What is international shipping? A complete guide to how it works

Understanding the intricacies of international shipping can open doors to global markets and help you expand your reach. Although it may seem overwhelming at first, it is crucial for extending your reach across borders and driving growth for your business.

In this comprehensive guide, we will break down the complexities of international shipping and cover everything from customs regulations to various shipping methods. You will find actionable insights here if you want to grow your product line or streamline your shipping operations. 

So, let's dive in and get started with simplifying international shipping for you!

• International shipping involves many regulations and processes, making it crucial to understand customs regulations for smooth operations.

• Efficient management of international shipping documents is vital to avoiding delays and ensuring compliance with regulatory requirements.

• Shipping options like sea freight and ground international transportation have benefits and certain considerations, which can impact delivery times and costs.

• Emerging trends and technologies are continuously reshaping the landscape of international shipping, offering new opportunities for efficiency.

• Using a platform like Gelato can simplify global shipping logistics and provide hassle-free solutions for large ecommerce businesses.

International shipping is the process of moving goods from one country to another. It involves navigating various regulations, customs procedures, and logistical challenges to ensure successful delivery. This process is crucial for businesses looking to expand globally, allowing them to reach international markets and grow their customer base.

Types of goods and key players involved

Typically, the goods involved range from consumer electronics, clothing, and household items to industrial machinery and raw materials. The process relies heavily on key players such as shipping companies, who transport the goods; customs authorities, who regulate and inspect international and domestic shipments; and logistics providers, who ensure the smooth coordination of the entire shipping process.

One of the most common questions about international shipping concerns timing. While there's no one-size-fits-all answer, several factors are pivotal in determining how long your shipment will take. Let's explore these elements to understand better what you can expect regarding delivery timelines.

Factors influencing shipping times 

Various factors influence the duration of international shipping: 

• Distance: The farther the shipment travels, the longer it will take. Shipping from the US to Europe is typically faster than shipping to Australia.

• Shipping method: The choice of shipping method significantly impacts delivery times. Express shipping options like DHL Express or FedEx International Priority can take as little as 2-4 days. In contrast, standard shipping methods, often via a sea freight-forwarding company, can take several weeks.

• Customs procedures: Customs clearance procedures can also add to the shipping time. Ports with efficient customs operations may clear goods within hours, while others with stringent inspection processes might take days.

Expected shipping durations 

Although shipping times vary widely, here are some general guidelines that businesses follow: 

• Express shipping: This form of shipping generally takes 2-5 business days.

• Standard shipping: This can range from 7-15 business days.

• Economy shipping (sea freight): Depending on the destination, this can take 3-6 weeks.

External factors impacting delivery timelines

It's also important to consider external factors that might impact shipping timelines: 

• Weather conditions: Bad weather, such as storms or hurricanes, can delay shipments, especially those transported via sea or air.

• Political situations: Geopolitical tensions can result in border closures or increased inspections, causing delays.

• Global events: Events like the COVID-19 pandemic have shown how global crises can drastically affect shipping times, with delays due to port congestions, reduced air and shipping freight capacity, and labor shortages.

Understanding these variables can help you set realistic expectations for international shipping times and plan deliveries accordingly to improve your supply chain operations and keep your customers well-informed.

At a glance, the domestic and international shipping process consists of similar elements. Packages are picked up, transported, and delivered. However, a deeper dive reveals key differences that can significantly impact logistics, documentation, and legal requirements.

Here's a closer look at these aspects:

• Documentation: Domestic shipping typically involves minimal paperwork. You might need a simple shipping label and occasionally a packing slip. In contrast, international shipping requires a suite of documents. These may include commercial invoices, packing lists, and customs declarations. 

• Legal requirements: Domestic shipping adheres to straightforward national regulations, while international shipping requires compliance with both the rules of the origin and destination countries. This includes understanding Incoterms, import/export restrictions, and varying safety standards. Navigating these complexities often involves working with customs brokers or third-party logistics providers. 

• Logistics: Domestic shipping utilizes national carriers and routes in one country. In contrast, international shipping is more complex, requiring coordination across multiple carriers, varied transit modes (air, sea, land), and integration of cross-border infrastructure. Plus, dealing with customers in different time zones, language barriers, and tracking systems that span countries add layers of complexity. 

The role of customs and regulatory bodies

One major difference between domestic and international shipping is the role of customs. Customs authorities in the destination country inspect shipments to ensure they comply with local laws and regulations. They assess duties and taxes, scrutinize submitted documentation, and can even hold or reject shipments that don't meet specific criteria.

Experienced importers understand the importance of detailed and precise documentation and often maintain open lines of communication with customs officials to expedite processing. 

Overall, the fundamental goal of delivering a package remains the same in both domestic and international shipping, but the latter involves significantly more intricate procedures, stringent documentation requirements, and comprehensive legal oversight.

International shipping costs can be crucial in your decision-making process, whether expanding your ecommerce business or streamlining your supply chain operations. Several key elements come into play when determining these costs. 

Let's explore these elements briefly and how they impact shipping costs:

• Weight and dimensions: First, the weight and dimensions of your shipment are primary contributors. Carriers often use a pricing model called dimensional weight, which considers the package's size and actual weight. Larger and heavier shipments typically cost more to transport. 

• Destination country: The destination of the shipment also significantly affects the cost. The further the destination, the higher the shipping fee. Some regions have higher logistical and operational costs, which can result in steeper international shipping rates with PLs logistics. 

• Shipping speed: This is another critical factor. Express services such as DHL Express or FedEx International Priority offer faster delivery but at a premium price compared to standard shipping methods like USPS First Class International.

In addition to the basic shipping fee, there are several other potential charges to be aware of. Tariffs, taxes, and customs duties can add considerably to the total cost. 

These costs can vary depending on the destination country's regulations and the nature of the goods shipped. For example, items classified as luxury goods may attract higher duties. 

Tips for estimating shipping costs

Estimating shipping costs can feel like piecing together a puzzle, but a few straightforward steps can make the process clearer:

• Gather all essential shipment details, such as dimensions, weight, and destination, as these are pivotal factors in the cost calculation. 

• Utilizing online calculators provided by shipping carriers like FedEx, UPS, and DHL can streamline the estimation process.

• Websites like Freightos.com also offer comprehensive online tools for comparing rates across various carriers. Remember to factor in potential additional costs like customs duties, taxes, handling fees, and insurance to get a more accurate estimate. 

For those looking to simplify their shipping operations even further, partnering with an all-in-one service like Gelato can be beneficial. Gelato offers integrated solutions that estimate shipping costs and handle production and delivery for a seamless global shipping experience.

International shipping methods are the backbone of global commerce, offering various ways to transport goods across borders. Here are some of the critical methods used in international logistics:

Air freight 

Air freight is the go-to option for speedy delivery. It is ideal for shipping high-value or time-sensitive items. With a global network of air carriers, this method ensures goods are transported quickly, often within a few days. 

However, it's important to note that air freight can be more expensive than other shipping options. Its efficiency and reliability make it a popular choice for urgent shipments despite the cost. 

Sea freight 

This is the most cost-effective way to ship large volumes of goods. Containers are loaded onto large vessels and transported across oceans. While this method is cheaper, it takes longer—typically several weeks. 

Sea freight is suitable for non-urgent bulk shipments, and many widely use it for commodities such as electronics, clothing, and machinery. It is also deemed eco-friendly due to lower carbon emissions per ton of cargo than air freight. 

Ground transportation 

Ground transportation, which includes trucks and trains, is often used for cross-border shipments within the same continent. This method is essential to the logistics chain, especially for connecting ports and airports to final destinations. It offers flexibility regarding cargo size and transit times, making it a practical choice for regional distribution.

Emerging trends and technologies 

The shipping industry is not static; emerging trends and technologies continually reshape how companies transport goods internationally. 

• One such trend is Print on Demand (POD). With POD, producers manufacture and ship products only when a customer orders them. This method reduces the need for extensive inventories, minimizing storage costs and waste. 

• Another game-changing technology is real-time tracking through advanced GPS and IoT devices, which allows businesses and customers to monitor shipments closely, enhancing transparency and customer satisfaction. 

• Using Automated Guided Vehicles (AGVs) and drones for last-mile delivery is also becoming increasingly popular, promising even faster and more efficient logistics solutions. 

Businesses can better manage costs and delivery times by choosing the proper shipping method and leveraging new technologies, ensuring a smoother global supply chain.

When it comes to international shipping, understanding and complying with international shipping laws and regulations is essential. Here's why:

• Each country has its specific set of rules regarding importing and exporting goods. These regulations can include tariffs, customs duties, and import restrictions.

• Being well-versed in these laws can prevent significant delays, fines, and even the rejection of your shipments at the border. 

The need for appropriate packaging and labeling cannot be overstated. Proper packaging ensures your products arrive safely, no matter how long the trip or the handling conditions.

• Use sturdy materials, cushioning, and protective packaging, especially for fragile items.

• Additionally, international shipments need specific labels with details about the contents, sender, recipient addresses, and any necessary handling instructions.

Insurance and tracking are equally important for protecting your goods. Shipping insurance covers potential losses or damages during transit. This is especially important for valuable items or shipments moving through several checkpoints and countries.

Investing in tracking options lets you monitor your shipment in real time. This provides peace of mind and helps you give accurate delivery updates to your customers. Many shipping carriers offer advanced tracking systems that can alert you to problems or delays so you can address them quickly.

Expanding into global markets is an exciting venture, but understanding the ins and outs of international shipping is crucial if you want to transform your business operations from complex and cumbersome to streamlined and efficient. 

With proper knowledge and the right tools, you can optimize your global expansion efforts for a smooth journey, and this is where Gelato comes in handy.

Gelato offers advanced print on demand services that are both powerful and flexible with: 

• 130+ global but localized production hubs to reduce delivery times and costs.

• Smooth integration with major ecommerce platforms for hassle-free international selling.

• Eco-friendly production methods that align with today's sustainable business practices.

• Comprehensive support and management tools to streamline your operations.

What's more, Gelato has a vast catalog of customizable products, such as t-shirts, mugs, wall art, phone cases, tote bags, or photo books, that make designing and selling unique products to your international customers easier than ever!

Sign up for Gelato today and choose a subscription plan that's perfect for your needs to take your first step toward incorporating cutting-edge global shipping solutions!