317-208-5565
What are Container Freight Stations (CFS): Purpose & Benefits Blog Feature
Rick LaGore

By: Rick LaGore on July 5th, 2019

Print/Save as PDF

What are Container Freight Stations (CFS): Purpose & Benefits

Intermodal | supply chain management | freight forwarder | CFS | IPI Freight | Container Freight Station

Container Freight Station (CFS) Defined in 100 Words

A container freight station is a distribution facility where import and export shipments are consolidated and de-consolidated.

CFS’s are a key component in any supply chain moving interior point intermodal (IPI) freight.  

Freight forwarders are typically the largest users of CFS companies, but shippers and other third-party logistics service providers also hire them for their customers’ freight.

Container freight stations are located near ports and major inland distribution cities.

Freight Consolidation

Key Benefits & Functions of a CFS

  • Consolidate LCL shipments into a larger container with freight of the same or different customers being shipped to the same destination region.
  • Transload IPI containers from 20’s, 40’s and 45’s into 53’ intermodal containers for cost savings and more control of inventory.
  • CFS stations typically have both a foreign trade zone (FTZ) and non-FTZ component.  The reason being is many shippers take advantage of keeping their product in-bond on a customs form 7512 to keep the product outside of the jurisdiction of the US Customs and Border Patrol (CBP).  This allows the shipper to defer the payment of duties and taxes until it is consumed in a manufacturing process or sold to a customer.

Other articles of interest include:

intek-international-services

To learn more about Intek Freight & Logistics and the logistics industry, we invite you to visit our website and subscribe to our weekly blogs.

InTek Freight & Logistics

 

About Rick LaGore

Rick is the co-founder and CEO of InTek Freight & Logistics, a company focused on being the place where companies come when faced with a logistics problem.

  • Connect with Rick LaGore