What DDP Shipping Means and Why Your Customer Never Sees a Customs Bill

What DDU actually costs your customer

Under DDU, someone has to do the homework: find the destination country's HS code for the product, look up its duty rate, add that to the shipment's value and freight cost, then work out VAT on top of the total — and some carriers add their own processing fee for handling it. Most buyers never do that math themselves. They open the door, see a bill, and blame you, not the customs office.

That's the real cost of DDU. Not the tax itself — the surprise.

The bill often arrives after the parcel does. A courier can advance the duty to customs to keep the shipment moving, deliver the box, and invoice the receiver afterwards.

Low value used to be a way out of this. It isn't any more. For the United States, the exemption that let parcels of 800 dollars or less come in without a formal entry has been suspended indefinitely. The Federal Register notice says it plainly: "all entries of merchandise valued at $800 or less arriving through all modes other than the international postal network must utilize formal or informal entry procedures." (Vol. 91, No. 120, p. 37789, 19 CFR Part 10, docket USCBP-2026-0760.) A cheap parcel now goes through the same entry as an expensive one.

Where DDP comes from, in plain words

DDP is one of the Incoterms — the standard trade terms published by the International Chamber of Commerce that define who does what in a shipment. Delivered Duty Paid is the version with maximum obligation on the seller: transport, export clearance, import clearance, duty, tax, all of it sits on the shipper's side. The buyer has one job, opening the door.

DDU isn't in the current list at all. The International Chamber of Commerce replaced it with DAP in the 2010 revision, and the trade kept saying DDU anyway. DAP means delivered at place: the goods arrive, and the duty is still the buyer's problem.

Most of the other terms exist for big freight between companies with their own customs brokers. For a parcel going to a normal person's house, most of that list is noise. The real choice is the one at the top of this page: does the receiver get a bill, or not.

When DDU is fine, honestly

If you're shipping a pallet to a business that clears imports every week, DDU works — they have a broker, they know their HS codes, the invoice surprises nobody. That's what DDU was designed for.

E-commerce parcels to consumers are the opposite case, which is why our eBay and Etsy sellers ship this way. The receiver has no broker, no account with customs, and no idea what an HS code is. Every step you leave on their side of the fence is a step that can go wrong with your name on it.

Who actually clears the shipment

Someone has to be named as the importer. That's the legal role: whoever is on record answers for the declared value, the classification and the duty.

We offer an Importer of Record service, so the customs paperwork on arrival is handled under our name, not tracked back to your customer.

We take care of all the permits ourselves, as part of the service, live plants included. No import permit is required from the customer. Please get in touch if you need this service.

How fast, and what can go wrong

Clearance is generally same day once the shipment is presented. Delays are extremely rare. In the case of a problem, we get the shipment out as soon as possible.

A few days in customs is not a lost parcel. Paperwork gets checked against what was declared, some shipments are pulled for inspection at random. What stretches it out is usually a description that doesn't match the contents, or a declared value that doesn't match the invoice. The worry starts when tracking sits on the same status for a week with nobody asking you for anything.

When a delay does happen, it's usually customs, weather, an incorrect address or a third party outside anyone's control, and we don't guarantee a refund for it, as set out in our refund and cancellation policy. If you think any delivery is likely to be delayed, please let us know as soon as you can.

How the fee is calculated

We charge based on the weight and dimensions of the box, then quote it for the destination country. The fee also includes all courier or postage costs.

Dimensions matter as much as the scale does. A box is billed on whichever is greater, its actual weight or the space it takes up in the hold.

Declared value is the other half of the sum, because duty is worked out on it.

No hidden fees, no remote area surcharges. All costs are included in the final price.

We have a one price for all customers policy. We don't offer discounts.

Why this works out cheaper than doing it yourself

We're generally cheaper and faster than the post office, duty and tax already included. That's not new: we've been running international logistics out of Thailand for over 30 years, under the same management team for most of it. The full story is on our about page.

Talk to us before you ship

Tell us what's in the box, where it's going, and we'll quote it. Office +66 2656 9019, or info@dragoncourier.com. Drop-off is until 17:00, Monday to Saturday, at the Bangkok office on Sukhumvit Soi 4 or the Chiang Mai office on Viangbua Road, and a pickup can be arranged for a date and time that suits you.