How do I write a Commercial Invoice that customs will accept?
This is the primary document customs agents use to determine duties and taxes in the destination country. Vague descriptions are a primary cause of inspection holds and delays. Use the My Global Trade Services tool to find the correct Harmonised System (HS) Code for your product before you ship.
Detailed Descriptions: Write "Men's 100% Cotton Knitted T-shirts" instead of "Clothing".
Accurate Values: List the actual transaction value for all items, even if they are samples or marketing materials.
HS Codes: Use the MyGTS tool to find specific codes. This helps prevent overpaying duties and ensures smoother clearance.
Currency: State clearly if the value is in USD or SGD.
What are Landed Costs and why do they matter?
The shipping price is only one component of your total cost. You must account for any import duties and taxes charged by the destination country's government. This combined total is the landed cost, and it's the final figure your customer cares about.
Many international customers now expect to see these costs transparently at checkout. You can use a Delivered Duty Paid (DDP) service to pay these charges on your customer's behalf. This prevents surprise bills at the door, which is a major factor in building brand reputation and securing repeat business.
The cost breakdown:
Shipping Fee: The cost of transport from your door to theirs.
Duties: A tax on imported goods that varies by product type and destination.
Taxes: Local consumption taxes like VAT or GST applied at the destination border.
Insurance: A small premium to protect against loss or damage in transit.