What Does AI “Think” About International Shipping?

For today’s blog, I thought we’d do something a little bit different. The artificial intelligence (AI) craze has hit. Despite all those warnings we got from movies in the 80’s and 90’s, everyone seems to be investing in, using, or at least curious about AI.

The biggest fads with AI are talking to it and asking it to create pictures. And, of course, AI is talking back and generating pictures. At the risk of AI taking over the world and eliminating or enslaving the human race, we’ll join the fad today and find out what AI “thinks” about international shipping.

Using Microsoft’s AI, I’ll ask it some questions about international shipping, freight rates, and so on and post its answers below. Then I’ll add a quick thought or two I have about what it says. I may even have AI generate some international shipping images to add to this post.

Now, let’s have some fun with our future machine overlords…

QUESTION 1: What do you think about international shipping?

International shipping is a fascinating and intricate domain that connects people, businesses, and cultures across the globe. Let’s delve into the essentials:

1. Shipping Services and Rates:
   • FedEx offers a comprehensive suite of international shipping services. You can compare global shipping options, get rates, and fill out customs documents online. Whether you’re shipping a package or freight, they provide hassle-free solutions¹.
   • UPS also simplifies international shipping. Their easy guide covers topics like allowed items, commercial invoices, and customs forms. They help you navigate the process efficiently².
2. How It Works:
   • International shipping is akin to domestic shipping, but with additional paperwork and delivery considerations. The overall process remains similar, involving packaging, labeling, and transportation³.
3. Customs Documents:
   • Commercial Invoice: This essential document details the contents, value, and purpose of your shipment. Properly filling it out ensures smooth customs clearance.
   • Other forms may be needed based on the destination country.
4. Who Pays Duties and Taxes?:
   • Duties, taxes, and fees are typically the responsibility of the recipient. However, it’s essential to clarify this with your shipping provider and understand the regulations of the specific country.

In summary, international shipping opens up a world of possibilities, enabling businesses to expand globally and individuals to connect across borders. Whether you’re sending a care package or fulfilling commercial orders, understanding the process ensures successful and efficient shipping experiences. 🌎📦

My Thoughts

A very general answer to a very general question. Definitely more for someone sending a parcel internationally than a shipper importing or exporting goods, particularly by the container load. I may have to get more creative and specific with what I ask. I’m a little surprised it chose commercial invoice as the document to talk about rather than the Bill of Lading. In fact…

QUESTION 2: Why did you choose to highlight the commercial invoice instead of the bill of lading?

Ah, an astute observation! Let’s delve into the distinction between the commercial invoice and the bill of lading in the context of international shipping:

1. Commercial Invoice:
   • Purpose: The commercial invoice serves as a crucial document for customs clearance. It provides detailed information about the shipment’s contents, their value, and the purpose of the shipment.
   • Contents: It includes essential details such as the sender’s and recipient’s information, a description of the goods, their quantity, unit price, total value, and any applicable taxes or fees.
   • Significance: Customs authorities use the commercial invoice to assess duties and taxes, verify compliance with regulations, and facilitate the smooth movement of goods across borders.
2. Bill of Lading (BOL):
   • Purpose: The bill of lading is primarily a transportation document. It serves as evidence that the carrier (shipping company) has received the goods and has agreed to transport them to the specified destination.
   • Contents: The BOL contains details such as the shipper’s and consignee’s names, the origin and destination ports, the type of goods, and any special handling instructions.
   • Significance: The BOL plays a critical role in tracking the shipment during transit. It also acts as a receipt for the goods and provides legal proof of the contract between the shipper, carrier, and recipient.

In summary, while the commercial invoice focuses on the goods’ details and customs compliance, the bill of lading emphasizes the logistics and transportation aspects. Both documents are essential for successful international shipping, but they serve distinct purposes. 🌐📦

My Thoughts

Starting with a compliment, AI? Trying to lull us in with good manners before you take over the world. Reminds me of a classic word of wisdom… No. Actually…

QUESTION 3: Why don’t you give me a piece of wisdom for guarding against the cunning strategy of an enemy using charm and grace to achieve his sinister goals, like you’re doing, AI?

“Beware the adversary who wields compliments like a dagger, for their honeyed words may cloak a blade that cuts deeper than any sword.”

My Thoughts

I knew it. AI is coming for us! Actually, in half seriousness, it may be coming for jobs like mine. It did write clearly and quickly about the basics of a commercial invoice and BOL in international shipping. Of course, it is only writing basics. Can AI do an deeper analysis of something? Freight rates, perhaps?

QUESTION 4: Can you analyze what ocean freight rates are doing right now and how they will likely behave for the rest of the year?

Certainly! Ocean freight rates have been quite dynamic recently. Let’s take a closer look:

• January 2023 to March 2024: Container freight rates experienced significant fluctuations. They hit their lowest point in October 2023, with a 40-foot container rate of only $1,342. Since then, rates have gradually risen, reaching a record high of over $3,900 in February 2024. However, they slightly decreased in March and April¹.
• 2024 Outlook:
  • Demand: Expected to grow by 2.5%.
  • Supply: Anticipated to increase by 6.5%.
  • Spot Rates: Volatile throughout the year.
  • Carriers’ Strategies: Aim to raise spot rates through smart capacity management and General Rate Increases (GRI).
  • Long-Term Rates: Steadier compared to 2023.
  • Spot Rates vs. Long-Term Rates: Expected to hover just below or above long-term rates throughout 2024².

In summary, while rates may remain volatile, carriers are actively managing capacity and aiming for stability. Keep an eye on market developments as the year progresses¹².

My Thoughts

Interesting. AI pulls data from Statistica’s Global Container Freight Index. Analysis is a strong word. This is shallow, and I haven’t double checked it to make sure AI didn’t make any mistakes or alterations to the data. There was a climb in freight rates at the end of 2023/beginning of 2024 that was more than gradual after the attacks in the Red Sea started, however…

If someone wanted to investigate freight rates and their behavior as well try to anticipate future behavior, AI does give good points at which that person could begin his or her investigation. I don’t think I’d fully trust AI in data retrieval as it seems to gather information available online, and that could lead to a mixture of good and bad information.

Ultimately, I could see how AI could be a useful tool here. I guess the last thing I want to know is if AI has heard of us…

QUESTION 4: What do you know about Universal Cargo?

1. About Universal Cargo:
   • Established in 1985: Universal Cargo has been in the logistics industry for over 30 years.
   • Freight Forwarder and Ocean Transportation Intermediary: They efficiently handle ocean and air freight, as well as inland distribution.
   • Specialization: Universal Cargo specializes in inbound cargo from Asia to the United States. They also manage export needs and air freight shipments.
2. Services Offered:
   • Ocean Freight: They efficiently handle both Full Container Load (FCL) and Less than Container Load (LCL) shipments for imports and exports.
   • Air Freight: Universal Cargo manages air freight services for both inbound and outbound shipments.
   • Warehousing & Distribution: They offer comprehensive warehousing solutions.
   • Express4Air: A specialized service for expedited air cargo².
3. Tracking Services:
   • Universal Cargo includes tracking with every shipment they handle. Basic tracking allows you to search shipment details and export them to Excel. Additionally, their iView Web Desktop provides customizable dashboards, key statistics, and shipment calendars².
4. Dedicated Staff:
   • When you choose Universal Cargo, you’ll receive excellent service from a dedicated logistics account executive and an operations account manager. They work together to provide personalized, 24/7 assistance. While the account executive plans logistics, the account manager ensures smooth operations for your imports and exports².
5. Additional Services:
   • Universal Cargo offers a range of additional services that can be added to your freight options. These services complete your logistics package, whether you’re shipping door-to-door, ExWorks, port-to-port, or FOB².

Intriguingly, Universal Cargo also produces informational videos that cover international shipping news in a fun and fast format. Their series, Universal Shipping News, keeps shippers informed about the latest developments in the industry².

In summary, Universal Cargo is your trusted logistics partner for seamless international shipping. Whether you’re moving goods across oceans or handling air freight, they’ve got you covered! 🌐🚢🌎

My Thoughts

Well, AI basically put together a written commercial about us by pulling information from throughout our website. There are a number of fake Universal Cargo knock-off, even scam, companies out there. I’m glad AI recognized us as the real Universal Cargo and didn’t get taken in by any of those others.

Conclusion

AI does seem like a useful tool, but it’s answering questions by grabbing information off the internet. The risk of inaccuracy with that seem high. It certainly doesn’t have the insights of an expert or even of any un-artificially thinking human. I don’t think it’s ready to take over my job, let alone the world yet. But I don’t trust it, Sarah Connor.

It does, however, generate some nice images that I’ll use in this post. That couldn’t lead to machine domination, right?