Selling Items - Duties To Usa Or International From Canada?

[DavidL]

Has any one have any first hand experience in USA placing an order from UPS ground shipping from Canada or Mexico? Are there any large fees like duties/brokerage, bond fee, ect? How about other lw members from places like uk,italy, norway?

In canada we have to pay upwards of 30-80 percent on just the COD fees which include taxes, duties, brokerage fees from outside of our borders. USPS is not bad as it is handed off to Canada post. Is this the same large fee when sending UPS ground to USA ?

From UPS air shipping the fees are dramatically reduced and is the only way besides FOB to send overseas. But to use the reduce ground shipping from a UPS business shipping account the fees from the border are hard to determine and are sometimes very random and the rules and limits of duty free cap. are different country to country.

(Huge headache)

My other option is to send items through a mail forwarding service in Canada and then they ship through USPS.

Does any one use Fedex, USPS or DHL for their international shipping? and why did you end up choosing that company?

[stelmackr]

A1) Do you ship outside the United States?

No. There are lessons learned from experience. There is a very high cost to the customer both for the basic shipping cost and the insurance. Last time I sent (USPS) a book cover to Canada it was almost $40 just for the shipping of a Basic Big Book cover. There is also an additional cost to the customer for duties imposed by their country. I've been asked to ship as a gift to avoid some countries duties, but that goes against my choice to be honest in my actions.

When covers were lost there was additional time and effort to recover the insurance money--time lost away from making covers.

There may be alternatives to get custom made leather AA literature covers. If you have a friend in the US, I would be happy to receive the payment from them, make the cover and send send to them allowing them to ship overseas. Or, there are other custom leather book cover makers that may ship overseas. Here are some samples (links may not be up to date):

....links deleted for this message....

[DavidL]

thanks stelmackr.

Not shipping into Usa is not an option however. I can can find good rates for small shipments but over 200 dollars I have to use UPS ground or express.

[bruce johnson]

David,

I ship out internationally 5-6 times a week on average the last couple months. I pretty much only use USPS Priority Mail. If I can keep the box size under 12" the rates are not too bad. The recipients don't want any more surprises on fees with other shippers than what they already expect. The only exception has been couple shipments that insisted on Global Express Guaranteed that uses a combination of FedEx and USPS to expedite shipments. Customs are usually pretty fast in most places. Sent a heavy big box to Australia last Monday and he just emailed that he got it today. I had one that got hung up in Canadian Customs and they held it about a month though, Canada and England can be slow going in.

On internationals coming to me, I have never paid on anything mailed to me yet. I haven't received anything internationally from UPS or FedEx but DHL has breezed right in with no fees too. Some are heavy and insured for a bunch and I figured they'd be the ones.

[Denise]

We use the post office, both going to the US and the Europe. No extra fees on the US end. There are taxes in Europe, but they would have them no matter how the package was sent. We insure for full price and have never had one lost yet, though a couple have taken a while to get where they were going. Spain takes a LONG time to get through customs - a few weeks to a month is their norm.

Shipping to Europe is expensive as Xpresspost is pretty much the only option. When you get to places like Australia and South Africa, the post office only offers Priority. That is prohibitive. But we send large boxes that get charged on volume - 14 kg and 19.5 kg. Smaller packages it may still be worth it.

[DavidL]

appreciate the insights. Bruce and Denise.

Denise - are you saying Europe only accepts Xpresspost or that only large packages can be sent with this option only . How expensive are the parcels you ship through are they over $60 I think is the cap for duties and tax free, I have packages over 150 come tax and duties free though from USPS because Canada post doesnt have delivery vans in my area (or I haven't seen on before) so they come in through the mailbox.

Items $300-800 dollars do they need anything special other than insurance, Is this something to be concerned with customs with expensive items should packages be split up in multi packages? Im trying to find the best option without overcharge in duties and brokerage fees. I get huge fees in Canada but Canadians may be the exception.

UPS or USPS, Canada post which are better for expensive 200+ shipments in terms of less brokerage fees into isa or abroad. I know USPS has 90% cheaper fees shipping into canada than UPS. I guess that UPS america does the paper work as it passes ground border (ex. UPS to canada 100 parcel + tax + 40 dollar brokerage fee + duties = 164)

To sum it up if its too much reading

I have a few options -

1. Carriers - UPS/Fedex/DHL -

2. postal office - Canada post (expensive), USPS (I can send items that are $200 or less through a service that charges a dollar a parcels plus USPS shipping). Under 199 goes through USPS

The issue is if I start selling items that are over 200 (The service that brings goods over the border only allows items under 200 for USPS) or multiple items totalling over 200 the fee for shipping from Canada would be some where like 40+ for UPS and Canada post. USPS on the other hand would be $20 for a small sized parcel and maybe like 35 for a box to fit a bag (could be wrong).

In your experience expensive or larger items UPS/fedex/DHL, Canada post or bring the item myself over the border and use the USPS?

[Constabulary]

I live in Germany and I´m sometimes buying sewing machine parts and military collectibles either on Ebay or directly from collectors and companies.

So I can speak for the customers / importers side.

FedEx and UPS charge higher shipping than USPS and they charge their own handling fees on top of import duties and VAT.

I cannot recommend them when you ship to the EU (I only can speak for Germany) and I do not order from companies who ship with one of them. But it could be an advantage if the customer does not have a customs office close to them. Both companies are collecting the VAT and import duties directly from the customer.

DHL / Deutsche Post delivers the USPS packages and they also collect the taxes and import duties as long as the invoice or ebay details (or similar) is placed on the outside of the package - that is quite important to know. But they do not charge a handling fee like UPS or FEDEX. If the package has no invoice on the outside of the package goes to the customer nearest local customs office and the customer has to pick up the package from them. He has to open the package and has to provide an invoice (BTW - DO NOT PUT A FAKE INVOICE IN or ON THE PACKAGE AND ALWAYS DECLARE THE FULL VALUE - NO MATTER WHAT THE CUSTOMER WANTS). So it is really important to place and invoice (or similar) on the outside of the package. Just put it in the plastic bag with the custom declaration for / shipping label when you ship by Priority Mail.

I recommend USPS Priority Mail. Their flat rate boxes are nice but it could be cheaper when you don´t use them and use your own boxes.

It depends on the weight and size of the box.

1st Class Mail sometimes is really fast, I had packages that arrived within 5 days from PA.

USPS Priority Mail has the big advantage that I can track the USPS tracking numbers through the DHL system as DHL delivers the USPS packages in Germany.

Also, when you are buying USPS postage online it is much cheaper than buying it at the Post Office. I think you have to register at the USPS website if you want to use it. So if you don´t want to make money with shipping, just charge your customer only what you have paid + probably $2 for packing materials and DO NOT not charge stupid handling fees. That is ridicules - but it may be a different thing when you have to drive a couple of miles to the next Post Office but your customer should know of when you charge him an extra fee and what it is for. Otherwise he could think you are cheating him and you want to earn some extra $$ with shipping costs. I had ebay sellers who charged a $10 handling fee just for filling in a custom declaration form - I´m sorry but that is stupid customer unfriendly and ridicules. Just think about it - it makes no sense. Earn money with what you make & sell and not with filling in custom forms.

USPS also has a shipping calculator that works by weight and size of the box.

http://ircalc.usps.gov/default.aspx?Mode=Intl_Single&CID=10137

On the 2nd page it shows you the EXPRESS shipping rates on top but a bit deeper you have the Priority and 1st Class Mail options.

So - thats my experience from the customers view. I hope this helps...

Good luck with your business.

Edited August 26, 2014 by Constabulary

[Constabulary]

ouh - I´m sorry - I just noticed you are from Canada and not USA.

But maybe you get some ideas from my post as I´m speaking for the customers end.

[DavidL]

ouh - I´m sorry - I just noticed you are from Canada and not USA.

But maybe you get some ideas from my post as I´m speaking for the customers end.

Thank you helps and your support. Also helps to get an idea of what overseas shipping will be like from customers point of view. Almost the same as in Canada where the brokerage by UPS is high but unusually high like 60 percent. The point about the invoice on the outside is also very helpful. I can also use USPS by a service where another company brings my parcels across to USA to ship.

Are you buying from overseas or from within Germany with UPS? I was quoted from UPS Canada that the fees that UPS adds to the package are $10 (or 2.8 percent) to Overseas by using express shipping and nothing else other than the government imposed VAT/Tax or duties. Are you saying that UPS has the exact same VAT and duties and the UPS fee is more expensive. Can you provide an example of one of your purchases invoice so I can get a better idea of the break down of the fees.

[Denise]

David,

If you go to the Canada post website here: http://www.canadapost.ca/cpotools/apps/far/business/findARate?execution=e1s2 you can check out what options you have for what countries. We only ship larger boxes, so can't tell you what the small packet rate is or any of those options. We used to be able to ship to Europe Expedited but quit that a few years ago so the only option via Canada Post is often Xpresspost or even Priority. A few countries still have ground (water) and the one customer that wanted us to ship it that way and wait 6-8 weeks had it arrive in 2. Lots cheaper but not recommended as you can't track that way while you can the others.

If you are worried about brokerage, etc. don't ship a courier company from Canada to the US. They will nail the customer with fees. Our saddle trees are $600 and up. No duties, etc. at the other end in the US at all. Europe, of course, has them. Maximum insurance on parcels to the US or Internationally is $1000.00, though you have to declare total value even if it is over that. I know the USPS won't insure for even that much. That covers loss only, not damage, I think.

I wouldn't recommend splitting into smaller parcels unless you need to insure for full value and it is over $1000. The cost of shipping two small parcels outweighs the cost of one larger one in most cases.

Shipping Canada Post is a lot more expensive than USPS, but when you are 10 hours from the border, that's what you do. Never shipped via USPS, so can't give you any more info that way. Just know that shipping couriers is not the way to go across borders...

[DavidL]

If you are worried about brokerage, etc. don't ship a courier company from Canada to the US. They will nail the customer with fees. Our saddle trees are $600 and up. No duties, etc. at the other end in the US at all. Europe, of course, has them. Maximum insurance on parcels to the US or Internationally is $1000.00, though you have to declare total value even if it is over that. I know the USPS won't insure for even that much. That covers loss only, not damage, I think.

I wouldn't recommend splitting into smaller parcels unless you need to insure for full value and it is over $1000. The cost of shipping two small parcels outweighs the cost of one larger one in most cases.

Shipping Canada Post is a lot more expensive than USPS, but when you are 10 hours from the border, that's what you do. Never shipped via USPS, so can't give you any more info that way. Just know that shipping couriers is not the way to go across borders...

I think il go with Canada post or USPS thanks. Il have to relook at UPS/FEDEX/ DHL because on paper they seem like a good deal, but the fees are on the high side.

[NVLeatherWorx]

I am USA based but I only use USPS Priority for ALL shipping, domestic or international, and I do that because I refuse to give UPS or FedEx any of my money as they are the biggest gougers out there. Sometimes the USPS rates might seem high for the international customers but anything going over there is a high dollar value item anyway so it is all relative. We have both UPS and FedEx using the USPS to finish delivery of most smaller items here in the US anyway under their special shipping programs and we are always charged their higher rates for these packages. I pretty much don't even give anyone my business if I don't get the option of selecting WHO I want handling my packages anymore; why pay twice as much for a shipment when it isn't necessary? I also prefer to support my smaller package handler versus the big guys as they are always here for us; can't say that about the other ones. What was UPS using as a tagline not too long ago: What can Brown do for you? I always looked at it this way: What has Brown done for you? And FedEx with their "The World on Time", who's time? They have the worst record for prompt service so they obviously meant on their time and not that of you or your client.

If you can get good rates and service that meets your needs through your local postal agency go with it; cut out any need for UPS and FedEx when you can.

[DavidL]

Good advice. Pointing more towards USPS/ Canada post now.

I wonder if UPS is more geared towards sellers from say Singapore, Malaysia, Vietnam, countries where their post office is slow or can't send certain stuff out. Bigger companies usually use UPS as their carrier I find for letters or sending documents.

[NVLeatherWorx]

I have found that UPS is used by just about everyone from the overseas areas and that their involvement with standard letter size items has increased as well. When you look at how much the Postal Service now handles items that are technically UPS or FedEx, who in their right mind would even think about using those two? For that reason I have made my primary shipper the USPS; not to mention, the ability to obtain free Priority Mail shipping boxes and such items makes it even more beneficial and to be able to just go online, log into my business account, and then print my postage and other documentation for anywhere I need it to go, was a no-brainer. Now I just walk into my local Post Office and just set my stuff on the counter and walk out because I already have all of the tracking information I need and they have not let me down yet.

Best move you can make is to keep the Postal Services alive because we all know that it ain't easy for them nowadays.

[bruce johnson]

Not that it relates to this topic directly but a heads up to NVLeatherWorx and others who use the online USPS shipping for internationals. You can no longer print the small flat rate box labels through the website. You have to go in and do it at the window. A couple weeks ago they took that option away with no notification or explanation on the site. Medium and larger boxes and all the envelopes are still there. I tried a few ways and no go. Spent 1-1/2 hours on hold for customer service one day before the live person lost me 3 seconds into it. Got a guy the next day after a 50 minute wait. His shift had started an hour earlier and his "log" so far had 36 calls in that hour asking where the small flat rate box option is. The statement is the label is too large for the box. He also told me that regional flat rates are gone too if you use those.

[NVLeatherWorx]

Thanks for the heads-up on that one Bruce. Don't know why the label would be too big for the box considering I have always used their label sheets anyway and there is no different information that prints out on them; customs documents are a separate form so that would not apply. However, knowing how the USPS tends to operate within a zone of confusion sometimes it would not surprise me if it wasn't thought through very well before the decision was made to eliminate it from our options.

Good thing is that I only ship the larger packages overseas anyway as it is really not cost effective to ship a small box with a little old wallet to Europe or anywhere else anyway.

Again though, thanks for that info; guess we need to keep an eye on other unannounced changes coming out of the USPS.

[leatherwytch]

Shipping with fedex to,from, and in Canada. Will be one of the most painful experiences of your life.

[MonicaJacobson]

My husband has sent a mandolin to Canada no problem.... He sent it via UPS. He prefers using UPS because they act as your customs broker for you. It's more expensive because you (or the customer) pay all the fees in advance, and they resolve any insurance problems for you, he says. I sent an expensive package via USPS to Malaysia, and the customer ended up having to pay an extra hundred or two in customs fees. Very annoying for them, but not something I could have helped.

However, I've sent to several European countries and Australia via USPS, and never had anyone complain before that. I wouldn't be able to do this if I had to go to a UPS store or the post office all the time. I can order a pickup, buy postage online (I never use flat rate), and put my boxes out on the front porch. Kind of cool.

[DavidL]

The thing about the sending items through customs is that there aren't very tight rules. sometimes items I get from USPS are taxed + duty added and others aren't, even though they are the same price.

In my experience I have bought a few things with UPS and the first 2 times I was taxed a lot for brokerage I figured it was just to do with the items I bought but I have been charged at the door byUPS 100 dollars at least twice. First time I had no idea that majority of the price was a brokerage fee (fee for them to do the paperwork). Second time the driver suggested I go to do the paperwork myself which took only a few minutes minus the trip downtown and it would knock off 80+ dollars for them to do the paperwork. However this was shipped with UPS ground which I now know to avoid cause they overcharge for brokerage.

My understanding is USPS ground hand it off to Canada post, UPS doesnt do that and the shipment comes from UPS vans. I believe the flat rate for brokerage by Canada post is 5 dollars for items over 60 dollars, plus the duties and taxes if it applies. Very rarely do I get any fees even on items over 100 dollars from USPS. UPS air shipping is a bit different as they bypass the border and avoid the brokerage fee (call to get rates first as it could change)

Just wanted to put this out there for canadians buying from USA or Americans shipping to Canada. Its better to go with USPS rather than UPS unless you can get UPS let you prepay.

Monica - Did your husband ship UPS by airmail or does he have a business account with UPS? I have a feeling that only insured or the more expensive shipping option UPS items you can prepay as the items I received never was prepaid.

The one time I got a shipment from UPS that wasn't charged taxes, duties or any fees was by Springfield leathers and it was around 200 dollars.

[bruce johnson]

To back up here and update my previous post from August - You can now print postage from home for the small flat rate Priority Mail boxes again. Not beimng able to do that lasted about a week. The word I got it was that they realized it was either a glitch in the website update or the complaints were huge and they had to bring it back. Either way - good to go again.

[NVLeatherWorx]

Thanks to Bruce Johnson for updating his post from August, I was about to do that as I have been shipping outside the US with the small flat rate boxes quite a bit now. So far, I have not had a single customer report that they had been hit with additional fees/duties (aside from the typical VAT garbage that the EU has in place anyway) and every one of the packages has had the Customs Declaration included with it.

We can only keep our fingers crossed that it stays that way. And I only use the USPS now for all of my shipments to anywhere in the World as their pricing is the best you are going to find over anyone else. I have a full business account with both UPS and FedEx and never use them because of the extremely high rates for the "additional" services and the "experience" of not having to do some simple paperwork that takes no time at all.