Customs Clearance for International Shipping

What is customs clearance?

When goods enter (import) or leave (export) a country, they must be declared to customs authorities – a mandatory process known as customs declaration. A customs declaration is a set of documents containing important information about the transported goods. The customer (i.e. the shipper) is responsible for providing this data. This film breaks down everything that is required. 

Based on the customs declaration, authorities conduct an assessment and check – among other elements – if the goods are legal and compliant. They will then provide a Duties & Tax Assessment indicating the amount that must be paid. After payment, they will confirm the Customs Release or “Customs Clearance” (which in many cases happens at the time of the shipment’s arrival in the country).

Why understanding customs clearance really matters

When you ship internationally, customs isn’t just a formality, it’s a key step your shipment must pass through. If your paperwork or details don’t meet the requirements, authorities can hold your goods for extra checks or inspections. In more serious cases, shipments can even be seized. Not exactly the kind of surprise you want.

The result? Delayed deliveries, unhappy customers, and potentially fines for your business.

But don’t worry, it’s all manageable. Let’s break down the most common reasons for customs clearance delays and how you can avoid them to keep your shipments moving smoothly.

7 reasons for customs clearance delays – and how to avoid them

1. Inaccurate or incomplete data and documentation

Inaccurate or missing data and documentation is one of the leading reasons for customs delays. To ensure a smooth Customs Clearance when shipping internationally, it is crucial to provide a complete and accurate Commercial Invoice, including a goods description, value, tariff code, and other information.

Solution: The two most important documents that require special attention are the Commercial Invoice and the Waybill. On the Commercial Invoice, it is particularly important to provide a detailed and accurate goods description. Insufficient information in this section is one of the biggest causes of shipments being delayed at customs so ensure you provide plenty of detail.

This guide will help you fill in each section of the Commercial Invoice correctly, so your shipment moves through customs without any challenges.   

2. Incorrect HS Code

What is an HS Code? Harmonized System Codes (also known as Tariff Codes) are globally standardized commodity codes used to classify the exact type of goods being shipped. Without these, customs authorities cannot identify a shipment’s contents or calculate the taxes and duties due.

Solution: You can find the HS Code for your product via your country’s government website, or with DHL’s MyGTS (My Global Trade Services) tool.

3. Undervaluation of goods

You will be required to declare the value of the goods on the Commercial Invoice. Some shippers try to reduce their import customs duty by undervaluing their goods, which is illegal in most countries globally, and may result in fines and penalties by authorities. Therefore, we strongly advise shippers to always declare the true value of the goods!

If customs authorities raise a suspect of goods being undervalued, the receiver will be contacted and requested to provide proof of payment or a receipt for the goods purchased. If undervaluation is confirmed, this may result in a higher duties and taxes assessment for the shipment, as well as potential fines and penalties imposed by authorities (and possible restrictions of future shipments.)

Solution: Be transparent and declare the true market value of the goods being shipped, along with the currency. The value must be accurately declared for each item of the Commercial Invoice. This guide will help you to calculate and declare the correct value.

4. Non-compliance with import/export regulations

Each country has specific import and export customs rules and regulations to control the goods crossing its borders – including a list of restricted and prohibited goods. Non-compliance with such rules risks your shipment being held, fined or seized.

Solution: Be sure to thoroughly research all the customs rules for the country you’re exporting from and to – including any special permits, licenses or certificates you may need to apply for. With DHL’s MyGTS, you can check examples of import and export requirement per country, quickly and easily.

5. Not paying duties and taxes on time

Import duties and taxes are fees charged by customs authorities when goods cross international borders. Think of them as the final checkpoint before your shipment can enter the country.

Here’s the important part: these charges must be paid before the shipment is released. If they’re not, your package could be delayed, held at customs, or even sent back. Definitely something you want to avoid.

The easy fix? Plan ahead.
Before you ship, decide who will pay the import duties and taxes, the sender or the receiver.

To keep things simple, DHL Express can handle these payments on your behalf when the shipment arrives, and then bill the responsible party. Easy, right?

Here’s how it works:

• Sender pays (pre-selected option): No action needed from the receiver, delivery goes ahead smoothly.
• Receiver pays: Payment is required before delivery.
  • If the receiver has a DHL account, the charges are billed directly to it.
  • If not, DHL sends a secure online payment link, quick payment = quicker delivery.

Bottom line: settle duties and taxes on time, and your shipment keeps moving without a hitch.

6. Improper labeling or packaging 

Unreadable/incomplete labels, marks, or inadequate packaging can lead to damaged, delayed or rejected goods – especially so for “Hazardous” or “Dangerous Goods”.

Solution: Carefully check the packaging, marking and labeling requirements of your destination. Some countries and transporters, for example, have restrictions on certain packaging materials. Ensure your packages are packed, marked and labeled correctly to ensure full compliance with all the regulations and regulators involved in the consignment’s journey, and that any special labels or marks – like “Hazardous” or “Dangerous Goods” – are always clearly visible and readable. Our Certified International Specialists may be contacted in case of any doubt.

7. Poor communication with customs authorities

Sometimes customs officials or your broker may reach out to confirm details or request missing information about your shipment. If there’s no response, things can quickly slow down.

Solution: Stay responsive. Reply to any requests from customs as soon as possible, and keep an eye out for messages from DHL Express too. The faster you provide the needed information, the quicker your shipment can get back on track and on its way.

MyGTS: Your gateway to easy international shipping

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 all international shipping regulations, seamlessly. You can log in with your existing DHL Express Business Account or register a new MyGTS account to 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 to MyGTS with your existing DHL Express account or register a new MyGTS account. Click below for your options.