What Is International Logistics?

International logistics is also known as global logistics. International logistics means that goods are traded between two or more countries. We refer to this type of transaction as transnational trade. Producers and consumers will be in different countries, and the process of production and consumption will take place in two or more countries. They are going to move the goods, and trade goods between different countries. In short, international trade is achieved when goods are traded in different countries. This is called international logistics.

What Does International Logistics Include?

There are many areas of international logistics. The main fields include international trade and logistics, international logistics investment, international logistics cooperation, and international logistics exchange, we also have non-traded logistics and so on. For example, the first one, international trade logistics mainly refers to the trade and transportation of goods between different countries. Secondly, non-tradable logistics means that there is no trade in these logistics. Such as the logistics of international exhibits, international postal logistics, and so on. These logistics include transportation of parcels, luggage, letters between different countries, and so on. Moreover, international logistics investment means that logistics companies located in different countries will join together, and they invest together to establish the enterprise. This creates an international logistics investment. Also, international logistics exchange mainly refers to the exchange between different countries in technology, skills, education, science, management, training, and so on. This forms the international logistics exchange.

How Does International Logistics Work?

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In this process, the seller prepares the goods for the buyer, and the buyer prepares the payment for the seller. The seller delivers the documents and the buyer accepts them. There are seven steps here. 

First, the goods are transported from the domestic country. The goods are transported by plane, train, and so on, from the sender to the place where the goods are transported. 

Secondly, the employee in charge of transporting the goods gives the goods a permit to leave the country, which requires the relevant permits, customs, and other related procedures.

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After that, the goods are checked and consolidated.

Next, the goods are transported by sea or air. For example, in the case of sea transport, the goods are loaded into containers and shipped on board.

Then, the goods arrive at the destination country and complete the procedures related to importing customs clearance.

Later, the goods arrive at the destination country. Unloading of the goods. The full cost is calculated, including taxes, additional charges, and so on. After full payment, the goods are handed over to the consignee.

Finally, the transport company in the destination country is responsible for transporting the goods to the consignee’s location.

These are the seven steps of international logistics in the transportation process.

What Are the Benefits of International Logistics?

International logistics brings many benefits. First, different tasks are divided among different countries. Then, goods are exchanged between different countries. It can also be combined to make a better product.

This promotes the economic development of each country and makes better use of the resources of each country. In addition, this saves time as well as reduces costs and risks to a certain extent.

In international logistics, there are special lines of transportation. This reduces the problems due to transfers and so on. In addition, it reduces costs.

Three Well-Known International Logistics Companies

DHL Express

A transportation company founded in the United States. By far one of the largest transportation companies in the world.

UPS Express

UPS Express is also known as United Parcel Service. Currently, the world’s largest delivery company. UPS serves areas mainly in the United States and Europe.

FedEx

FedEx, also known as Federal Express, is one of the largest Express delivery companies in the United States. The company mostly uses air transportation and is a very efficient logistics delivery company.

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