The Six Steps of the International Shipping Process

Shipping to international customers? These are the six important steps of the shipping process that will ensure your goods are cleared through customs quickly and without delay.

What is customs clearance?

When goods move from one country to another, they may be required to go through customs clearance.

The goods must be declared to customs authorities – a mandatory process known as customs declaration. This is a data set of information about the goods that helps customs authorities to check whether they comply with applicable laws and regulations of the destination country, and calculate the customs duties and taxes owed.

Customs activities are generally performed by dedicated experts, but since these experts represent the actual importer/exporter, the importer/exporter must provide correct and complete information in connection to the shipment to DHL. This can help to avoid delays, fines and penalties, and frustration.

 The Six Steps of the International Shipping Process with DHL

Step 1 – Provide your data to DHL Express

When you ship goods across international borders, you must complete a Commercial/Proforma Invoice. This contains detailed information about the goods being shipped and is used by DHL Express to prepare the customs declaration for authorities. 

A Commercial/Proforma Invoice is a mandatory, fundamental document for customs clearance. Please find below an overview of the key data elements, with more detailed guidance shared here.

• Shipper/Exporter & Receiver/Importer details: names, addresses, and contact information.
• Identification number(s), if applicable. For example, VAT/GST number, EORI number, TIN/PIN number.
• Goods Descriptions: line item descriptions of the commodities (using detailed, precise and plain language) included on the invoice.
• Harmonized System (HS) Code(s): line item HS Code (preferably the complete Import tariff code).
• Country of Origin (typically the country in which the goods have been produced or manufactured).
• Values & Currency: line item value of the goods, and additional breakdown of the applicable cost elements (e.g. insurance, freight, packaging, etc.), with the currency in which the transaction occurred.
• Weight / Unit & Quantity: indicate the gross/net weight, unit (e.g. KG) and quantity (e.g. 10 items) on line item level.
• INCOTERMS® & Place: include the INCOTERMS® and place (as required under the applicable term).
• Proof of Origin Statement: if applicable, include the Proof of Origin statement on the Invoice to qualify for preferential customs duty rates (also known as ‘Statement on Origin’, ‘Country of Origin Statement’, etc.)
• Reason for Export: e.g. permanent, repair and return, temporary, gifts.
• Other Requirements: it is essential that you verify if any other requirements are applicable for your goods, e.g. Export/Import Licences, Other Government requirements (e.g. Veterinary & Phytosanitary Laws), etc.

Inaccurate and incomplete data is one of the main reasons for delays at customs, so be sure to complete the Commercial/Proforma Invoice carefully. Good data quality is key if you want your goods to reach customers on time!

Once DHL Express receives this data from the shipper, the customs clearance process begins.

Step 2 – DHL Express performs the security filing  

When preparing customs declarations and security filings to customs authorities on customers’ behalf, DHL Express undertakes the responsibility of exercising due diligence to comply with customs regulations. Therefore, it is essential to ensure that your shipment, data, and documentation are compliant with applicable laws, regulations, and DHL Express Terms & Conditions.

Three key non-compliance risks to avoid:

• Submitting an incomplete or inaccurate “goods description” on the Commercial/Proforma Invoice. Remember, good data quality is the key to smooth and compliant customs clearance.
• Under-declaring the value of the goods on the Commercial/Proforma Invoice. Customs authorities may hold the shipment and ask you for evidence of the goods value on the Invoice. They may even contact the receiver – that is, your end customer – for the information, which will damage their experience with your business.
• Shipping prohibited or illegal goods. In addition, shipments classified as Dangerous Goods may require special licenses or permits to enter a country. Check before you ship!
   

Step 3 – DHL Express prepares the customs declaration

The preparation of export and import customs declarations can begin.  

DHL Express’ Customs Team may contact you to check shipment details or seek additional information. Be sure to respond to any requests quickly – this will ensure any inaccurate or missing information can be addressed, and your shipment kept moving through the network.

Step 4 – DHL Express submits the customs declaration

Once the shipment reaches the outbound gateway, the export customs declaration can be finalized. DHL Express submits customs declaration in the name and on behalf of their customers for all shipments sent on its network.

Step 5 – DHL Express awaits customs response

Customs release can take anywhere from a few seconds to several days depending on a range of factors such as the destination country. DHL provides real-time tracking updates to customers, which allows them to monitor the progress of their shipment and get an estimated delivery date.

If all customs requirements are fulfilled, the shipment can be export released.

The preparation for import clearance can be performed while the shipment is in transit to the import country, for maximum efficiency.

Step 6 – Customs released

Once the shipment physically arrives at the destination country, authorities will use the customs declaration to conduct an assessment and check – among other things – if the goods comply with applicable laws and regulations. 

From there, the package is delivered to its final destination – the end receiver.

With good data quality and DHL Express’ customs expertise, your customers will receive their deliveries on time – wherever in the world they may be!

MyGTS: Your gateway to easy international shipping

It may seem complex, but it doesn’t have to be…To speed up international shipping and simplify customs clearance, DHL Express has developed My Global Trade Services, an intuitive, all-in-one portal.

MyGTS is a free, user-friendly platform that will help you navigate many international shipping regulations, seamlessly. Access:

• Pre-shipment Planner: a dedicated tool to help your business comply with all import/export regulations and calculate Landed Cost.
• Harmonized System (HS) Codes: no more guesswork; MyGTS leverages AI to give you the potential tariff classification for your shipment, making customs clearance faster. Search for HS Codes using keywords or the code directory.
• Landed Cost for your international shipments: calculate your estimated product cost, duties & taxes, and freight charges to enhance your pricing strategy and give your customers transparency over estimated shipping fees.
• Guidance on a country’s import and export requirements – so you can understand some of the key requirements before shipping.
• A product catalog feature – where you can save past searches, product details and tariff codes for quicker repeat shipping.

You can log in with your existing DHL Express Business Account or register a new MyGTS account to enjoy the full benefits.