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Home » Logistics Costs and Challenges of Sourcing from Inland China

Logistics Costs and Challenges of Sourcing from Inland China

August 23, 2012
SupplyChainBrain

"Distance is the biggest issue," he says. "It is one thing to chase labor costs, but that doesn't tell the whole story. A manufacturer may save 15, 20 or even 30 percent on labor, but face substantially more in transportation costs vs. the cost of moving from a coastal factory to the ports."

That is where third-party logistics companies like come in, Spudic says. "If we can help our customers reduce those inland costs then there are true savings to be realized."

Dimerco has been operating in China since 1991, "so we have a good handle on the actual, realized costs associated with these decisions and we can help our customers understand their true landed costs," he says. "Customers will continue to seek ways to lower their costs, so the challenge for logistics organizations is to put together solid programs that provide competitive rates without compromising service integrity."

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Keywords: international trade, global logistics, 3PL, third party logistics, logistics management, logistics & supply chain, logistics services

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Logistics Global Gateways Global Logistics Logistics Outsourcing Global Trade Management Business Strategy Alignment Global Supply Chain Management Regulation & Compliance Asia Pacific China
KEYWORDS 3PL Asia Pacific Business Strategy Alignment China Global Gateways Global Logistics Global Supply Chain Management Global Trade Management international trade Logistics logistics & supply chain logistics management Logistics Outsourcing logistics services Regulation & Compliance Supply Chain Analysis & Consulting Third Party Logistics
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