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DHL Express Delivery Service for the Semiconductor Industry

11 October 2023 7 Mins Read

In an era marked by rapidly evolving technology and digital acceleration, the semiconductor industry sits at the very heart of this transformative change. This complex ecosystem and value chain, a finely-tuned global network of processes and procedures, is an underpinning pillar of our digital world.

Despite its small size, Singapore is a key industry leader. It houses some of the global top 10 semiconductor companies, which contribute significantly to the city-state’s robust economy. In a speech at SSIA Semiconductor Business Connect 2022, the minister stated that semiconductor manufacturing makes up over 80% of the country’s manufacturing output and 7% of its GDP. Singapore also accounts for 11% of the global semiconductor market, with 20% of global semiconductor equipment manufactured locally.

This is where the critical role of semiconductor logistics in the global supply chain comes into play. If you are a manufacturer, maker, or otherwise involved in the semiconductor industry in Singapore, read on for a useful guide on shipping and logistics.

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How we address your unique shipping requirements

Singapore-based semiconductor companies seeking to broaden their international footprint can immensely benefit from DHL Express’ unique offerings, including:

Same Day Delivery

In an industry where delay can mean losing out on opportunities, the DHL Express Same Day service offers an indispensable solution for time-critical shipments and emergency situations. This service is backed by comprehensive tracking on the MyDHL+ platform that provides real-time updates on your shipment.

Time Definite Express (TDX)

Offering flexible yet reliable delivery at a specified time, TDX allows businesses to plan their operations and supply chain processes with increased accuracy and efficiency.

Aircross

With DHL Express’ Aircross service, a combination of air and ground transport, transit time can be significantly reduced. This innovative service ensures a faster, more efficient journey for your semiconductor products, minimising time spent in transit and optimising the supply chain process.

Semiconductor and semiconductor parts shipments: What DHL Express can handle

The ecosystem and value chain of the semiconductor industry covers a broad spectrum of stages, namely design, manufacturing, fabrication, assembly, and end-product integration. Each stage is interlinked and equally crucial for ensuring the end product’s integrity and functionality.

The semiconductor products and equipment most commonly shipped in or out of Singapore come from all stages of the value chain. These components are small and fragile yet high-value – necessitating careful consideration when shipping them worldwide.

Semiconductor components From wafers to semiconductor chips and more.	Printed circuit boards (PCBs) Assembled PCBs containing semiconductor chips.
Semiconductor assembly equipment General electronic components and equipment necessary to achieve wafer fabrication, silicon processing, and final semiconductor integration.	Integrated end products End products and appliances that come fully integrated with semiconductor chips and PCBs, from mobile devices to electric vehicles and more.

Why ship with DHL Express?

System integrations

To ensure seamless operations, DHL Express offers advanced system integrations that align our platforms with those of our clients. By harnessing the capabilities of MyDHL+ and automating of tasks, such as creation of air waybills that significantly reduce the need for manual label generation, we make the shipping process more efficient for our customers. Aside from streamlining the process, it also enhances shipment tracking—crucial for services like Aircross where precise, supplier-to-supplier coordination is essential for optimum efficiency.

Hypercare

Hypercare entails intensive monitoring of shipments for the first few weeks after they go live, providing round-the-clock updates on the initial stage of the international shipping process. Following the end of the Hypercare period, businesses will continue to receive regular reports on their shipment and can follow up using our Track & Trace tools.

Origin and destination customs regulations expertise

Navigating through the complex web of international customs regulations can be a daunting task. DHL Express has a deep understanding of the specific customs requirements for shipping semiconductors overseas, which can significantly reduce the risk of customs-related delays.

Green shipping

DHL Express offers a range of environment-friendly shipping choices. With our groundbreaking GoGreen Plus service, you can reduce the carbon footprint of your deliveries by investing in Sustainable Aviation Fuel.

Trade lanes: Our global reach

DHL Express understands the significance of providing robust and reliable logistics solutions for semiconductor companies in Singapore. One way we do so is by serving key trade lanes in the global supply chain, including countries such as but not limited to:

Taiwan
Korea
China
Japan
Hong Kong
France
Indonesia
Great Britain
United States of America
Netherlands

Tips for Singaporean companies shipping semiconductors overseas

1. Ensure all documentation is accurate, up-to-date, and accessible

All paperwork should be completed with attention to detail and consistency, and copies should be provided for all parties involved in the shipping process. This typically includes commercial invoices, airway bills, and packing lists. For semiconductors, it is also crucial to specify the type of chip and its function. This will facilitate smoother customs clearance and reduce the risk of shipment delays.

2. Familiarise yourself with the relevant taxes and duties for global shipments

Import and export taxes and duties will vary based on the destination country and the specific type of semiconductor being shipped. It’s essential for companies to familiarise themselves with the tariff schedules and customs regulations of the destination country, as non-compliance can lead to severe penalties, shipment delays, or supply chain disruptions.

3. Use specialised packaging and transportation for high-value products

Semiconductors, especially semiconductor chips and wafers, are highly sensitive to factors such as shock, temperature fluctuations, and humidity. Specialised packaging and transportation methods are thus paramount in ensuring they reach their destination in perfect condition. From anti-static bags to secure cushioning to robust outer packaging, every step in the packaging process plays a vital role. Equally important is the mode of transportation, where options like air freight can offer quicker transit times and lower the risk of damage from environmental conditions.

4. Explore insurance options for high-value shipments

Given the high value of semiconductors and the potential risks during transportation, insurance is a key consideration for both buyers and sellers. Policies should be tailored to cover the specific risks associated with how the semiconductors are shipped, including damage from physical impact, temperature fluctuations, and electrostatic discharge.

Enhance your global shipping and logistics with DHL Express

Whether you’re one of the largest semiconductor companies or a burgeoning player in the semiconductor industry, DHL Express Singapore is equipped to address your overseas shipping needs. Navigate the intricate global semiconductor ecosystem, combat semiconductor supply chain issues, and ship your goods safely, swiftly, and reliably with DHL Express. Furthermore, DHL’s customer service is easily accessible and dedicated to addressing any concerns or queries you may have promptly and professionally.

Frequently asked questions about shipping semiconductors

Semiconductors are typically shipped in specialised containers that protect them from electrostatic discharge, moisture, and physical damage. The packaging is designed to safeguard the sensitive electronics within, ensuring they remain intact and functional during transit. For larger shipments, they are often placed in climate-controlled cargo to maintain optimum conditions. You can trust DHL Express for the delivery of your heavyweight shipments in a safe and timely manner.

The semiconductor industry encompasses the design, fabrication, and testing of semiconductor devices. This includes integrated circuits (ICs) like CPUs and memory chips, discrete devices like diodes and transistors, and the manufacturing tools used in wafer fabrication. It also involves the software and services supporting these processes and the integration of these devices into everyday products.

Yes, semiconductors are often shipped by air, especially when rapid delivery is crucial. Air shipping ensures that these delicate components reach their destination swiftly, minimising the time they spend in transit and reducing potential exposure to adverse conditions. DHL Express’ air import and export services, for instance, provide a reliable means to ship these fragile components safely.

In the context of shipping semiconductors, packaging refers to the protective materials and containers used to transport semiconductor products safely. Given the delicate nature of these items, the packaging is specially designed to shield them from potential hazards like electrostatic discharge, physical jolts, moisture, and temperature variations. This ensures that the semiconductors arrive at their destination in optimal condition, ready for integration into devices or further processing.