" stated that the global e-commerce negotiations have reached an "important milestone."  

 

Source: Global Times

 

END

WeChat Official Account: Cross-border E-commerce Logistics Baixiaosheng


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