According to the economic news reported by Cixi Daily on July 6, 2021, Ningbo Fit Electrical Appliance Co., Ltd., a foreign trade enterprise rooted in Cixi, was at that time in a complex and changeable international trade environment. The specific situations of its orders, international logistics, ocean freight, etc. became a vivid microcosm of the business conditions of local foreign trade enterprises.
In terms of orders, Ningbo Fit Electrical Appliance Co., Ltd. was facing a situation of "fire and ice intertwined" at that time. On the one hand, the global market demand for electrical products gradually recovered after the epidemic. Relying on the brand reputation accumulated over the years and stable product quality, the company received many orders from regions such as Europe, America, and Southeast Asia. The order volume increased to a certain extent compared with before, indicating the market's recognition of its products. But on the other hand, the structure of orders also changed. The proportion of small - batch and multi - batch orders increased, which put forward higher requirements for the company's production scheduling and supply chain management. At the same time, due to concerns about raw material price fluctuations and logistics delays, some customers were more cautious when placing orders. There were even cases of order cancellations or delays, bringing uncertainty to the company's production plan.
The challenges in international logistics were more prominent. In 2021, the global logistics supply chain remained tight, and the phenomenon of "one container is hard to find" was relatively common. The goods export of Ningbo Fit Electrical Appliance Co., Ltd. was deeply affected. The originally smooth shipping channels became congested, and the difficulty of booking cargo space increased significantly. Sometimes, it was necessary to book cargo space weeks or even months in advance to ensure the timely shipment of goods. Moreover, the timeliness of logistics transportation was greatly reduced. The detention time of goods at the port was extended. The destination that originally took about half a month to reach sometimes took a month or even longer. This not only affected the customers' receiving time but also might cause the company to face the risk of customer claims. In addition, the international air transportation also faced the problem of tight capacity. For some urgent orders, the company had to choose the more costly air transportation method, further increasing the operating costs.
The soaring ocean freight put Ningbo Fit Electrical Appliance Co., Ltd. under huge cost pressure. In 2021, the global ocean freight price showed a "roller - coaster" - like upward trend. The ocean freight from China to major ports in Europe and America increased several times or even more than ten times compared with before the epidemic. Taking a standard container as an example, its ocean freight soared from a few thousand dollars to more than ten thousand dollars, and the freight for some popular routes even exceeded twenty thousand dollars. For Ningbo Fit Electrical Appliance Co., Ltd., which mainly focuses on exports, this was undoubtedly a huge additional expenditure. Although the company tried to negotiate prices with logistics companies and optimize transportation plans to reduce costs, the effect was limited in the context of an overall market in short supply. The high ocean freight not only squeezed the company's profit margin but also weakened the price advantage of some originally competitive products in the international market, bringing certain obstacles to the company's market expansion.
Facing these complex situations, Ningbo Fit Electrical Appliance Co., Ltd. actively took countermeasures. In terms of order management, it strengthened communication with customers, predicted market demand changes in advance, and flexibly adjusted the production plan. In terms of logistics, it established long - term cooperative relationships with multiple logistics companies, broadened logistics channels, and at the same time optimized the packaging and transportation plans of goods to improve logistics efficiency. In terms of cost control, it reduced costs in other links by purchasing raw materials in bulk and optimizing the production process to hedge against the pressure brought by the increase in ocean freight. Although these measures alleviated the operating pressure to a certain extent, they also reflected the difficulties of foreign trade enterprises in operating in a complex international environment in 2021.
Overall, in July 2021, the situations of orders, international logistics, and ocean freight faced by Ningbo Fit Electrical Appliance Co., Ltd. were a true portrayal of the business status of many foreign trade enterprises in Cixi and even across the country at that time. There were both opportunities and more challenges, testing the company's response ability and resilience.