understanding the economics of international freight shipping

These days, many shippers view us as being the foot soldiers on the ground eyeing the economic shifts around the world that affect their shipments. 

Over the years, my international forwarding company and I have witnessed the impact of the dollar fluctuation against other currencies and the impact this has on the volume if imports and exports to and from the US. 

Economic trends impacting your shipments

Lately, we forwarders have noticed an uptrend in shipments exported from the US. It is already happening a subtle shift in the export trends. As your forwarder, I do not speak as an economist or make predictions, I merely identify obvious trends within our own forwarding company. 

For a manufacturer or a trading company here in the US, their goods are becoming appealing to foreign buyers.

The spread in US currency against others is not big enough to affect the US imports coming from Asian countries, though it may affect consumer goods from some European countries. Since opening our freight forwarding company back in 1984, we have seen so many shifts in the prevalence of US imports and exports. The point is not to reminisce, but, to learn valuable lessons that continue shaping us, making us survivalists.

Prior trends:

Through the eighties under the Ronald Reagan and George H.W. Bush administrations, the high dollar favored imports, in the 90s under Bill Clinton’s administration, the low dollar and high Euro, export was booming. The early turn of the century, under the George W. Bush administration, well, we got 9/11, wars, and a serious recession.

For all of us, this period was dark and tough. Overnight, our air freight department stopped and as we instituted new costly governmental offices with the Homeland Security and the TSA.

Customs inspections on air and ocean shipments put a big bite (more than a dent) in all kinds of businesses, commerce was moving like a snail. Both international shipping companies and shippers had to wait for 2010 or 2011 to see a favorable trend.

What we do:

ETC International Freight System is a licensed air & ocean freight forwarder (TSA Certified, IATA, FMC licensed, and NVOCC bonded). A US corporation since 1984, shipping via air or ocean freight as well as offering warehousing, distribution, packing, crating, trucking, customhouse brokerage and inland delivery/pickup services.

We ship anything from industrial goods to oversized and overweight freight and permit load using special equipment as well as commercial shipping, whether air or ocean consolidated or straight container loads.

We handle transport of household goods, office relocation, auto shipping, you name it. ETC International Freight Systems provides you with the complete logistics door to door, door to airport or port, leased or shipper own container. So, no matter the trend “du jour”, this freight forwarder navigates all currents and we deliver.

When it comes to international freight shipping, we have been there.

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