Dimerco Express Group

El Segundo,  CA 
United States
http://www.dimerco.com

• Booth: 5680

Want logistics solved? Visit us! Booth #5680

Overview

Dimerco Express Group understands the complexities of the semiconductor industry.  Headquartered in Taiwan, a global hub for chip production, we've honed our expertise in handling sensitive and time-critical cargo.

Our vast network of 130+ owned offices across Asia-Pacific, coupled with strong global partnerships, provides seamless logistics solutions. We navigate the intricacies of freight capacity, ensuring your shipments arrive on time and within budget.

Dimerco offers peace of mind for your semiconductor needs.  Our experienced teams specialize in handling oversized equipment, delicate devices, and essential spare parts.  We prioritize careful handling, minimizing potential disruptions to your vital operations.

  Press Releases

• Shipping Dangerous Goods by Air: A Semiconductor Case Study (Mar 26, 2024)

  Shipping dangerous goods by air is a significant challenge by itself. Throw in pandemic-related flight restrictions and a strict, in-transit temperature requirement of –18C and it created a serious situation that threatened to disrupt manufacturing operations for one of the world’s leading semiconductor parts manufacturers.  Here’s how the company solved the problem.

  Maintaining Factory Output Despite Disrupted Supply Lines

  Pre-pandemic, this manufacturer was moving a critical raw material, classified as a dangerous good (DG), from Shanghai directly to one of its factories in Cebu – an island in the Philippines. But with pandemic-related flight restrictions, direct service was no longer possible. That meant switching to a multi-leg, multi-carrier solution for shipping dangerous goods by air.

  Because the door-to-door lifespan of the cargo cooling agent, dry ice, is just 72 hours, the extended, multi-leg journey required re-packing the cargo with new dry ice during the journey. Some of the company’s freight forwarding partners failed to deliver the needed air freight capacity for DG and to maintain a –18C temperature from origin to final delivery.

  Dimerco, which had worked with this company on other shipping projects, was asked to assist.

  Solution for Shipping Dangerous Goods by Air Freight

  For this difficult route, Dimerco determined that a Shanghai-to-Hong Kong-to-Manila-to-Cebu routing would be the fastest, most reliable route given the severely scaled-back flight schedules. And, since flights from Hong Kong to Manila were less frequent, Dimerco’s Hong Kong office had to pull cargo from the HKG air freight terminal and hire a professional DG company to re-pack the dry ice at a nearby airport facility. The cargo was then moved back to a cold storage room to sustain the required temperature until the next leg of the journey.

  The diagram below shows the steps in the routing process.

  

  On the final day, the dangerous goods moved from Hong Kong to Manila and then to the company’s facility in Cebu. Prior to arrival in the Philippines, Dimerco’s office in Manila pre-cleared import customs to ensure the fastest delivery once cargo arrived.

  After thorough evaluation, there were limited options for shipping dangerous goods by air from Manila to Cebu – especially since domestic flights were cancelled during the onset of the COVID pandemic.

  Ultimately, Dimerco arranged a charter flight with Philippine Airlines. The flight arrived in Cebu and was trucked to the factory in time to maintain production schedules.

  As a result of the success of this challenging freight shipping project, Dimerco now handles more of the company’s dangerous goods cargo shipments from other APAC locations to Cebu, in addition to other general and project cargo.

  Do You Need Dangerous Goods Air Freight Services?

  Are you challenged with shipping dangerous goods by air? Whether it’s chemicals used in the semiconductor supply chain, lithium batteries or other hazmat products, rely on Dimerco’s experience in dangerous goods shipping to ship safe, compliant and on time. Reach out to start a discussion.

  

• Semiconductor Shipping of Capital Equipment to Foundries (Mar 26, 2024)

  When we think of semiconductor shipping, we think small – those tiny little chips that are the brains within our computers, our phones, our refrigerators, and even our cars.

  But that chip-making supply chain actually starts with huge, highly sensitive manufacturing equipment delivered to the foundries that create the semiconductor wafers from which chips are made. This article looks at that initial shipment in the chip-making journey.

  Big Equipment, Big Risk 

  Just how big are these shipments of capital equipment to foundries?

  The average shipment is anywhere from 18 to 30 crates, weighing 26 to 40 tons.

  This machinery is not only large and heavy, but highly delicate. It’s very sensitive to any bumps or tilting or dust as it makes its way to production environments that are operating room clean – and then some.

  The business consequences are high for these equipment shipments. Foundry production schedules presume equipment delivery schedules will be met. If they are not, millions of dollars of revenue are at stake for every day of lost production.

  For those responsible for the semiconductor shipping process, shipping is, first and foremost, about avoiding risk.

  “There is a huge global thirst for semiconductor products and these capital equipment shipments are where it all starts,” says Bryan Dunn,” Branch Manager of Dimerco’s Boston office, which regularly ships large semiconductor equipment from New England to Asian manufacturing sites.

  “There is enormous pressure to get machines there fast, on time, and in perfect working order,” he says. “That’s why companies tend to work with semiconductor shipping specialists. You’re not going to entrust that $5 to $7 million dollar shipment to just anyone.”

  Anatomy of a Semiconductor Machinery Shipment

  Let’s break down the steps in a semiconductor shipping project and the keys to success.

  Booking the space

  The urgency of these shipments requires international airfreight services. Given the sensitive nature of the cargo, you want to minimize touch points so, ideally, you want a direct flight with no transfers. You’ll want to partner with a freight forwarder that has strong carrier relationships to secure space on direct flights. That often means working with a main airline of the destination country, like China Airlines for Taiwan, for example.

  Just like freight forwarders are not interchangeable when it comes to semiconductor shipping, neither are airlines.

  “Service levels vary airline to airline,” says Dunn. “Over time, you learn which airlines you can trust. We’re expecting precise predictable service from a carrier that understands the critical nature of the freight they are handling.”

  The first leg: trucking to the origin airport

  Your choice of trucking partner can be as important as your air carrier. While the manufacturers themselves will carefully crate equipment for maximum protection, truckers must have the right equipment and knowledge to maintain the integrity of the cargo from pickup to airline terminal.

  Typically, semiconductor shipping requires carriers with 53-foot, double-axle vehicles with trailers that are engineered for heavy hauls. Often customers will require rear impact guards (RIG bars) that lock to the dock when trailers back in. This is to eliminate movement as 20,000+-pound equipment is loaded.

  A trucker that regularly transports semiconductor equipment will understand the importance of small details like tarp covering on trailer floors in an industry where a speck of dust can create problems.

  Paperwork and customs clearance

  The last thing you want when shipping large semiconductor manufacturing equipment are in-transit delays. That means paperwork must be completed fully and accurately to ensure acceptance by the airline and clearance through customs.

  Final documentation from the shipper often is not received by the freight forwarder until the cargo is loaded and trucks have left. An experienced forwarder must quickly prepare the house airway bill, master airway bill, cargo manifest, authorized IAC form, and other regulatory documents needed. These can be sent to the driver electronically to be printed en-route or at the airline terminal.

  ---

  Urgent Shipment of Dangerous Goods to Philippines Prevents Line-down Situation for Semiconductor Company

  Shipping dangerous goods by air is a challenge. Throw in a requirement for in-transit temperatures of – 18 Celsius and it created a complex shipping situation that threatened to halt production at a major Philippines manufacturing facility for one of the world’s leading semiconductor parts manufacturers. Dimerco managed a Shanghai-to-Hong Kong-to Philippines shipping project that met deadlines and kept production lines flowing.  Read the full case study.

  ---

  In-flight shipment integrity

  Shipping crates are carefully monitored in transit for any sudden shock or tilting of the product that could negatively impact machine performance. Monitoring devices include shock watches for any impacts and “tip and tell” indicators for tilting.

  If the monitors are tripped, the customer is notified and may send someone to the destination airport to do a physical examination. When it arrives at the destination, products will be uncrated and carefully tested to rule out in-transit damage.

  Final delivery

  Since Asia is the center of semiconductor manufacturing, much of this equipment ships to Taiwan, Mainland China, Singapore, Malaysia or another Southeast Asian country. The local destination office of the freight forwarder will carefully monitor arrival time with the airline and be in constant communication with the customer on pickup time.

  This communication is critical since customers will often arrange their own trucking service from the airport. If not, the forwarders destination office must have these strong trucking partnerships in place. Arrangements are typically made with the carriers and the airport for trucks to drive out onto the tarmac for plane side loading of trucks once cargo is signed off. This is done to speed transit time and to minimize handling.

  Time is measured in minutes, not hours, during these transcontinental semiconductor shipping projects. A team of people is literally waiting at the foundry to receive, uncrate, and install the equipment within a cleanroom environment.

  What to Look for in a Freight Forwarder for Semiconductor Shipping

  Choosing a freight forwarder for shipping large semiconductor manufacturing equipment is a little like choosing a surgeon for delicate brain or heart surgery. You want an experienced specialist who’s done it many times and can minimize the inherent risks. Check out

  What should semiconductor companies look for in a forwarder?

  • Experience shipping semiconductor capital equipment– not just over months or years, but decades.
  • Strong relationships with airlines to secure direct flight capacity
  • Global presence, with owned offices (no agents) at origin and destination hubs
  • Integrated door-to-door coordination, including customs brokerage services
  • Experience in project logistics, including crating, rigging, and detailed shipment planning. Check out this short summary of how Dimerco managed a 40-case, 25,500 kg shipment of sensitive imaging technology from Tokyo, Japan to Xiamen, China.
  • Systems that allow you to monitor shipment status online 24/7
  • Strong logistics know-how across Asia, where most semiconductor manufacturing occurs

  Even the world’s largest 3PLs lack in-depth semiconductor shipping experience. Only a small group of forwarders truly specialize in semiconductor shipping.

  Do you need an expert to manage your next semiconductor shipping project?

  Dimerco Express Group has served the semiconductor industry since 1977 and has nearly 350 active semiconductor industry customers. With offices at all global semiconductor supply chain hubs, Dimerco manages frequent foundry shipments from some of the world’s largest semiconductor companies. To discuss your need for semiconductor logistics support, contact Dimerco today to speak to a semiconductor shipping specialist.

  

• Best Practices: Semiconductor Spare Parts Logistics (Mar 26, 2024)

  There’s manufacturing, and then there’s semiconductor manufacturing.

  If a machine goes down during wafer fabrication, that lost production time can equate to tens of millions of dollars in lost revenue. That’s why a reliable solution for semiconductor spare parts is so critical.

  Just about every manufacturing industry has a spare parts logistics solution for when equipment failures occur, but semiconductor spare parts have some unique aspects that make specialized experience in  semiconductor logistics services helpful. For instance, parts can be ultra-sensitive and, therefore, must be protected from any shock, product tilting and temperature changes in transit. That may require attaching special gauges to equipment to monitor variances. These gauges can be programmed to send signals to your cell phone to aid real-time monitoring. This monitoring can apply when shipping critical spares or shipping capital equipment to semiconductor foundries. Let’s take a look at other aspects of managing spare parts for semiconductor manufacturing equipment.

  Best Practices in Semiconductor Spare Parts Management 

  Semiconductor spare parts can range in size from items that ship in a small box to very large components that must be carefully packed and crated. If you are responsible for managing semiconductor spare parts inventory and delivery operations, here are some best practices to keep in mind.

  Forecasting and inventory management

  Critical spares need to be on hand and ready to ship when machines go down. Advanced forecasting and historical data analysis can help accurately predict service parts demand. You’ll want a centralized inventory management system to ensure accurate visibility and control of parts inventories that could be spread across a country or across the world.

  Collaboration with suppliers

  Sometimes it’s equipment suppliers who are responsible for providing semiconductor spare parts under the sales contract. It’s wise to foster strong relationships with these key suppliers to ensure timely and reliable parts availability. That includes working together on demand forecasting and contingency planning. As they say, trust but verify.

  Network of strategic stocking locations

  Spare parts for semiconductor manufacturing could be located on-site at the production facility. But more often they are at spare parts depots located to match the service level agreement (SLA).  A 2–4 hour SLA requires a stocking location quite near the production facility, while a next-business-day SLA allows stocking at a more central location near a major airport for a next flight out (NFO) solution.

  For a global leader in networking equipment. Dimerco managed 65 service parts depots located close to this company’s key customers to support an SLA range from 4 hours to next business day.

  Managing international shipments

  For international shipments, you’ll want to work with a global freight forwarder that has excellent global air freight services and a proven ability to manage time-critical freight. For these urgent shipments, the last thing you want is a delay in clearing customs. In these cases, it helps if your freight forwarder is AEO-certified (CTPAT in the US) in order to speed clearance.

  Not all semiconductor spare parts deliveries are urgent.  Local, in-country stocking locations for spares must be replenished, and that requires global DC-to-DC shipments. Timing of these shipments will depend on inventory planning work and should be optimized to control transportation costs. Semiconductor parts typically ship via more costly air freight.

  Careful oversight can yield profit driving savings. For instance, a Dimerco audit of one customer’s global shipping operation noted separate shipments of parts on a semi-frequent basis from LAX to Singapore, costing about $600 USD per shipment.  But these were not urgent shipments and, therefore, could be consolidated into a single weekly shipment without missing customer commitments – saving $5,400 per every 10 non-urgent shipments.

  Managing domestic shipments

  For urgent domestic shipments, make sure that you have transportation partners that offer 24/7 service. Not all do – even those that say they perform expedited services.

  In Phoenix, one of the world’s fastest growing semiconductor production hubs. Dimerco’s office there offers a range of expedited shipping services 24/7, including same-day ground or air and next flight out. The office arranges frequent NFO shipments to locations across the country and the world.

  “Our round-the-clock service is something that local semiconductor customers need and expect,” says Wolfgang Meder-Eggebert, Branch Manager at Dimerco Phoenix. “Try calling freight forwarders at 3:00 AM for a pickup. Many won’t answer.”

  Recently, for one particularly urgent spare part need, this branch hand carried a part from Phoenix to San Juan, Puerto Rico for a next-morning delivery that allowed a gas station chain to reopen operations in time for a holiday weekend.

  Several Dimerco semiconductor customers contract for hotshot deliveries across the U.S. in vans or box trucks with team drivers that travel direct and non-stop. Because of the importance of the shipment, these companies prefer to bypass their regular commercial carriers and pay a little more for the time-definite hotshot service.

  Reverse logistics

  When it comes to semiconductor spare parts, the replaced parts are not tossed in the garbage bin. You need a well-defined process for handling returns and exchanges of faulty parts – including receiving and inspecting spares and performing product triage. These tasks can be performed by the right 3PL with the right experience.

  Trust semiconductor spare parts management to the experts

  Maximizing throughput at a semiconductor foundry or chip-making plant is a PRODUCTION challenge.

  Getting that production facility back up and running when a machine goes down due to a faulty part is a LOGISTICS challenge.

  For that you need experts well versed in the unique product handling and shipping requirements of the semiconductor industry. To discuss your need for global semiconductor spare parts logistics services, contact the semiconductor logistics specialists at Dimerco Express Group to arrange a discussion.

  

  Products