Complete Guide to Importing Steel Fencing from China: Logistics, Compliance & Cost Optimization for B2B Buyers

Overview of Importing Steel Fencing

Importing steel fencing from China represents a significant opportunity for B2B buyers to access high-quality products at competitive prices. However, navigating the complex landscape of international procurement requires a detailed understanding of China’s steel industry, product specifications, and import regulations.

Before diving into logistics and supplier selection, it’s crucial to grasp the broader context of China’s dominant position in global steel production and how this impacts the fencing products you’ll import.

China’s Steel Industry and Major Producers

China stands as the world’s largest steel producer and exporter, accounting for over 50% of global steel production. This dominance gives Chinese manufacturers tremendous scale advantages, allowing them to offer competitive pricing on steel fencing products.

At the forefront of this industry is Baowu Steel Group, formed through the merger of Baosteel and Wuhan Iron and Steel, which now produces over 100 million metric tons of steel annually and significantly influences the global steel fencing supply chain.

The Chinese steel industry has undergone substantial reforms in recent years, aimed at addressing overcapacity issues and improving environmental performance. These reforms have led to consolidation among producers, with smaller, less efficient mills being closed while larger operations like Baowu have expanded through acquisitions.

This consolidation has resulted in better quality control and more consistent manufacturing standards, benefiting importers of finished products like steel fencing.

Unlike the US steel industry, which features both integrated mills and mini-mills using electric arc furnaces, Chinese steel production predominantly relies on blast furnace technology using iron ore and coal. This production model creates distinct advantages in terms of scale but also presents different environmental and quality considerations that importers should understand.

The Chinese government maintains significant control over the industry through state ownership stakes and regulatory oversight, which influences everything from production quotas to export pricing.

Steel Fencing Product Types and Classification

Steel fencing imported from China falls into several distinct categories, each with specific applications and features. Chain-link fencing, constructed from galvanized steel wire woven into a diamond pattern, offers economical security for large perimeters.

Panel fencing, featuring welded wire mesh or tubular steel construction, provides enhanced security and aesthetic appeal for commercial and residential applications. Welded wire fencing combines durability with visibility, making it suitable for industrial facilities and public spaces.

For customs classification purposes, steel fences typically fall under HS code 7315 90 90, which covers chain-link and panel steel fences. This classification is critical for determining applicable import duties, taxes, and potential trade restrictions.

Proper classification ensures compliance with customs regulations and helps avoid costly delays or penalties during the import process.

Quality and safety standards are paramount when importing steel fencing. Look for products that comply with international standards such as ISO 9001 (quality management) and ISO 14001 (environmental management).

For technical specifications, ASTM A193 standards govern galvanized steel quality and ensure appropriate corrosion resistance—a critical factor for outdoor fencing applications. European markets may additionally require CE marking to certify compliance with EU health, safety, and environmental protection standards.

Sourcing and Supplier Verification in China

Finding reliable steel fence suppliers in China involves navigating a complex landscape of manufacturers, trading companies, and potential quality risks. The Chinese manufacturing sector presents several key challenges: distinguishing legitimate factories from intermediaries, verifying actual production capabilities, ensuring consistent quality control processes, and confirming compliance with international standards.

These risks stem from China’s fragmented industrial landscape where manufacturing capabilities and quality standards vary dramatically. Many suppliers present polished marketing materials that may not reflect their actual facilities or capabilities.

First-time importers often make the critical mistake of selecting suppliers based solely on price quotes without conducting proper due diligence on their operational reality. This oversight frequently leads to quality inconsistencies, delivery delays, and communication problems that can undermine the economic advantages of sourcing from China.

The steel fencing sector presents specific verification challenges, as corrosion resistance, weld strength, and coating quality can only be assessed through proper testing and inspection. Without rigorous vetting, importers risk receiving products that fail to perform in their intended environment, creating potential liability and customer satisfaction issues.

Finding Qualified Steel Fence Suppliers

When searching for steel fence manufacturers in China, utilize multiple sourcing channels to build a comprehensive supplier list. Industry trade shows such as Canton Fair, Bauma China, and specialized metal industry exhibitions provide opportunities to meet manufacturers face-to-face and inspect product samples directly.

Online B2B platforms including Alibaba, Global Sources, and Made-in-China allow you to compare multiple vendors, though verification is essential as both factories and trading companies use these platforms. Industry associations like the China Iron and Steel Association (CISA) can also provide referrals to reputable members.

Verification of certifications is a critical step in supplier evaluation. Legitimate steel fence manufacturers should hold ISO 9001 certification, demonstrating a robust quality management system.

ISO 14001 certification indicates commitment to environmental management practices—increasingly important for sustainability-focused buyers. For products destined for European markets, CE marking is essential to verify compliance with EU safety, health, and environmental requirements.

I recently worked with a U.S.-based distributor who initially selected a supplier based on attractive pricing, only to discover the “factory” was actually a trading company without direct control over production. When quality issues emerged, resolving them became tremendously difficult due to the lack of direct factory access.

We ultimately established a relationship with a certified manufacturer in Hebei province, which not only resolved the quality concerns but also reduced costs by eliminating the middleman markup.

Quality Control and Inspection Protocols

Implementing rigorous quality control procedures is essential when importing steel fencing from China. Pre-shipment inspections conducted by third-party agencies such as SGS, Bureau Veritas, or Intertek provide independent verification of product quality, specifications, and quantity before goods leave China.

These inspections typically follow Acceptable Quality Limit (AQL) standards, with random sampling of products to identify potential defects or non-conformities.

Testing standards for steel fencing should focus on both mechanical strength and corrosion resistance. Tensile strength testing ensures the fence can withstand expected loads and pressure.

Corrosion resistance testing, particularly salt spray testing according to ASTM B117 standards, verifies the durability of protective coatings in harsh environments. For galvanized products, coating thickness should be verified to ensure adequate protection, typically ranging from 30-100 microns depending on the intended application and environment.

Before committing to a large order, request samples and consider pilot production runs. Initial samples demonstrate the manufacturer’s capabilities and allow you to evaluate material quality and workmanship.

A small trial order or pilot production run reveals the supplier’s consistency and ability to meet specifications at scale. This approach minimizes risk and allows you to identify potential issues before investing in a full production order.

Shipping Options and International Logistics

The choice between different shipping methods dramatically impacts cost, transit time, and risk exposure when importing steel fencing from China. These heavy, bulky products require careful logistical planning to optimize transportation efficiency.

The decision between FCL and LCL shipping creates significantly different cost structures and risk profiles for steel fencing imports. FCL shipments offer better per-unit costs for large orders and reduced handling, minimizing damage risk to these rigid metal products that can be prone to bending or coating damage when frequently handled.

LCL consolidation makes smaller orders more economical but introduces multiple handling points where fencing panels or rolls may be damaged. Each transfer between carriers presents opportunities for mishandling of these awkwardly-shaped products.

Transit time differences between shipping options become crucial when coordinating with construction project timelines or seasonal sales periods. While sea freight remains the most economical option, its 30-45 day transit time requires advance planning that many projects cannot accommodate.

Rail or air alternatives can reduce delivery times significantly but at premium costs that must be carefully weighed against schedule requirements. Understanding these fundamental tradeoffs allows importers to select appropriate shipping methods based on project timeline constraints rather than defaulting to the cheapest option.

Freight Methods: FCL, LCL, Rail & Air

Full Container Load (FCL) shipping involves leasing an entire container for your shipment, providing exclusive use and minimizing handling. For steel fencing, standard 20-foot containers typically accommodate approximately 800-1,000 fence panels (depending on dimensions), while 40-foot containers can hold 1,600-2,000 panels.

FCL shipping offers several advantages: lower per-unit costs for large shipments, reduced handling and therefore lower damage risk, and typically faster transit times since the container moves directly to its destination without consolidation delays.

Less-than-Container Load (LCL) shipping consolidates your goods with other shipments to fill a container. This option makes economic sense for smaller orders that don’t justify a full container.

However, LCL shipping involves additional handling as goods are consolidated and deconsolidated, increasing damage risk for steel fencing products. Transit times are typically longer due to these additional logistics steps, and the cost per cubic meter is higher than FCL, though the total upfront cost is lower.

Rail freight has emerged as an increasingly viable option for importing from China, particularly to Europe via the China-Europe Railway Express. This option offers a middle ground between sea and air freight, with transit times of approximately 15-20 days—significantly faster than ocean shipping.

Rail transport works well for inland destinations, reducing the need for additional truck transportation from coastal ports. However, availability depends on specific routes and may involve customs clearance at multiple border crossings.

Choosing Incoterms for Cost Control

Incoterms (International Commercial Terms) define the responsibilities, costs, and risks borne by buyers and sellers in international transactions. For steel fence imports, the most commonly used incoterms are FOB, CIF, and CFR.

Free On Board (FOB) terms make the supplier responsible for delivering goods to the port and loading them onto the vessel, with the buyer assuming responsibility once goods are on board. This arrangement gives importers more control over international shipping costs and carrier selection.

Cost, Insurance, and Freight (CIF) terms require the supplier to arrange shipping and insurance to the destination port, with the buyer taking responsibility once goods arrive. While convenient, CIF often lacks transparency in shipping costs and may include markups from suppliers.

Cost and Freight (CFR) is similar to CIF but without insurance coverage, requiring buyers to arrange their own cargo insurance.

Strategic negotiation of incoterms can significantly impact landed costs. FOB terms typically provide better transparency and control, allowing importers to work directly with freight forwarders to secure competitive rates.

When negotiating FOB terms, clearly specify which port in China will serve as the handover point. Major ports like Shanghai, Ningbo, and Tianjin offer the most frequent sailings and competitive rates, but smaller ports closer to manufacturing facilities may reduce inland transportation costs within China.

Customs Clearance and Duty Management

Customs clearance represents a critical juncture in the import process where delays, additional costs, and compliance issues commonly arise. The difference between a smooth clearance and a problematic one often comes down to documentation accuracy and proper HS code classification.

HS codes serve as the universal language for global customs authorities, determining how products are categorized, what duties apply, and whether anti-dumping measures or other trade restrictions may be triggered. For steel products in particular, classification decisions can have significant financial implications due to the complex web of tariffs, countervailing duties, and trade remedies that various countries have implemented in response to global steel trade dynamics.

Understanding why proper HS classification matters requires recognizing that customs authorities use these codes as their primary tool for determining applicable duties and identifying products subject to special trade measures. The steel industry faces particularly complex duty structures because many countries have implemented protective measures to shield domestic producers from foreign competition.

Incorrect classification can result in significant overpayment of duties or, conversely, trigger compliance investigations if goods are misclassified to avoid higher duty rates. Beyond financial considerations, proper classification ensures that products meet any mandatory safety or technical standards associated with their category.

Anti-dumping investigations specifically target products sold at prices considered unfairly low, and these measures are frequently applied to Chinese steel products. The difference between standard duty rates and anti-dumping rates can be dramatic – often turning a profitable import into a financial loss if not properly anticipated and managed.

Customs Documentation Requirements

Successful customs clearance requires a comprehensive set of properly prepared documents. The commercial invoice must include detailed information about the seller, buyer, product description, HS code, quantities, unit prices, and total value.

Accuracy is critical as this document forms the basis for duty assessment and import eligibility. The packing list should detail how goods are packaged, including the number of packages, dimensions, weights, and package markings to facilitate customs inspection and verification.

The bill of lading serves as both a receipt for shipped goods and a title document, detailing the shipping terms and conditions. For steel fencing, this document should accurately describe the cargo as steel fencing products with appropriate categorization.

A certificate of origin, which confirms where the products were manufactured, is particularly important for steel products given the varying tariff treatments applied to different countries. For Chinese steel products, this document may affect whether certain preferential rates apply or if anti-dumping duties are triggered.

Product test reports demonstrating compliance with relevant safety and quality standards are increasingly required for customs clearance. For steel fencing, these typically include corrosion resistance tests, structural integrity assessments, and chemical composition analysis.

Having these documents readily available expedites clearance and demonstrates due diligence regarding product safety and compliance. The customs declaration form, completed either by the importer or a customs broker, formally presents all relevant information to customs authorities and serves as the official import application.

Calculating Import Duties and Tariffs

Steel fencing products typically fall under HS code 7315 90 90, which covers chain-link and panel steel fences. This classification is fundamental to determining applicable duties, taxes, and regulatory requirements.

When filing customs documents, use this specific code rather than general steel product categories to ensure accurate duty assessment and compliance with product-specific regulations. Customs authorities may request technical specifications or photographs to verify correct classification.

Duty rates for steel fencing vary significantly by country and are influenced by trade agreements, diplomatic relations, and domestic industrial policies. For example, under normal trade relations (NTR) status, the U.S. applies a general duty rate of 2.5% for most steel fencing products from China, but this rate can increase substantially when anti-dumping duties are applied.

Countries with free trade agreements may offer preferential or zero-duty rates for qualifying products, though Chinese goods typically don’t benefit from these preferences in Western markets.

Anti-dumping and safeguard duties represent a significant concern when importing steel products from China. These additional duties, which can range from 7% to over 25% in markets like the U.S., EU, and Australia, aim to counteract perceived unfair pricing or subsidization in the country of origin.

These measures are frequently applied to Chinese steel products, substantially increasing landed costs. Importers must verify current anti-dumping status for their specific product category before finalizing orders, as these duties can make otherwise competitive products financially unviable.

Landed Cost Optimization Strategies

Successfully importing steel fencing from China requires looking beyond the simple product price to understand and optimize the total landed cost. This comprehensive perspective encompasses not just the factory price, but shipping expenses, customs duties, insurance, handling fees, and financing costs.

Many importers make the critical mistake of focusing solely on unit price without calculating how logistics choices, payment terms, and currency fluctuations will affect their actual costs. A holistic approach to landed cost analysis is essential because these additional expenses can add 25-40% to the base product price for steel fencing imports.

Understanding the underlying financial principles that drive landed costs is crucial for making informed decisions. Currency risk represents a significant factor, as exchange rate fluctuations between order placement and payment can substantially impact final costs.

Duty prepayment benefits extend beyond simple compliance to potentially include preferential processing at customs checkpoints and elimination of delay-related storage fees. Volume impacts pricing throughout the supply chain – from factory discounts to freight consolidation opportunities and customs broker fee structures.

This financial perspective transforms procurement decisions from simple price comparisons to sophisticated total cost analyses. By recognizing these principles, importers can implement strategies that address each cost component rather than focusing exclusively on negotiating purchase prices.

Negotiating Payment Terms and Discounts

When dealing with Chinese steel fence suppliers, payment terms significantly impact both risk and cash flow. Standard industry practice typically involves a split payment structure, with 30% paid as deposit upon order confirmation and the remaining 70% paid after pre-shipment inspection but before shipping.

This balanced approach protects both parties—giving manufacturers capital to begin production while providing buyers assurance that final payment is contingent on quality verification. For new supplier relationships, consider starting with smaller deposit percentages (20-25%) while establishing trust.

Sample evaluation represents a critical step before committing to production orders. Request comprehensive sample kits that demonstrate material quality, coating application, welding strength, and finish options.

While suppliers may charge for extensive samples, this cost is typically credited against future orders and represents a wise investment compared to the risk of full-scale production issues. Testing these samples under conditions similar to your intended application environment provides valuable insights into product performance.

Volume discounts present significant savings opportunities for large-scale fence importers. Chinese steel fence manufacturers typically offer tiered pricing structures, with cost reductions at specific order quantities.

When negotiating, be transparent about potential future volumes while remaining realistic about commitments. Consolidating orders across multiple projects or partnering with other buyers to reach higher volume thresholds can unlock better pricing.

Using Price Optimization Tools

Modern software tools have transformed how importers compare and optimize shipping costs. Freight rate comparison platforms like Freightos, FlexPort, and iContainers allow you to quickly compare quotes from multiple carriers across different routes and shipping methods.

These tools show not only base shipping rates but also surcharges, handling fees, and estimated transit times. For steel fencing imports, where shipping costs can represent 15-20% of total product value, identifying the most efficient logistics options yields significant savings.

Currency exchange fluctuations can substantially impact total costs when importing from China. The Chinese Yuan (CNY) to USD or EUR exchange rates directly affect product pricing, while shipping typically incurs costs in USD regardless of your base currency.

Hedging strategies such as forward contracts lock in exchange rates for future payments, eliminating uncertainty. Price optimization tools that incorporate real-time currency data help model these impacts and identify optimal timing for commitments and payments.

Insurance options warrant careful consideration in steel fencing imports. Standard CIF coverage typically provides basic protection against major loss scenarios but may exclude important contingencies like customs rejection or quality-related issues.

More comprehensive cargo insurance policies can include coverage for these situations along with protection against general average declarations (shared costs when ships encounter emergencies). The relatively small premium increase for expanded coverage often represents excellent value given the potential risks.

Regulations and Compliance for Steel Fence Importing

Beyond logistics and cost considerations, regulatory compliance forms a critical component of successful steel fence importing. The regulatory landscape reflects both Chinese government policies aimed at controlling steel exports and importing country requirements designed to protect consumers, workers, and domestic industries.

China’s Ministry of Commerce plays a central role in this ecosystem, implementing export licensing requirements that reflect broader national industrial policies. This regulatory body oversees the legal framework governing Chinese exports, ensuring products meet international standards and align with national trade strategies.

Understanding this role helps importers recognize why certain documentation requirements exist and how regulatory changes might impact their supply chains. The Ministry’s policies influence everything from quality certifications to export tax rebates that affect pricing.

Environmental challenges have dramatically reshaped China’s steel industry in recent years, with more stringent emissions standards leading to capacity reductions, factory relocations, and production restrictions. These changes stem from China’s commitment to reduce pollution and carbon emissions in heavy industries.

The resulting production controls often include mandatory shutdowns during high-pollution periods, particularly in winter months, creating seasonal availability challenges for steel products. Factory relocations from population centers to less developed regions have disrupted established supply chains while improving environmental compliance.

These environmental policies directly impact steel exports through altered production schedules, increased compliance costs that affect pricing, and consolidation of production among larger, more environmentally compliant manufacturers. Recognizing these dynamics helps importers anticipate potential supply disruptions and adapt procurement strategies accordingly.

Chinese Export Regulations and Oversight

China’s Ministry of Commerce (MOFCOM) establishes and enforces export licensing requirements for steel products, including fencing materials. These licenses verify that manufacturers comply with Chinese export regulations and quality standards.

The application process typically requires manufacturers to submit business licenses, quality certifications, environmental compliance documentation, and product specifications. Export licenses must be renewed periodically, with authorities conducting inspections to ensure ongoing compliance.

Recent government reforms addressing steel production overcapacity have significantly impacted the export landscape. China’s 13th and 14th Five-Year Plans included measures to reduce excess steel production, close outdated facilities, and encourage industry consolidation.

These policies have eliminated many smaller, non-compliant manufacturers while strengthening larger enterprises like Baowu Steel Group. For importers, these reforms mean fewer but generally more reliable supplier options, with surviving manufacturers typically meeting higher quality and compliance standards.

Environmental compliance has become increasingly stringent in China’s steel sector, affecting production capabilities and export availability. The government has implemented strict emissions standards, requiring substantial investments in pollution control technologies.

Winter production restrictions in high-pollution regions like Hebei province, a major steel manufacturing center, can reduce capacity by 30-50% during heating seasons (typically November through March). These seasonal restrictions can impact lead times and pricing for steel fencing products, requiring importers to plan accordingly and potentially adjust ordering schedules.

Importing Country Standards and Safety

Steel fencing products must comply with relevant safety standards in the destination country. In the United States, ASTM International provides key standards including ASTM A123 for hot-dip galvanized coatings and ASTM F2453 for ornamental fences.

European markets require CE marking, demonstrating compliance with the Construction Products Regulation (CPR) and standards like EN 10223 for steel wire fencing. Australian imports must meet AS 1926.1 standards when used for pool fencing, with specific requirements for height, gaps, and structural integrity.

Inspections for corrosion resistance and structural integrity are essential quality verification steps. Galvanized coatings should meet minimum thickness requirements appropriate for the intended use environment, typically ranging from G60 (180 g/m²) for mild environments to G235 (705 g/m²) for severe exposure conditions.

Zinc coating uniformity can be verified through specific testing protocols outlined in standards like ASTM A123. Structural testing should confirm the fence can withstand expected loads, including wind pressure, human weight (for climbing), and impact forces.

Environmental requirements are increasingly important for steel products in many markets. Lead content limits in coatings and materials are strictly regulated, with most developed markets requiring compliance with RoHS (Restriction of Hazardous Substances) standards.

Some jurisdictions also impose restrictions on hexavalent chromium, cadmium, and other potentially hazardous substances sometimes used in coatings or manufacturing processes. Environmental compliance certificates from suppliers should specifically address these restrictions and confirm testing for regulated substances.

Conclusion: Critical Insights for Successful Importing

Successfully importing steel fencing from China requires a comprehensive approach that balances quality, cost, and compliance considerations. Comprehensive supplier vetting and quality control protocols are fundamental to preventing costly delays and product rework. By implementing rigorous verification processes—from initial supplier selection through pre-shipment inspection and post-arrival quality checks—importers can significantly reduce risk and ensure consistent product quality. This multi-layered approach to quality assurance protects both your bottom line and your reputation with customers.

The selection of optimal shipping methods and incoterms directly impacts both landed cost and risk management throughout the import process. Strategic decisions regarding FCL versus LCL shipping, appropriate incoterms, and freight provider selection can yield substantial cost savings while maintaining appropriate risk controls. Understanding how these logistics choices affect your specific steel fence imports allows you to optimize the balance between cost, transit time, and risk exposure based on your business priorities.

Accurate customs classification and thorough understanding of duty frameworks ensure both regulatory compliance and cost predictability. By properly classifying steel fencing products, anticipating applicable duty rates, and preparing comprehensive documentation, importers can avoid clearance delays, unexpected costs, and potential penalties. This preparation transforms customs clearance from a potential bottleneck to a smooth, predictable process within your supply chain.

Proactive landed cost optimization and comprehensive regulation awareness safeguard both supply chain efficiency and profitability. Implementing strategic approaches to payment terms, shipment consolidation, currency management, and regulatory compliance creates a robust importing framework that delivers sustainable competitive advantages. These practices not only reduce costs but also enhance reliability and consistency—crucial factors for maintaining customer satisfaction and building long-term business success.

Start your import journey informed and confident—leverage this guide to forge trusted supplier relationships, streamline logistics, and maximize cost efficiency now. By applying these proven strategies, you’ll be well-positioned to build a successful, profitable steel fence importing operation that delivers value to your customers and your business.

Frequently Asked Questions

What HS code applies to importing steel fencing from China?

Use HS code 7315 90 90 for chain-link and panel steel fences to accurately classify products for customs and duty calculations. This specific classification ensures proper tariff assessment and helps avoid delays during customs clearance. Maintaining consistent HS code usage across all documentation—from commercial invoices to customs declarations—streamlines the import process and establishes a clear compliance record.

How do I verify a Chinese steel fence supplier’s reliability?

Verify supplier reliability by checking ISO certifications (9001 and 14001), confirming government export licenses, conducting factory audits (either in person or through third-party agencies), and requesting third-party quality inspections before committing to full orders. Additionally, review business references, examine sample quality, verify production capacity claims, and assess communication responsiveness. Reliable suppliers typically welcome verification efforts and demonstrate transparency throughout the process.

Should I choose FCL or LCL for shipping steel fencing?

Choose FCL for larger shipments to reduce damage risk and cost per unit; LCL suits smaller orders but has longer transit and higher risk. FCL shipping provides exclusive container use, minimizing handling and potential damage to your fencing products. For orders filling at least 50-60% of a container, FCL typically offers better economics. LCL makes financial sense for smaller shipments but introduces additional handling points and consolidation delays.

What documentation is required for customs clearance of steel fencing imports?

Key documents include commercial invoice, packing list, bill of lading, certificate of origin, product test reports, and customs declarations. The commercial invoice must detail product specifications, quantities, and values, while the certificate of origin confirms manufacturing location—critical for determining applicable tariffs. Test reports should verify compliance with relevant safety and quality standards. A customs broker can help ensure all documentation meets the specific requirements of your import destination.

How are import duties calculated on steel fencing from China?

Duties depend on product HS code, destination country’s tariff rates, anti-dumping measures, and trade agreements affecting final cost. For steel fencing products under HS code 7315 90 90, base duty rates typically range from 0-10% depending on the importing country. However, additional anti-dumping duties may significantly increase costs, particularly for Chinese steel products entering markets like the US and EU. Use online duty calculators to estimate these costs before finalizing orders.

What incoterm should I use to control costs importing steel fences?

FOB is commonly used to maintain transparency and control freight costs; CIF incoterms include insurance but limit buyer control over shipping. FOB terms make suppliers responsible for costs until goods are loaded onto the vessel at the port of origin, giving importers direct control over international shipping arrangements and costs. This approach typically provides better cost visibility and more flexibility in carrier selection, though it requires more active management of the shipping process.