Selling internationally opens up a whole ocean of customers. It also introduces paperwork. The good news: once you understand a handful of terms, customs is mostly about being accurate and honest. Here's the primer we wish we'd had.
The customs form
Every package leaving the US needs a customs declaration. Postal services like USPS, Canada Post and Royal Mail use the CN22 form for smaller, lighter packages and the CN23 for larger ones. Courier services like UPS, FedEx and DHL Express use a commercial invoice, usually sent electronically. They all ask for the same basics: what's inside, how many, what it's worth, what it weighs and where it was made. When you buy an international label in Octoship, the right document for that carrier is generated from your product data, and sent electronically or attached to the label for you.
Key terms
- Description of contents. Be specific. "Clothing" isn't enough; "women's cotton T-shirt" is. Vague descriptions are a top reason packages get held.
- HS code. The Harmonized System code is a standardized number that classifies your product for customs worldwide. The first six digits are shared internationally. Using the right code speeds clearance and is what duty and tax estimates are calculated from. Octoship suggests codes as you type a product description.
- Declared value. What the item actually sold for (or its fair value, if it's a gift or replacement). Never under-declare to save your customer duties; it's illegal and can get packages seized.
- Country of origin. Where the item was made, not where you shipped it from.
- Duties and taxes. Fees the destination country charges on imports. They depend on the product, its value and the country's rules.
Who pays: DDP vs. DAP
Someone has to pay the duties and taxes. There are two main arrangements:
| Term | Who pays duties | Customer experience |
|---|---|---|
| DAP / DDU (Delivered at Place / Duties Unpaid) | The recipient, on delivery | May get a surprise bill before the package is released |
| DDP (Delivered Duty Paid) | You, the seller, upfront | Smooth delivery, no surprise fees |
DAP is the default for postal services, and it's fine for low-value orders that fall under the destination's duty-free threshold. If you go that route, tell your customers clearly at checkout that they may owe import fees. A one-line note in your shop policies prevents a lot of unhappy emails.
When DDP is worth it
Surprise fees are the top reason international packages get refused, and a refused package is a slow, expensive boomerang. Shipping DDP on a courier service like DHL Express, FedEx International or UPS Worldwide removes that risk: Octoship calculates the estimated duties and taxes from your HS codes and declared values, adds them to the label price, and your customer pays nothing at the door. It's especially popular for orders to the EU, UK and Australia.
- See the landed cost first. Each rate shows shipping plus estimated duties and taxes, so you can compare the real total.
- Price it in. Add the duty estimate to your checkout (Octoship's checkout rates can do this), or absorb it on high-value orders.
- Automate it. A rule like DDP for orders over $150 to the UK means you decide once, not every order.
- Expect small differences. Customs sets the final amount. Any difference from the estimate is passed through at cost.
Things that can't (or shouldn't) go
Every country has its own list of prohibited and restricted items. Common trouble spots include lithium batteries, perfumes and anything flammable, aerosols, alcohol, certain foods and plants, and cosmetics in some countries. Check the destination's rules before you list an item for international sale, not after it's been returned to sender.
A quick checklist before you ship
- Specific description for every item in the box
- HS code saved on each product
- Declared value matches what the customer paid
- Country of origin filled in
- Duties and taxes set to DDP or DDU (and the customer told which)
- Recipient phone number and email on the order
- Item is allowed in the destination country
Get those right and international shipping becomes routine. Save HS codes and origins on your products once, and Octoship fills in the customs paperwork for every order after that, whichever carrier you pick. Want the deep dive? Our help center covers DDP vs DDU, HS codes and commercial invoices.
