How can supply chain optimization reduce cross-border logistics costs between China and Europe?

High cross-border logistics costs between China and Europe pose a challenge to many businesses. Through systematic supply chain optimization, companies can significantly reduce logistics expenses while improving operational efficiency. The following are eight key strategies for reducing cross-border logistics costs between China and Europe:

  1. Optimizing the combination of transport modes

Establishing a multimodal transport system

Sea + Rail: Long-distance sea transport combined with the final leg of the China-Europe Express

Air + Rail: High-value goods are first airlifted to Central and Eastern Europe, then distributed by rail

Case study: An electronics company reduced costs by 25% by adopting a “sea to Piraeus Port, Greece” and “rail to Central Europe” strategy.

Dynamic transport mode selection model

Establishing a cost-time matrix (see table below)

Matching the optimal transport solution based on product characteristics

Product type High timeliness requirement Medium timeliness requirement Low timeliness requirement
High value (>€100/kg) Air freight Rail + air freight Rail
Medium value (€20-100/kg) Rail Sea freight + rail Sea freight
Low value (<€20/kg) Sea freight + rail Sea freight Ocean Freight
II. Warehousing Network Restructuring
Strategic Overseas Warehouse Deployment

Eastern European Warehouses: Warehouses in Hungary and Poland cover 80% of the European market

Central European Warehouses: Warehouses in Germany are suitable for fast delivery of high-value goods

Southern European Warehouses: Warehouses in Spain and Italy optimize Southern European delivery

Inventory Optimization Technology

Implementing a demand forecasting algorithm to reduce safety stock by 15-30%

Adopting a VMI (Vendor Managed Inventory) model to reduce capital tied up

III. Improving Customs Clearance Efficiency

Compliance Building

Obtaining AEO certification reduces customs clearance time by over 50%

Establishing a Product HS Code database ensures accurate declarations

Intelligent customs clearance system

Automated customs declaration software reduces manual errors

Electronic document transmission enables expedited customs clearance via the “Guantietong” system

IV. Packaging and Loading Optimization

Standardized packaging

Using EU standard pallets (1200×800mm)

Increased container load rate to over 92%

Lightweighting technology

Using new materials such as honeycomb paperboard to reduce weight by 15-20%

Optimized packaging design reduces volume by 10-25%

V. Digital Supply Chain Development

Logistics visualization system

Enables real-time tracking throughout the entire transportation process

Automatic warning and response to abnormal situations

Intelligent scheduling platform

Dynamically optimizes transportation routes

Automatically matches the best carrier

VI. Supplier Collaboration

Centralized procurement strategy

Integrate volumes from multiple suppliers to achieve scale benefits

Case study: A company consolidated volumes from five suppliers, reducing ocean freight costs by 18%

Just-in-time (JIT) delivery

Establish a collaborative planning system with suppliers

Reducing Inventory turnover days: 30-45 days

VII. Tax Optimization

Utilize the Free Trade Agreement

Fully utilize the benefits of the China-EU Investment Agreement

Rational planning of certificates of origin

EU VAT optimization

Register for the EU OSS system to simplify filings

Rational utilization of the deferred tax mechanism

VIII. Continuous Improvement Mechanism

KPI Monitoring System

Establish cost/timeliness/reliability metrics

Monthly analysis and continuous optimization

Benchmarking

Regularly compare against industry best practices

Participate in logistics supplier innovation projects

Recommended Implementation Path

Short-term (0-3 months)

Transportation method diagnosis and optimization

Collaborative negotiation with key suppliers

Mid-term (3-12 months)

Overseas warehouse network development

Digital system deployment

Long-term (1-3 years)

Full supply chain intelligence

Build a sustainable logistics system

By systematically implementing the above strategies, companies can reduce cross-border logistics costs between China and Europe by 20-35% and shorten average delivery times by 30-45%. Based on their business characteristics, companies are advised to prioritize optimizing transportation methods and restructuring their warehousing networks, gradually progressing to comprehensive supply chain optimization.

发表回复

您的邮箱地址不会被公开。 必填项已用 * 标注