The main differences between cross-border logistics and domestic logistics and their impact on e-commerce operations

With the acceleration of globalization, cross-border e-commerce has gradually become an important part of international trade. As one of the core links of cross-border e-commerce, the importance of cross-border logistics is self-evident. Compared with domestic logistics, cross-border logistics has significant differences in transportation environment, charging standards, commodity requirements, etc.

1. The transportation environment is vastly different

Cross-border logistics is open to various countries and regions around the world, such as China to Europe, Australia, the United States, Taiwan and other places. In contrast, domestic express delivery mainly transports between cities and regions within China. Domestic logistics mainly relies on trucks to transport goods, while cross-border logistics involves more complex transportation methods, including air and sea freight, and requires multiple transits.

2. Differences in charging standards

Domestic express delivery usually takes the form of free delivery to your home, and there are no tax issues. Cross-border logistics involves tariff issues. Exports to the destination country need to follow the policies of the destination country, and tax issues require additional consideration. Since cross-border logistics involves multiple countries and regions, the cost, timeliness and customs clearance are more complicated than domestic logistics.

3. Differences in product requirements

International logistics has stricter requirements for goods. For example, for special goods such as magnets, liquids, and health care products, a variety of documentation needs to be provided. On the contrary, domestic logistics has relatively loose requirements for goods and can deliver almost any type of goods.

4. Cross-border logistics and e-commerce operations

1. First-leg logistics and second-leg logistics

First-leg logistics refers to the transportation segment from domestic to FBA overseas warehouses or third-party overseas warehouses. The transportation section where FBA overseas warehouses or third-party overseas warehouses deliver goods to overseas customers is called two-way logistics. First-leg logistics generally includes international air transport, international sea transport, international express delivery and international small parcels.

2. The difference between Duoduo international and domestic stores

On the Pinduoduo platform, Duoduo International, as a cross-border e-commerce platform, shows significant differences in many aspects compared with domestic stores. For example, in terms of store management, international stores do not support the entry of domestic companies, only overseas companies. In terms of product management, product release in international stores does not require a license, but brand qualifications are required. In terms of store marketing, Duoduo international stores do not currently support ordering cashback activities and overseas live broadcasts. In terms of delivery management, international stores are temporarily applicable to the bonded warehouse BC direct supply electronic order business.

5. Development trends of cross-border logistics

1. Technology driven

Logistics technology will play a greater role in domestic cross-border logistics, including logistics big data analysis, Internet of Things, artificial intelligence and blockchain, etc. This will improve the traceability, efficiency and safety of logistics.

2. Green and sustainable

Environmental protection and sustainable development have become important concerns. Logistics companies will adopt more green transportation methods, such as electric vehicles and solar energy supply systems, to reduce their impact on the environment.

3. Cross-border cooperation

International cooperation and partnerships will become closer to address complex cross-border logistics challenges. Logistics companies will strengthen cooperation to establish a global logistics network and provide integrated cross-border logistics solutions.

4. Customer experience

Consumers’ requirements for logistics services continue to increase. Logistics companies will focus more on providing a high-quality customer experience, including faster delivery times.

In short, there are obvious differences between cross-border logistics and domestic logistics in terms of transportation environment, charging standards, and product requirements. These differences not only affect the operation methods of logistics companies, but also have an important impact on the operation strategies of cross-border e-commerce platforms. In the future, cross-border logistics will develop in the direction of technology-driven, green and sustainable, cross-border cooperation and customer experience. Through partnerships, technological innovation and policy support, we can expect cross-border logistics to achieve more efficient, sustainable and better services in the future.