How to deal with invoice with international drop ship

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New Member
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hi I'm currently in contact with a few international drop shippper, and we came across the issue of the need to invoice their official invoice in the custom decoration form, my concern is that the customer will see their company name and the price of the item, how are you guys solving this? 

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Shopify Partner
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Yes, if you are sending the package with an express courier like UPS, FedEx or DHL they will require a commercial invoice. If it is sent with the post office, a CN22 may be required.

Each carrier has options for "paperless" commercial invoices. For example, DHL calls it paperless clearance and UPS calls it a paperless invoice. In those cases, if the drop shipper is set-up properly they can send it without the paper documentation being attached to the package.

This, however, may not completely solve your problem. Even if the paper is not attached, if there are any duties or taxes due upon import the receiver may be contacted to pay duties and taxes and they will receive a copy of an invoice from the broker or shipping company that shows the declared value of the item. That being said, you should always declare your items at the sale price on the order. Do not under-declare. 

Here are my tips to ensure the receiver of a cross-border shipments does not see the commercial invoice.

  1. If shipping DHL, FedEx or UPS use the paperless invoice feature
  2. Send it DDP (Delivery Duty Paid). In other words, bill the duties and taxes to you as a shipper. The package will just clear customs and deliver without the receiver being billed for the duties and taxes. See how to calculate duties and taxes here.
  3. Know when you don't have to worry about it. For example orders under $800 USD are not billed duties or taxes into the US. See a list of countries de minimis values here

 

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New Member
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thank you

 

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Shopify Partner
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A good way to circumvent this is by using the Paperless feature of UPS, DHL and the Electronic Trade documents for FedEx such that there is no written paper trail for the customer to see. Make sure that you pay for the duties instead of the customer. In most cases, you can estimate the duties and taxes beforehand and then include them in the product prices to offset any potential loss. Once that is done, you are set. All the above features can be got using the Multi carrier shipping label app.

Product Owner @ PluginHive
Shipping Automation | FedEx shipping | Multi-carrier shipping | Shipment Tracking | Australia Post shipping
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Shopify Partner
461 7 39

As others have mentioned here, each carrier has options for "paperless" commercial invoices. In the case of carriers like FedEx, it is called as Electronic trade documents (ETD) which is supported by apps like FedEx Rates, Labels & Tracking. With the app you have the option to generate paperless commercial invoice from FedEx which can be send without the paper documentation being attached to the package. Also, the app lets you choose the duties payer as "Sender" or "Recipient".

Customer Success @ PluginHive
Shipping Automation | FedEx shipping | Multi-carrier shipping | Shipment Tracking | Australia Post shipping
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