In cross-border e-commerce operations, "returns" are an unavoidable aspect. According to the U.S. Retail Returns Report published by the National Retail Federation (NRF), the volume of retail returns in the United States has consistently been high, with online return rates significantly higher than offline retail. The same is true in the European market; a mature e-commerce environment means robust consumer rights protection, but it also means sellers must face a consistently high demand for return processing.

Because of the inherent uncertainty of returns, more and more sellers are asking the same question when looking for overseas return warehouses: Are there any without a minimum spending requirement? If my company is in Shenzhen, would communication be easier?

Both of these questions actually point to the same core issue—cost control and communication efficiency.

Why do many overseas return warehouses have minimum spending requirements?

In the United States and Europe, the cost structure of return warehouses mainly consists of storage rent, manual sorting, quality inspection operations, and system maintenance. To cover fixed costs, some service providers require sellers to reach a certain monthly spending threshold; otherwise, they will settle accounts based on the minimum amount.

This model has little impact on large sellers with stable return volumes, but it presents significant pressure for small and medium-sized sellers or new entrants:

Few returns during off-seasons, yet still incurring fixed fees.

Uncontrollable costs during the testing phase of a new store.

Multi-platform operation, scattered returns.

When return volumes fluctuate significantly, the "minimum charge" becomes a hidden burden. Therefore, finding overseas return warehouses with no minimum charge has become a real need for many sellers.

What does "no minimum charge" mean?

True "no minimum charge" is not simply about "lower prices," but rather a more flexible cost structure. Sellers only pay for actual returns; no returns incur no fees. This model better aligns with the operational rhythm of cross-border e-commerce and is more conducive to cash flow management.

In the current environment of intensified competition in the European and American e-commerce markets, inventory turnover and cash flow speed are becoming increasingly important. Being able to flexibly utilize return services based on actual business volume is itself a form of risk control capability.

What are the advantages of being located in Shenzhen?

Besides cost issues, communication efficiency is equally important. Many sellers prefer to partner with return warehousing companies that have teams in Shenzhen or other parts of China. This facilitates communication and allows for quick resolution of any issues that may arise.

Cross-border returns involve multiple stages, including overseas warehouse operations, local team execution, and system data feedback. If only an overseas team is available, time zones and language barriers can lengthen processing times; however, a domestic management team ensures smoother coordination.

Therefore, the ideal return warehousing model typically combines overseas local execution with domestic team management and collaboration, ensuring both efficient on-site operations and efficient communication.

U-Speed overseas return warehouse: No Minimum Charges, Greater Flexibility

U-Speed adopts a "no minimum charge" model. After opening an account, no fees are incurred if the return service is not used. Sellers can flexibly allocate resources based on actual return volume, avoiding fixed expense pressures.

In the United States, U-Speed has established two return warehouses: one in the East Coast and one in the West Coast.

The East Coast (New Jersey) return warehouse covers 7,250 square meters and has a daily processing capacity of 20,000+ items.

The West Coast (Los Angeles) return warehouse also covers 7,250 square meters and has a daily processing capacity of 10,000+ items.

Both warehouses are equipped with forklifts, light and heavy-duty shelving, fire protection and monitoring facilities, and implement 24-hour security and CCTV systems to ensure that returned goods are processed in a standardized and safe environment.

Simultaneously, U-Speed has also established an overseas return warehouse network in countries such as the UK, France, Germany, Italy, and Spain, helping sellers cover more European and American markets and solve return issues in different countries.

Timeliness and attention to detail determine the return processing experience.

The core of return processing lies in efficiency and transparency. U-Speed has set clear timelines for its US return service: a 2-day timeline for return quality inspection; and a 3-5 day timeline for return logistics.

Each returned item requires three real-life photos uploaded to the system, allowing sellers to easily assess the product's condition. Repackaging is also supported, enabling eligible items to be resold and reducing waste.

In terms of staffing, U-Speed employs a China-based returns management team, with local Chinese-American teams handling operations and dedicated customer service support. This model ensures standardized on-site operations and improves communication efficiency, making it particularly suitable for sellers headquartered in Shenzhen or other parts of China.

More Than Just Returns, a Closed-Loop Cross-Border Service

For cross-border sellers, returns are not an isolated process. Warehousing, dropshipping, replenishment, and returns are often interconnected. U-Speed creates a closed-loop cross-border logistics service through a "warehousing + dropshipping + returns" model, reducing the complexity of multi-party communication for sellers. When warehousing, distribution, and returns can be completed within the same system, data is more unified, processes are smoother, and inventory management and cash flow are more efficient.

Flexibility and stability are equally important

The search for overseas return warehouses with no minimum spending requirements is essentially for more flexible cost control; while the preference for a Shenzhen-based company ensures smoother communication and collaboration. In the e-commerce environment of Europe and the US, where return rates are high, return processing capabilities have become part of the operational infrastructure. Choosing a service provider with a no-minimum-spending model, local overseas execution capabilities, and domestic management team support can reduce operational risks while ensuring efficiency. For cross-border sellers headquartered in Shenzhen with a focus on the European and American markets, this cooperation model may be more in line with their long-term development strategy.