E-Commerce

E-Commerce

Online Purchases through E-Commerce

Every day, millions of Americans make online purchases through e-commerce, which frequently involve importing commodities sourced outside the United States. The Internet has made it easy to find and purchase items from almost anywhere in the world.

The shift from traditional methods of importing via large, containerized shipments to small, low-value packages has presented new challenges not only for the U.S. Customs and Border Protection (CBP). Many people are discovering that getting a foreign-bought item successfully delivered to the United States is much more complicated.

CBP defines e-commerce as high-volume, low-value shipments entering the port limits of the United States. These advances in economic activity have led to increasing volumes of imports of small, just-in-time packages, creating inspection challenges for CBP. E-Commerce shipments pose the same health, safety, and economic security risks as containerized shipments, but the volume is higher and growing.

When goods move from any foreign country to the United States, they are being IMPORTED. There are specific rules and regulations that govern the act of importing – and they can be extremely complex and confusing – and costly. When you buy goods from foreign sources, you become the importer. And it is the importer who is responsible for assuring that the goods comply with a variety of both state and federal government import regulations.

Importing goods that are unsafe, that fail to meet health code requirements, or that violate quota restrictions could end up costing you quite a bit of money in fines and penalties. At the very least, such goods would be detained, and possibly destroyed, by CBP.

In-Depth Coverage: Importing Cosmetics

E-Commerce Elements of Compliance

By following the guidance below, your shipment will be less likely to be detained by CBP and more likely to be cleared!

Product Description

Provide a detailed and accurate description of the product(s) being shipped.

  • Correct: 100% Cotton, Dark Orange Short-Sleeved Crew-neck T-Shirt
  • Incorrect: Shirt

Value

Provide the selling or list price in U.S. dollars.

  • Correct: $1,500 (correct price customer paid)
  • Incorrect: $0 or 10 Euro

Quantity

Indicate the exact number of items in each box, bale, case, or other package.

  • Correct: 3 (items in a package)
  • Incorrect: 1 (package)

Gross Weight

Report the kilograms (kgs.) or pounds (lbs.) for the merchandise on the same line as Value. If weight is not available, then estimate. Gross weight is the total of the estimated weights of each item.

  • Correct: 450 kgs. or 1,000 lbs.
  • Incorrect: 0

Country of Origin

Product(s) must be marked with the English name of the country of origin unless there is a lawful exception.

  • Correct: China (if product was made in China)
  • Incorrect: 香港

Other Government Agency Requirements

Other agencies may require additional information. Have you obtained necessary licenses, permits, or other information from other government agencies?

  • Correct: Provide information required by other agencies
  • Incorrect: Submit incomplete documents

Checklist

Keep the following questions in mind before you buy something from a foreign source. The answers will have far-reaching CBP implications (explained below) that could influence your decision to buy.

  • Can the goods be legally imported? Are there restrictions on, or special forms required, for your purchase's importation?
  • Are you buying the item(s) for your personal use or for commercial purposes?
  • Will you be responsible for shipping costs? If so, you should discuss with the seller how your purchase will be shipped. The choices are freight, courier service or international postal service.
  • Can you trust the seller to provide accurate information about the item being shipped in the Customs section of the shipping documents?

Giving misleading or inaccurate information about the nature of the item and its value is illegal. And it is the importer – YOU – who could face legal action and fines for this violation!

For more information on e-commerce and online shopping:

Section 321 and E-Commerce

Combined with the exponential growth of the online shopping market in the United States over the past years, CBP has seen a significant increase in small, low-value packages. Section 321, 19 USC 1321 authorizes CBP to provide an administrative exemption to admit free of duty and tax shipments of merchandise imported by one person on one day that have an aggregate fair retail value in the country of shipment of not more than $800. This exemption is known as a de minimis entry. CBP has created Section 321 programs to enable the agency to monitor and protect against illegitimate trade while providing the public the benefits of duty free shipments for qualified imports.

What is Section 321 Data Pilot?

Many of the goods purchased online qualify for the de minimis exemption of Section 321. CBP anticipates that Section 321 shipments will continue to grow exponentially.  

The Section 321 Data Pilot is a voluntary collaboration with online marketplaces, carriers, technology firms and logistics providers to secure e-commerce supply chains and protect American consumers. The purpose of this pilot is to test the feasibility of obtaining advance information from regulated and non-regulated entities, such as online marketplaces, as well as requiring additional advance data elements and to more clearly and accurately identify the entity causing the 321 shipment to move, the final recipient, and the contents of the package.

The Section 321 Data Pilot will enable participants to electronically transmit to CBP certain information regarding Section 321 shipments prior to the shipment's arrival in the United States.  The pilot initially applied to section 321 shipments arriving in the United States by air, truck, or rail.  It has been expanded to include shipments arriving by ocean and international mail.

In-Depth Coverage: Marketing and Advertising Compliance

Quick Link To U.S. Customs & Import Requirements

In-Depth Coverage: Country of Origin

Customs Clearance & Import Requirements

Guidance on customs & logistics solution for traditional and e-commerce importers and exporters

Ocean Cargo

Importer Security Filing (ISF)

An ISF is required when cargo (ocean only) laden on vessel at a foreign port is destined for shipment to the U.S.  Under ISF rule, some importing information and details regarding cargo must be transmitted to the CBP at least 24 hours before goods are loaded onto the vessel.

Customs Brokerage & Consulting

Customs Clearance

All goods imported into the U.S. are required to be declared to CBP. Our customs broker will help you stay in compliance with customs laws and regulations and clear your goods quickly and efficiently with our electronic Automated Commercial Environment (ACE) and Automated Broker Interface (ABI) Single Window System.

Logistics Solution

Freight Forwarding

Looking for a freight forwarding partner?  To move your cargo from its current location through customs to its final destination we will partner with you to find the best way for your business. Whatever your transportation, logistics or customs clearance needs, we will do our best to customize a solution for your needs. 

Warehousing & Logistics

Warehousing & Distribution

Our warehouse facility offers great potential for serving as a regional hub with over 145,000 SF storage capacity close to Los Angeles Airport & Los Angeles/Long Beach Sea port. With our extensive experience in freight services, your import/export cargo will be handled quickly and effectively.

Section 321 Entry

Section 321 Entry

Section 321 entry allows importing free of duty and tax for shipments imported by one person on one day having a fair retail value in the country of shipment not more than $800. We provide our resident and non-resident clients with dedicated ACE eManifest solutions for Section 321 entry of all modes of transportation. 

Country of Origin

Non-resident Importer Program

If you want to sell your products in U.S. marketplaces, but you are a business owner located outside of the U.S. and do not have an entity or presence in the U.S., you need to be established as a Foreign Importer of Record before your products can be imported into the U.S. We can help you.

E-Commerce

E-Commerce

The Internet has made it easy to find and purchase items from almost anywhere in the world. Our e-commerce experts will help you find the right solution for your international transportation, customs clearance, and delivery to your final destination.  We also provide value-added repackaging, warehousing and distribution services. 

Design your own logistics

To move your cargo from its current location through customs to its final destination we will partner with you to find the best way for your business.