Logistics Insights
Accrue Global Services introduced this Knowledge Center to bridge the gap between complex global logistics and the businesses we serve. We believe that small and mid-sized importers deserve the same clarity and strategic insight as major corporations, without the confusing industry jargon. This resource is designed for business owners and logistics managers who want to understand the true mechanics of their supply chain—from choosing the right freight mode to navigating U.S. Customs and final delivery. We strongly encourage you to read through these insights before planning your next shipment; gaining a clear understanding of the process will not only simplify your experience but empower you to make smarter, cost-effective decisions while Accrue handles the heavy lifting.
Q: How do Air and Ocean Freight actually work, and which one should I choose?
Freight forwarding isn't just about moving boxes; it's about balancing speed vs. cost.
- Air Freight is the "express lane." Your cargo is loaded onto passenger planes (in the belly) or dedicated cargo aircraft. It is calculated by "chargeable weight" (actual weight vs. volume). It takes days, not weeks.
- Ocean Freight is the "volume lane." Goods are loaded into 20ft or 40ft steel containers. You can rent a whole container (FCL) or share space with others (LCL). It takes weeks, but the cost is significantly lower.
The "Red Tape" Pain: Choosing the wrong mode can burn your budget. Shipping a heavy, low-value engine part by Air might cost more than the part itself. Conversely, shipping a critical prototype by Ocean might miss your production deadline.
Strategic Consulting & End-to-End Control
We don’t just take orders; we consult. Accrue analyzes your cargo's weight, dimensions, and deadline. We might suggest a Hybrid Strategy—flying the 10% of stock you need now and shipping the remaining 90% by Ocean to save you thousands. We handle the booking, tracking, and airline/carrier negotiations so you don't have to.
Direct Origin Management
Accrue goes further by connecting directly with your origin suppliers or sellers to verify shipment details and collect any missing documents. We can arrange the pick-up straight from the supplier's warehouse, coordinate with the origin Airport or Shipping Port, and take over the entire journey. By managing this without relying on fragmented third parties, your shipment moves smoothly under Accrue’s supervision.
The Result: You get total peace of mind, while Accrue does the heavy lifting.
Q: What exactly is "Customs Clearance," and why is it so risky?
Every item entering the USA must be declared to U.S. Customs and Border Protection (CBP). This involves filing specific documents (Commercial Invoice, Packing List, Arrival Notice) to prove the goods are safe, legal, and correctly taxed. If you are the buyer, you are likely the "Importer of Record," meaning you are legally responsible for this data.
The "Red Tape" Pain: If your paperwork has a typo, or if you file the entry too late, CBP can flag your cargo for an intense "Exam." This can delay delivery by weeks and result in hundreds (or thousands) of dollars in storage fees and fines.
Proactive Document Verification
Accrue works with a team of professional and licensed U.S. Customs Brokers who verify every single document regarding your shipment—including the Commercial Invoice, Packing List, and compliance certificates. We meticulously review this data before filing to determine exactly how the entry must be submitted to ensure full compliance.
The Result: By validating your documentation early, we identify and fix potential errors before they reach Customs, ensuring a seamless entry process that significantly lowers the chance of rejections or exams.
The Benefit: We handle the agency coordination (FDA, USDA, DOT) so your goods flow out of the terminal immediately, avoiding expensive storage fees.
Q: What are Duties and Tariffs, and who is responsible for paying them?
- Duty/Tariff: This is a tax imposed by the U.S. government on imported goods. The amount you pay depends on the HS Code (Harmonized System)—a standardized number that classifies your product (e.g., "Auto Part: Brake Pad").
- Who Pays: It is crucial to understand that the Importer of Record (You) pays these fees to the U.S. Treasury, not the foreign exporter. When the U.S. government imposes higher tariff rates on specific countries or products, the cost is borne directly by U.S. businesses. Contrary to common misconceptions, these funds are collected domestically from the importer, meaning higher tariffs equal higher landed costs for your business.
The "Red Tape" Pain: Classifying goods is difficult. If you use the wrong HS Code, you might overpay (wasting money) or underpay (risking huge penalties and audits later).
Strategic Classification & Cost Management
We act as your compliance shield. Before we ship, Accrue’s highly efficient Customs Brokerage team reviews your invoices to verify HS Classifications.
Optimization: In many cases, we can identify a correct but alternative HS code for your products that may carry lower Duty or IEEPA charges than the standard default code.
Expertise: Identifying these opportunities requires deep regulatory knowledge. Only a licensed and experienced Customs Broker can legally evaluate the right HS code to manage costs without risking non-compliance.
Payment: Accrue can manage the payment directly to Customs on your behalf, or we can assist you in setting up a direct ACH payment account with Customs for faster processing.
Q: Why is the "Last Mile" often the most expensive and delayed part of shipping?
The Explanation: "Last Mile" refers to the final movement of cargo from the airport or seaport to your door (or your customer's warehouse).
- The Complexity: This leg involves coordinating with steamship lines, port terminals, chassis availability, and driver schedules.
- The Fees: It is notorious for hidden costs like "Demurrage" (storage at the port) and "Detention" (keeping the container too long), which kick in if the trucker misses a tight appointment window.
Integrated Coordination
Unlike many forwarders who hand this off to random third parties, Accrue treats trucking as a core service. We pre-book verified drivers and bonded if required before your flight or ship even at port or at docks.
The Result: We track the "Free Time" (the free days allowed at the airlines and port) and dispatch drivers immediately upon release. This tight coordination prevents expensive Demurrage and Storage bills and ensures your goods don't sit stagnant just miles from their destination.
Q: What is the difference between FTL and LTL trucking?
- FTL (Full Truckload): You rent the entire trailer. It goes straight from Point A to Point B. It’s faster but costs more if you don't fill it.
- LTL (Less-Than-Truckload): You only pay for the pallet space you use. The truck stops at multiple hubs to pick up/drop off other cargo. It is cheaper but slower.
Cost vs. Speed Analysis
Accrue evaluates your shipment size and urgency. If you have 6 pallets, LTL might be cheaper, but if the deadline is strict, the risk of delays at LTL hubs is too high. We might negotiate a "Volume LTL" or partial truckload rate—giving you the direct route of FTL at a price closer to LTL. We make the math simple so you can choose the best option.