What is the difference between shipping companies and freight forwarders?

1、 Definition and responsibilities of shipping companies:
Shipping companies are enterprises that provide maritime transportation services, owning and operating freight vessels. The shipping company is responsible for managing the entire shipping process, including loading and unloading of goods, transportation arrangements, and vessel maintenance. Shipping companies typically have their own fleet and provide global route services. Its responsibilities mainly include:
Ship ownership and maintenance: The shipping company owns its own cargo ships and is responsible for maintaining and managing them to ensure the safety and operational efficiency of the ships.
Transportation arrangement: The shipping company is responsible for the overall transportation arrangement of goods, including formulating routes, determining transportation schedules, coordinating port operations, etc.
Cargo tracking: Shipping companies provide cargo tracking services to ensure that goods can arrive at their destination on time and provide timely information about the status of the goods.
Ship ticket issuance: The shipping company is responsible for issuing ship tickets, namely transportation contracts, which include relevant transportation details, fees, responsibilities, and other clauses.
2、 Definition and responsibilities of freight forwarders:
Freight forwarder is a professional service provider that provides intermediary services between shippers and shipping companies. Freight forwarders do not own cargo ships, but coordinate and organize various transportation links to ensure efficient and safe transportation of goods. The main responsibilities of freight forwarders include:
Goods organization and packaging: The freight forwarder is responsible for coordinating the transportation arrangements of the goods, including organizing and packaging the goods to ensure that they are not damaged during transportation.
Document processing: The freight forwarder handles documents related to the transportation of goods, including customs declaration, inspection, transportation contracts, etc., to ensure that the goods can pass through customs legally and smoothly.
Freight negotiation: Freight forwarders negotiate freight rates with shipping companies to obtain the most favorable prices and provide cost-effective solutions for shippers.
Intermodal transportation: Freight forwarders may be responsible for integrating different modes of transportation, such as sea, land, air, etc., to provide the most economical and efficient cargo transportation solution for shippers.
3、 The difference between shipping companies and freight forwarders:
Although shipping companies and freight forwarders both play key roles in the field of maritime transportation, there are some obvious differences between them. Here are some main differences:
Ship ownership and operation: Shipping companies own and operate cargo ships, while freight forwarders do not own ships. Freight forwarders mainly provide services by coordinating and organizing transportation links.
Global route services: Shipping companies typically provide global route services, while freight forwarders focus more on providing specific regional or transportation needs services to cargo owners.
Transportation arrangement and organization: The shipping company is responsible for overall transportation arrangements, including vessel management, route planning, etc., while the freight forwarder is mainly responsible for coordinating the organization, packaging, and document processing of goods.
Ownership of goods: Shipping companies bear more responsibility during the transportation process, including the safe transportation and insurance of goods, while freight forwarders are mainly responsible for coordination and organization, with less responsibility for the actual transportation of goods.