Trade between the United States and China continues to fuel global commerce, even amid ongoing tensions. American businesses import goods worth over half a trillion dollars each year, making this trade route one of the most important in the world. However, the sheer volume of trade brings a range of logistical challenges that can become costly for those who are unprepared.
In recent years, the process has become even more complex. Tariffs on Chinese imports have climbed as high as 125 percent, forcing importers to carefully evaluate their shipping options. Sea freight is the most common choice for large shipments, offering budget-friendly rates with delivery times ranging from 20 to 40 days. Air freight is much faster, typically taking just 3 to 5 days, but it comes at a higher price, often starting around $5 per kilogram.
This article breaks down the key elements of international shipping. You’ll learn how to navigate import regulations, find reliable suppliers, manage essential documentation, and move efficiently through customs.
Understand the Basics Before You Ship
Before launching into international trade, it’s crucial to understand the core logistics involved in moving goods across borders. A solid grasp of shipping regulations, importer responsibilities, and strategic planning helps avoid unnecessary delays and fines.
One way many businesses simplify this process is by working with a digital freight forwarder, who provides an online platform to manage bookings, documents, and customs requirements in one place. This added visibility and control is especially valuable in complex trade lanes where small oversights can lead to major setbacks.
Know your import rights and responsibilities
The role of the Importer of Record (IOR) requires exercising “reasonable care” while bringing goods into the US. This means the importer must report product details accurately, keep proper documentation, and comply with all regulations. US Customs and Border Protection (CBP) wants me to maintain specific records for five years.
These include international shipping documents, commercial invoices, and customs entry summaries. I also need an importer number (usually my IRS business registration number) and a customs bond for shipments valued over $2,500.
Check if your goods are restricted or need licenses
The US doesn’t require a general import permit for shipping from China, but some products need special licenses or permits. You should know the difference: prohibited items are banned completely (like dangerous toys, illegal substances), while restricted items need special permissions (such as firearms, certain foods, or animal products).
CBP enforces regulations for over 40 government agencies, including the FDA, USDA, and Fish & Wildlife Service. You must verify all requirements before making purchases.
Understand Incoterms and their effect on cost
Incoterms (International Commercial Terms) define responsibilities, costs, and risks between buyers and sellers in international transactions. These three-letter acronyms substantially affect your bottom line when shipping from China:
- FOB (Free on Board): The supplier covers export costs within China, but you handle all costs at the destination once goods are shipped. This lets you control freight services and costs.
- EXW (Ex Works): You take responsibility for all transportation costs from the supplier’s facility onward.
- CIF (Cost, Insurance, and Freight): The supplier manages shipping and insurance until goods reach the destination port, which might limit your ability to negotiate shipping costs.
The right Incoterm choice is a vital factor that determines who pays for transportation, insurance, customs clearance, and when risk transfers between parties.
Choose the Right Products and Suppliers
Making smart choices early in the process can set the tone for the success of your entire shipping strategy. Selecting products with strong potential and building relationships with dependable partners helps reduce risk and improve long-term outcomes.
With thoughtful planning and attention to detail, businesses can position themselves for better performance in a competitive market.
Research demand and profit margins
Complete market research forms the foundations of successful importing. You need products that Americans want to buy and Chinese manufacturers excel at making. Chinese manufacturing costs less because of lower labor and production expenses.
Notwithstanding that, calculating total landed costs needs careful attention. Import duties and tariffs affect your profits by a lot, especially with current tariffs on Chinese goods. Beyond checking demand, you should look at who else sells your chosen products. The best scenario? Finding items with few competitors or where current sellers have poorly optimized listings.
Avoid oversized or heavy items for first-time shipping
Industry experience shows that smaller, lighter products tend to work best for initial shipments. Size and weight drive up shipping costs fast and can wipe out your profits. Shipping experts point out that bulky items like furniture cost way more to ship than small electronics or accessories.
Simple products matter just as much. Chinese factories make both top-quality and poor-quality items. Starting with basic, labor-intensive products helps you manage quality better. It also helps to stay away from products with patents or trademarks to avoid legal issues.
Find reliable suppliers through verified platforms
These trusted platforms connect you to Chinese suppliers:
- Alibaba: The largest B2B marketplace with extensive verification tools
- Global Sources: Particularly strong for electronics and tech products
- Made-in-China: Specializes in connecting global buyers with quality Chinese suppliers
Looking at potential partners? Know the difference between factories and trading companies. Factories offer better prices but want bigger orders. Trading companies help control quality better and accept smaller orders.
Always get samples before full production. This lets you check product quality yourself.
Plan Your Shipping and Documentation
Once your products are ready to move, the next phase involves making decisions that affect both timing and cost. Careful attention during this stage ensures your goods arrive on schedule and in compliance with all necessary regulations. Taking a strategic approach here helps avoid delays, reduce expenses, and keep operations running smoothly.
Compare air, sea, and express freight options
Each shipping method has its own perks based on how big your shipment is, how fast you need it, and what your budget looks like. Express freight costs about $5 per kilo and works great for packages under 150 kg. It’s the fastest way to get your goods. Standard air freight runs around $3 per kilo and makes sense for shipments between 150-500 kg.
Shipments over 500 kg should go by sea freight because it’s the most economical choice thanks to its massive scale advantages. Delivery times vary quite a bit – express takes 3-7 days, air freight needs 7-10 days, and sea freight requires 30-40 days.
Understand FCL vs LCL for sea freight
Sea freight comes with two options: Full Container Load (FCL) and Less than Container Load (LCL). FCL lets you use an entire container by yourself, which makes financial sense when your shipment is bigger than 15 cubic meters.
FCL brings three big advantages: it’s faster by 1-2 weeks compared to LCL, your goods are less likely to get damaged, and you pay less per cubic meter. LCL lets you share container space with other shippers, which works better for smaller shipments since you only pay for the space you use.
Prepare essential documents: BOL, invoice, COO, packing list
You need four key documents to get through customs smoothly:
- The Bill of Lading (BOL): proves you own the goods, shows your shipping contract, and serves as your receipt.
- The Commercial Invoice: shows what your goods are worth and helps customs figure out duties.
- A Certificate of Origin: proves where your products came from and might help you pay fewer duties.
- The Packing List: breaks down everything in your shipment so customs knows exactly what you’re bringing in.
Use a freight forwarder to simplify logistics
Freight forwarders bridge the gap between you and shipping companies. They handle all the complex parts of international shipping. These experts book your cargo space, sort out paperwork, and help you get through customs. Working with an experienced forwarder saves time and cuts down risks. They often get better shipping rates because they buy in bulk.
Clear Customs and Avoid Delays
Once goods are on the move, the final steps can have a significant impact on the success of your shipment. Smooth customs clearance depends on accuracy, preparation, and attention to detail. A well-informed approach at this stage helps prevent hold-ups, reduces the risk of added fees, and ensures everything arrives as planned.
Classify goods correctly using HS codes
The proper classification of imports using the Harmonized Tariff System (HTS) is essential. This universal economic language assigns specific codes to almost every product in existence. The right HTS code will give a correct duty rate and help comply with regulations.
The U.S. uses a 10-digit classification system—the first 6 digits follow international standards, while the last 4 are specific to U.S. imports. Classification requires years of expertise, as many importers use the U.S. International Trade Commission’s Tariff Database to look up my products’ codes.
Calculate duties and taxes accurately
We calculated customs duties mainly on an ad valorem basis—as a percentage of my goods’ value. Since 2018, many Chinese imports face extra Section 301 tariffs that range from 25% to 100%. My duties need accurate calculation through these steps:
- Identify the correct HTS code
- Determine the product’s dutiable value.
- Multiply by the applicable duty rate percentage
Shipments valued under $2,500 must still pay customs duties, despite what many people believe.
Work with a licensed customs broker
A licensed customs broker makes the import process much simpler, though it’s not required. These professionals have CBP licenses but work independently to help shipments meet all regulations. They help pick proper HTS classifications, get necessary permits, and handle documentation. The importer remains responsible for the accuracy of all entry documentation submitted to CBP.
Track your shipment and prepare for delivery
CBP has tightened its reviews of HTS codes and product descriptions. Specific, accurate descriptions must replace vague terms like “clothing” or “accessories”. The process might include examination costs—CBP doesn’t charge for cargo checks, but the importer is required to cover examination preparation expenses.
Conclusion
Successfully shipping from China to the USA involves more than just moving products across borders. It requires a clear understanding of regulations, smart logistics planning, and attention to financial details. Each step, from choosing reliable suppliers to classifying goods correctly, plays a critical role in avoiding delays and reducing costs.
Importers who take the time to research, prepare proper documentation, and partner with experienced freight forwarders and customs brokers will be better positioned to navigate the complexities of international trade. With the right strategy in place, businesses can streamline their shipping process, stay compliant, and protect their profit margins. Careful planning leads to smoother operations and greater long-term success.
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