Today, relying on the Internet, online services and offline experience and modern logistics are deeply integrated with fierce market competition, so that enterprises’ requirements for logistics speed and transportation cost are constantly increasing.

Therefore, choosing the right logistics method can enable enterprises to balance between transportation timeliness and cost. 

On the premise of meeting customer requirements, minimize cost expenditures and create competitive advantages for enterprises.

The modes of transport of modern logistics are mainly divided into six kinds: water transport, railway transport, road transport, air transport, pipeline transport and multi modal transport.

There are six common modes of transportation in logistics:

一、Water Transportation

Waterways are divided into Marine transport and inland waterway transport.

Ocean shipping is the use of container ships or other types of ocean-going vessels to carry goods over long distances on the ocean.

Inland river transport refers to the use of medium and small vessels in inland rivers, lakes and other waterways for transport.

Waterways, as natural resources, are usually maintained and controlled by the government, so transport companies do not have to bear any capital costs.

However, ships may still have to pay some transportation costs, such as dam and gate fees, while on the water.

Loading and unloading terminals are usually operated by the government or private companies, so there is a fee to stack and move goods on the docks.

These costs will be paid by the transport company, passed on to the customer.

Therefore, the main cost of capital for transport companies is to hold or rent ships.

Because of the large volume of goods shipped by sea, these capital costs are low on a per-shipment basis.

Water transportation is a cost – saving option, although it adds a lot of time.

However, water transport is only suitable for cases where both the shipper and the consignee are located in a port or waterway, otherwise other short distance means of transport need to be added as a link.

The advantages of water transportation

1. Low input cost
2. Free or cheap road fare
3. Suitable for low – cost, large – volume cargo transport

Disadvantages of water transportation

1. slow speed
2. Port and dam charges are required
3. High carrying cost (The longer the journey time, the higher the inventory carrying cost)
4. Need to rely on forecast to estimate arrival time
5. Low flexibility

二、Rail Transportation

Rail transportation is also a low-cost means of transportation.

A locomotive plus a group of train personnel, can transport dozens or even 100 cars of goods (China’s Daqin coal line can even reach more than 200).

The huge amount of cargo transportation greatly apportioned the transportation cost.

Unlike water transport, which utilizes natural resources, railways have high capital input and maintenance costs.

If there is not enough traffic, the railway cannot operate.

Therefore, railways are suitable for transporting solid, high-volume, low-value goods.

However, one of the biggest problems in railway transportation is delays, such as the avoidance of traffic due to multiple trains passing on the same track.

In Europe, train traffic is often delayed due to the difference in gauge between different countries (e.g. Spain).

Unless the location of both shipper and consignee is connected to the railroad tracks, other modes of transportation need to be added to connect local pickup and delivery.

The advantages of railway transportation

1. Low cost of rail transportation.
2. Long-distance transport is faster.
3. Suitable for solid and durable, high volume, low value goods.

Disadvantages of railway transportation

1. High input and maintenance costs; Routes with insufficient traffic will be shut down.
2. Delayed transportation.
3. Gauge differences may exist in cross-border railway transport.
4. Additional pick-up and delivery charges.

三、Road Transportation

It mainly uses automobiles, or other special vehicles to carry out transportation on the highway.

Roads are built and maintained by governments, and such fees are usually collected in the form of taxes, rather than directly from freight companies.

Transport companies or businesses buy or lease transport vehicles, which require very low capital investment compared to ships and trains. The main cost of road transport is labor (driver’s salary), fuel and vehicle wear and tear.

Therefore, for short distance, small volume freight, road transport is faster, more affordable, more flexible, and can reach areas difficult to reach by water and rail. 

But for long distance transportation, the cost of road transportation is higher than that of water and rail transportation.

Advantages of road transportation

1. Fast and affordable.
2. Flexible, point-to-point transportation.
3. Low capital investment (roads built by the government).
4. Suitable for small quantity and multi-point transportation.

Disadvantages of road transportation

1. LCL (LTL – non FCL transport) costs more.
2. The cost of long-distance transportation is higher than that of water and rail transportation.
3. Road transfer fees (e.g. expressway, bridge tolls, etc.) are payable.

四、Air Transportation

The main cost of air transportation comes from fuel, navigation and airport management fees.

Although the airport is funded by the government, the management and maintenance costs of airport operators are very high.

That’s why, when we buy a plane ticket, a large portion of the cost goes to airport construction fees and fuel surcharges.

Despite its high cost, air freight is used to transport urgent, high-value, lightweight, perishable cargo.

In some specific industries, air transportation is the main mode of transportation.

In some industries, the cost of air freight will be directly passed on to customers.

For example, SF Express  offers faster delivery by charging higher freight rates for next-day delivery.

Advantages of air transportation

1. Very fast speed, greatly shorten the delivery time.
2. Low carrying cost.
3. Reduce safety stock (safety stock level can be lowered if delivery time is shortened).
4. Suitable for light weight, high value, urgent cargo.
5. No need for excessive packaging (low risk of damage).

Disadvantages of air transportation

1. Expensive.
2. The goods are limited in size and weight.
3. High capital investment.

There needs to be an airport suitable for taking off and landing.

Each mode of transportation has its own advantages and disadvantages, enterprises need to choose the most suitable mode of transportation according to the characteristics of their own goods, transportation routes, delivery requirements and other factors.

With the development of globalization and the popularity of e-commerce, International Multi modal Transport has become the mainstream mode of transportation at this stage.

Through the combination of various transportation tools, fast, economic and accurate transportation can be achieved.

Due to the limitations of some hardware shearing or stamping die structures, in the process of using the flakes, when the length of the remaining material is equal to the length of the lower die, and the remaining material has reached the inside of the lower die cavity, the feeder cannot be used.

The feeding of the stepping step is continued in the lower mold, so that the punching machine can only be stopped manually, and the remaining sheet material is manually taken out in the state of mold opening for secondary production processing, which wastes the labor and makes the whole The production efficiency is reduced and the production and operation costs of the enterprise are increasing.

For this reason, the automatic feeding robot for the sheet material is a new type of feeder that has been specially developed and manufactured for the performance and effect that the above-mentioned ordinary feeder cannot achieve, and has obtained the national utility patent.

Trade terms, also known as price terms.

It is an important component of the unit price clause in international trade.

In the external quotation and contract signing, when it comes to the price, it is indispensable content.

It is further divided into three groups of trade terms delivered by the exporting country：

1. Group E: E.W.X., ex works;
2. Group F: F.C.A., delivery carrier; F.A.S., free alongside vessel at port of shipment; F.O.B., free on board.

Group C :C.F.R., cost and Freight; C.I.F. cost, insurance and freight C.P.T., carriage paid to (named destination); C.I.P., freight and insurance paid to (named place of destination)。

There are five trade terms for delivery in the importing country：

1. A.F., delivered at frontier;
2. E.S., fob port of destination;
3. E.Q., ex quay, port of destination;
4. D.V., delivered duty unpaid;
5. D.P., delivered duty paid;

Here are the trade terms F.O.B and C.I.F, which are most commonly used in international trade:

I. Free on board price (FOB)

Free on Board (FOB) is one of the terms commonly used in international trade.

The seller’s basic obligation is to load the goods on board the vessel designated by the buyer at the port of shipment and within the time specified in the contract and to inform the buyer in time.

When the goods cross the ship’s rail while being loaded, the risk passes from the seller to the buyer.

The buyer shall be responsible for chartering the vessel, booking the shipping space, paying the freight and notifying the seller of the date and name of the vessel in time.

Other responsibilities and expenses after the goods have passed the ship’s rail at the port of shipment shall also be borne by the buyer, including obtaining the import license or other official documents, as well as the formalities and fees for the entry of the goods.

Should the Buyer appoint a vessel and fail to inform the Seller in time of its name, loading berth and date of shipment, or should the vessel appointed by the buyer fail to arrive in time or carry the cargo, or should the vessel fail to load the cargo before the expiry of the prescribed period, the Buyer shall be liable for all risks and losses arising therefrom.

Provided that the goods have been clearly separated or fixed for the supply of this contract.

Under F.O.B. terms, the seller shall obtain the export license or other official documents at his own risk and expense and handle the export formalities.

The seller shall provide proof that he has fulfilled his obligation to deliver the goods as stipulated at his own expense.

The Seller may give all assistance in obtaining bills of lading or other transport documents at the buyer’s request and at the Buyer’s risk and expense.

In case of liner transportation, the shipping charges will be included in the liner freight, and the shipping related expenses will be borne by the buyer who is responsible for handling shipping matters.

And if the use of charter ship transport, according to the shipping practice, usually in the charter party does not bear the shipping costs.

In this case, the buyer and the seller shall specify in the contract the expenses for loading, stowing and trimming. In order to avoid disputes between the buyer and the seller on the issue of the burden of shipping expenses, we usually choose F.O.B.

Then various additional conditions are added, which produces the distortion of F.O.B. They take the following forms:

1. O.B.Liner terms, means that the costs associated with loading are handled according to liner practice, that is, they are not borne by the seller but are borne by the ship, in effect, by the buyer.
2. O.B.Under Tackle, the definition is that the seller is only responsible for delivering the goods to the point where the hooks of the vessel designated by the buyer can reach, and the subsequent loading costs shall be borne by the buyer.
3. O.B.Stowed, this condition means that the seller shall deliver the goods into the hold of the ship and bear the loading charges including stowing charges.
4. O.B.Trimmed, this means that the seller shall be responsible for loading the cargo into the hold of the ship and for filling up the bulk cargo in the hold for the purpose of keeping the ship smooth, all expenses mentioned above shall be borne by the Seller.

Ⅱ、Freight and insurance (CIF)

C.I.F. is also the price of the commonly used term in international trade. 

Using this trade term, is the basic obligation of the seller is responsible for charter booking under normal terms to pay the freight to the port of destination, and within the time limit prescribed by the provisions of the port of shipment and shipped the goods after shipment promptly notify the buyer the seller is responsible for conduction from the port of shipment to the destination of Marine cargo insurance, pay insurance premium In business, they call it C.I.F. Cif. In fact, in the case of C.I.F. terms, the seller still delivers the goods at the port of shipment, and the seller’s risks are also borne at the port of shipment.

Risks before the voyage of the goods passes the ship’s rail and after the voyage is carried by the buyer are borne by the buyer, besides freight and insurance charges from the port of shipment to the port of destination In addition, the buyer shall obtain import license or other official certificates at his own risk and expense, go through import formalities and pay the goods as stipulated in the contract.

The documents that the seller needs to provide mainly include: commercial invoice or corresponding electronic data;

It is necessary to provide documents proving that the goods delivered are in conformity with the provisions of the contract: usual transport documents to enable the buyer to take delivery of the goods at destination or to sell the goods in transit by means of transfer documents;

In addition, the seller shall obtain export license or other official documents at its own risk and expense and handle export formalities.

C.I.F. price terms Symtolie Delivery. The so-called symbolic delivery refers to the seller loading the goods at the port of shipment in accordance with the contract and presenting a full set of qualified documents, even if the delivery obligation has been fulfilled, without guaranteeing the arrival of goods.

On the contrary, if the documents submitted by the seller do not meet the requirements, even if the qualified goods arrive safely, the transaction will not be completed.

The names and copies of the documents to be submitted by the seller should be consistent with the agreed, otherwise, the buyer has the right to reject the documents and refuse to pay.

Ⅲ、Group D trade terms

In five kinds of trade terms included in group D, in addition to the DAF is the place of delivery specified in the border between the two countries, the other four terms are importer or destination delivery of the port of destination, it’s from the previous each term has a significant difference between the two According to the group D terms clinch a deal the contract according to the arrival of the goods, the arrival of the contract is a contract with the loading relative, according to the group F C Group called shipping contract terms clinch a deal the contract, under the contract of shipment, the seller must pay the goods in accordance with the usual route and shipped to the prescribed destination habit way is usually required for transportation costs, and risks of loss of or damage to the goods and the goods in the right way after delivery transportation accidents caused by the additional costs, shall be borne by the buyer In terms of group D, the seller is responsible for the safe and timely delivery of the goods to the designated place, including the border point, the port of destination and the mainland of the importing country, and the actual disposal of the goods to the buyer.

The seller shall bear all the risks and expenses before the goods are delivered to the place.

It can be seen that under the terms of group D, the risks borne by the seller are greater than those borne by the previous groups.

In particular, when the transaction is made in accordance with the terms of DDP, the seller shall be responsible for delivering the goods to the designated place in the importing country and bear all the risks and costs before this, including handling the procedures of export and import of the goods and related costs.

Therefore, in foreign trading, as the seller must seriously consider might encounter various risks in the business and can take preventive measures In addition, foreign clinch a deal the condition of going to DDP, the seller handle import formalities should also be considered any difficulties, if the seller fails to obtain import license, directly or indirectly, should not be DDP terms clinch a deal.

Based on the above characteristics, we can know that from group E, Group F, group C, group D, the general trend is that the obligation burden of the seller is gradually increasing, while the obligation burden of the buyer is gradually decreasing.

EXW seller’s obligation is the least, while DDP seller’s obligation is the most.

First, when installing, disassembling and adjusting the slewing mechanism, the machine should pay attention to ensure that the non-standard automation equipment is parallel to the center line and the gear center line for the first time.

It is necessary to be suitable for the angle and effectively ensure that the machine is in operation.

Second, our equipment should always check the maintenance and connection of each part.

If it is loose, it should be tightened.

The body connection bolts should be checked for tightness when the body is under pressure.

All the connecting shafts must have a split pin and need to be fully opened.

Slowly smooth the main components.

Third, often replace the parts that are easy to wear.

If there is a fault, we need to eliminate the fault before continuing to operate.

The motor bearing lubrication should be good.

Always check all wires and cables for damage.

It is necessary to dress and replace the damaged part in time.

Effectively extend machine maintenance.