Two "duties paid, door to door" quotes: why you cannot just compare the totals
Answer
Two quotes with the same label can cover very different things. Put five items side by side before comparing price: scope (from where to where), how weight is charged, filing arrangement (who is importer of record and what value is declared), routine versus exception fees, and validity. The cheapest total often comes back as surcharges.
- Applies to
- Buyers and sellers comparing DDP or "duties included" quotes for small shipments into the US and similar markets.
Five things to check
| Item | Ask | Why it matters |
|---|---|---|
| Scope | Pickup and delivery points; first-mile and last-mile included? | Different scope, different price |
| Weight | Actual or volumetric; divisor; minimum chargeable weight | Big difference for light, bulky goods |
| Filing | Who is US importer of record; declared value; whose bond | The importer bears primary duty liability (19 CFR 101.1) |
| Fees | Duties, Section 301, processing fee included? Exam, storage, return, amendment fees? | Most surprise bills come from here |
| Validity | How long the quote holds; excluded goods; who pays if rates change | Rules change fast |
Checklist to send your forwarder
- Itemize freight, duty, Section 301 duty, processing fee and filing fee.
- List what is not included: exams, holds, returns, destruction.
- Who is the importer of record, and whose bond is used?
- What value will be declared? Will my invoice be changed?
- Who pays if rates change or CBP reassesses value?
- Until what date is the quote valid?
Warning signs
- Asked to under-declare value or change the description.
- Cannot say who the importer of record is.
- Only a single total, no breakdown.
These are reasons to pause and verify, not proof of wrongdoing.