Understanding International Shipping
International shipping involves moving goods across borders, which requires understanding various regulations, documentation requirements, and logistics options.
Key Shipping Terms (Incoterms)
Incoterms define who is responsible for shipping costs and risks at each stage:
- EXW (Ex Works) - Buyer handles everything from supplier's facility
- FOB (Free On Board) - Supplier handles until goods are on the ship
- CIF (Cost, Insurance, Freight) - Supplier pays for shipping and insurance to destination port
- DDP (Delivered Duty Paid) - Supplier handles everything to buyer's door
Essential Documentation
Every international shipment requires specific documents:
- Commercial Invoice
- Packing List
- Bill of Lading or Air Waybill
- Certificate of Origin
- Import/Export Licenses (if required)
Customs Clearance
Working with a reliable customs broker can save time and prevent costly delays. They handle:
- Tariff classification
- Duty calculation
- Regulatory compliance
- Documentation submission
Tip: Always factor in customs duties and taxes when calculating total landed cost.
Optimizing Shipping Costs
Group buying naturally helps reduce shipping costs by consolidating orders. Additional savings can come from choosing the right shipping method (sea vs air) based on your timeline and budget.
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David Liu
Logistics Manager
Expert contributor at ImportersDeals, sharing insights and knowledge to help businesses succeed in international trade.