How exactly import duties work in dropshipping through Amazon?

#1

To my understanding, a typical dropshipping workflow with i.Materialise through Amazon would go like this:

  1. Register as a seller on Amazon for the marketplace of a given region, for example, Australia, or UK.
  2. Collect orders from the marketplace. Include import duties for the respective region on the price of the item to cover related costs.
  3. Place orders for my own products on i.Materialise, using the customer’s shipping address.
  4. Pay applicable import duties to…?

Who would I pay import duties to? i.Materialise, Amazon, or the country’s customs?

#2

Hello,

Import duties are collected by a country’s customs authorities.

There are no duties or import taxes for orders sent to countries in the EU. For other countries, except for the UK, duties or import taxes are not included in the cost of shipping. For the UK, the import is done by our daughter company Meridian Technique Ltd. We handle the administration directly with the UK authorities and shipping companies. All the import costs involved will be included in the price during the checkout process.

Drop shipping is one of the options that can be enabled for your orders if you set up a partnership with i.materialise. Following the link below you can find information about types of partnership we offer: https://imaterialise.helpjuice.com/general/partnerships

#3

Thanks for replying.

To further clear up some questions:

A) Supposing I setup option 1 from your link, a manufacturing partnership, the import duties - if any - will be already included on the price of the item that I order on i.materialise?

B) This included value in option 1 would vary by country of destination?

C) I imagine that if B is true, the price that I set up on Amazon would need to be flexible to cover the variability per country of destination, unless I go for option 2 – white label integration - and handle that variability through your API. Is that correct?

D) In any case, would there be any further action needed from my part with the shipping companies or the country’s customs after ordering the item on i.materialise or sending the order through the API, or is that handled by i.materialise alone?

#4

Hello,

Import taxes will be included in the cost of shipping only for UK orders. This will not change if you set up a partnership with i.materialise. You can ship to a different address than your own without setting up a partnership.

We ship worldwide, but different countries have different import rules that are also subject to change. We recommend contacting the customs office in the country of destination for more information about applicable duties or taxes. You can find more information in the following article in our help center: https://imaterialise.helpjuice.com/ordering-shipping/duties-import-tax

#5

I understand.

According to Amazon’s terms, I am responsible to pay import duties on behalf of buyers if they purchase an item on the same marketplace as their own residence, as I would be regarded as the importer of record. If an American buys on Amazon.com, for example, then import duties must be paid by me, since the product will be coming from Leuven, Belgium, not from a source inside of the US.

As such, once an order is placed on i.materialise, with the American customer’s address as a destination:
A) Do I pay import duties through UPS, or directly to the US’s customs?
B) Will I be provided an identifier by i.materialise through which I can access the pending payment for a particular item shipped on UPS or the US’s customs websites?

#6

Hello,

We will send you an email with tracking information once your order is shipped. You will also receive shipment progress updates. You will be notified if you need to pay any duties, fees or taxes before the shipment can be delivered. Payment can be made on the UPS website.