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U-Freight Group is seeing a shift to bulk shipping among e-commerce enterprises moving goods to the US
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This is after the US government removed the de minimis threshold for commercial imports effective August 29
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Instead of shipping individual orders directly to US consumers, several U-Freight clients are pivoting to bulk shipping models
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This emerging strategy means businesses can now pay duties based on wholesale costs, which are typically lower than the retail value of individual direct-to-customer shipments
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Consequently, shippers are able to avoid surprise costs to customers, reduce per-unit shipping and logistics costs, improve delivery speeds , and maintain competitive prices
U-Freight Group (UFL) is seeing a shift to bulk shipping among e-commerce enterprises moving goods to the US after the Trump administration removed the de minimis threshold for commercial imports effective August 29.
“This change is driving a reassessment of supply chain models. Many shippers are now identifying which of their SKUs (stock keeping units) previously benefited from the de minimis exemption,” Rick Keller, CEO of U-Freight America, said in a press release.
UFL said it has observed that instead of shipping individual orders directly to US consumers from overseas, several of its clients are pivoting to bulk shipping models — moving inventory in larger volumes into the US for domestic storage and fulfilment.
“They are running detailed cost simulations that factor in duties, tariffs, and various fulfilment strategies to find the most economical way forward,” Keller said.
This emerging strategy means businesses can now pay duties based on wholesale costs, which are typically lower than the retail value of individual direct-to-customer shipments.
Consequently, the shippers are able to avoid surprising customers with unexpected import fees, reduce per-unit shipping and logistics costs, improve delivery speeds by tapping US-based fulfilment centers, and maintain competitive prices in the American market.
“We see this as a growth opportunity for our US fulfilment operations. Some of our clients are already exploring or implementing distributed warehousing strategies to offset the impact of de minimis removal,” Keller said.
“U-Freight is committed to helping companies adapt with flexible, scalable logistics solutions that optimise cost and delivery performance,” he added.
UFL, established and headquartered in Hong Kong, specializes in air and sea freight, warehousing, e-commerce fulfilment, and supply chain management. It has a network of over 200 locations in more than 100 countries, and over 1.5 million square feet of warehouse space.
The UFL Group’s local arm U-Freight Phils., Inc. is owned by the Ayala Group’s AC Logistics Holdings Corp.
READ: AC Logistics appoints Relativo as U-Freight Phils president
