Heritage bank business credit card. The limits, fees and need-to-knows
If you’re on the hunt for a suitable business credit card in Australia, there are several offerings available. A mutual or ‘customer-owned’ bank, Heritage...
China is one of Australia’s most important trade partners, with approximately 25% of its manufactured imports originating from there.¹ If your business is looking at working with a Chinese supplier it’s important to think about how you’ll get the goods to Australia.
This article will explore what there is to know about shipping items from China to Australia, including the process, transportation methods, and potential costs and timeframes. We’ll also let you know how Wise can help save you money when doing business internationally.
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Australian imports rely on air and sea transportation to reach the country. Which option you choose to use will depend on several factors including the size and amount of goods being shipped, your time frame for delivery and your budget.
Air cargo is the fastest way to ship goods to Australia, especially if you upgrade to an express shipment. The cost of air cargo can vary depending on different factors including the type of goods, size of the shipment and whether you want express delivery.
Air cargo is broadly split into two categories which have an impact on the shipping process.²
General cargo are goods that are considered to be safe to fly aboard an aircraft and don’t require special handling, documentation or precautions.² Here’s a few examples.
If your shipment only contains general cargo you could look at using a courier, logistics company, China Post or a freight forwarder to move the goods to Australia.
Items that have specific handling, documentation or safety requirements are known as special cargo.² Here’s some of the types of goods that come under this heading.
Keep in mind that many everyday items are special cargo including some lithium battery powered devices such as phones, laptops, power banks, cameras and toys.
When choosing a service to ship your special goods you’ll likely be limited to carriers who are willing and able to handle your type of special goods. For example, not all services are able to organise the shipment of live animals.
It’s likely you’ll need to engage a logistics company or freight forwarder to assist you. Ideally, look for one that has experience managing your type of special good.
Sea freight from China to Australia is a slower but more economical option for shipping large quantities of goods to Australia.
Who you choose to handle your sea freight will depend on the size of the shipment. For a few boxes or pallets, China Post, a courier or a logistics company may make the most sense. If you’re looking to ship enough to fill or partially fill a sea container, a shipping agent or freight forwarder might be better suited to help.
You have lots of options when it comes to companies that ship goods from China to Australia. Here’s a few to get you started.
Package to Pallet Sized Shipping
Sea Freight Shipping Agencies
Freight Forwarders
There are many factors that influence the cost of shipping goods from China to Australia.
To give you an idea, here's a few estimates for the cost of shipping general cargo from Shanghai, China to Sydney, Australia using DHL.
DHL Shipping Type³ | Cost (Excluding VAT) |
---|---|
Port to Port Sea Freight 2 cardboard cartons, 50kg of goods total | From $885.69 AUD |
Economy Airmail 2 cardboard cartons, 50kg of goods total | From $1323.57 AUD |
Port to Port Sea Freight 5 pallets, 500kg of goods total | From $2306.63 AUD |
Economy Airmail 5 pallets, 500kg of goods total | From $16328.02 AUD |
Port to Port Sea Freight 20ft sea container, 2000kg of goods total | From $7510.53 AUD |
Keep in mind that prices fluctuate depending on global events and that these quotes are only for the cost of shipping and customs clearance, and don’t include VAT.
On top of shipping there are some additional costs to shipping goods to Australia. It can include the following.⁴
Something else to keep in mind is that certain fees or invoices may need to be paid in Chinese Yuan (CNY) rather than AUD. Exchanging AUD for CNY can get expensive as many providers charge additional fees, use a poor exchange rate or add a profit margin.
Here’s where Wise can help. When you send money abroad with Wise there are no hidden fees to worry about and your money is exchanged at the real exchange rate, just like you see on Google. Doing it this way can be 6x cheaper than traditional banks and 19x cheaper than PayPal.
When you import items into Australia you’ll need to provide documentation. Exactly what you’ll need will depend on the type of goods, but could include some of the following.⁵
Australia has restrictions on some international imports, generally due to safety or biosecurity concerns. As such, you need to make sure the goods you want to bring in are legally allowed into Australia.
Some goods are restricted and you have to obtain an import permit before you can import them.
Here’s a general idea of how long it takes to ship goods from Shanghai, China, to Sydney, Australia.
Shipping Method³ | Approximate Time Frame |
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Express Airmail | 8 days |
Standard Airmail | 9 days |
Sea Freight | 19-33 days |
As well as offering international transfer services Wise also has an account just for businesses.
With a Wise Business account you have the ability to hold and convert 40+ currencies through a single account. There’s no monthly account fees to think about and the exchange rate is the mid-market rate.
You’ll have the option to get local account details for 10 currencies including AUD, USD, EUR and GBP, making it easier to do business in those places. You can also have a Wise debit card attached to the account which automatically takes care of currency conversions - a handy feature if you’re planning any business trips to China.
When it comes to paying suppliers, you can pay invoices in the local currency with the funds going to the recipient's local bank or Wise account.
To learn more about the Wise Business Account why not try setting one up - creating an account is free and can be done in minutes.
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Sources:
Sources checked on: 6 JULY 2022
*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.
This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.
We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.
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