How to Handle Customs When Importing Goods from China

Importing from China can be extremely profitable—if you handle customs correctly. But if you get it wrong, expect delays, surprise costs, and even shipment seizures.

At SourcingBRC, we’ve helped hundreds of businesses avoid customs pitfalls and smoothly clear goods into the USA, UK, EU, and beyond.

Here’s your straightforward guide to handling customs the right way—whether you’re a first-time importer or scaling up your global supply chain.


Step 1: Know Your Import Country’s Requirements

Every country has its own rules for imports. Before sourcing, you should research:

  • Restricted & prohibited items
  • Import licenses or certifications
  • Product safety & labeling laws
  • Required taxes and duties

For example:

  • USA: Check with U.S. Customs and Border Protection (CBP). Items like electronics may need FCC or UL certification.
  • UK & EU: Products may require CE markings, REACH compliance, or EN71 for toys.

SourcingBRC Tip: We help clients check product classifications and recommend required compliance documentation for each market.


Step 2: Understand the HS Code & Duty Rate

Every product is assigned an HS (Harmonized System) Code. This 6-10 digit code determines:

  • Your customs duty rate
  • Import requirements
  • Whether your product qualifies for trade preferences (e.g. GSP)

For example:

  • A cotton tote bag (HS Code: 4202.92) may have a 5–9% duty
  • A PLA biodegradable bag (HS Code: 3923.21) may attract 3%–6% depending on destination

We help classify your product and calculate duties before you ship, avoiding costly misdeclarations.


Step 3: Prepare the Correct Customs Documents

Here are the standard documents customs officials will request:

  1. Commercial Invoice
    • Item description, quantity, unit price, total value, incoterms
  2. Packing List
    • Weight, carton dimensions, content breakdown
  3. Bill of Lading (B/L) or Airway Bill (AWB)
    • Issued by the freight forwarder for sea or air shipping
  4. Certificate of Origin (CO)
    • Sometimes required to determine trade privileges
  5. Import Licenses or Test Certificates
    • If your product is regulated

SourcingBRC manages all these for you, ensuring accuracy and compliance to avoid clearance delays.


Step 4: Choose the Right Shipping & Customs Method

You have two main customs handling options:

1. DDP (Delivered Duty Paid)

  • Supplier or agent handles all customs clearance, taxes, and delivery
  • Best for buyers who want zero headache
  • Slightly more expensive but predictable

2. DAP or FOB

  • You (or your forwarder) handle import clearance and duties
  • More control but more responsibility

We offer both DDP and FOB logistics, and advise you on which fits your business model best.


Step 5: Pay Duties & Taxes Properly

Once your shipment arrives, you’ll be required to:

  • Pay import duty
  • Pay VAT or GST (depending on destination country)
  • Provide EORI number (UK/EU) or tax ID (USA)

Delays in payment = delays in clearance. A good sourcing partner ensures all documentation and payments are ready before landing.


Common Customs Mistakes to Avoid

  • Undervaluing the invoice to avoid duties
  • Using the wrong HS code
  • Missing product compliance labels or certificates
  • Failing to register for an importer ID or tax number
  • Not insuring your cargo

We’ve seen buyers lose thousands from rookie mistakes—let us help you avoid them.


How SourcingBRC Helps with Customs

We’re not just about sourcing—we’re your import strategy team. Here’s how we help:

  • HS code classification and duty rate analysis
  • Correct documentation preparation
  • Partnered customs brokers in USA, UK, EU, and Australia
  • Inspection before shipping to ensure all labels/certs are in place
  • Full DDP service to take customs off your plate

Whether it’s your first shipment or your hundredth, we ensure your goods get cleared without hiccups.


Final Thoughts

Customs doesn’t have to be complicated—if you’re prepared and have the right partner.

When working with SourcingBRC, you get more than products. You get a full-service team that helps de-risk your import process, reduce delays, and ensure legal compliance—every step of the way.

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