Anyone ever have issues with US Customs and Fed Ex?

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Darbotek
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Thu Dec 17, 2020 12:28 pm

I have two packages coming in from a package forwarder in Japan. One is out for delivery and the other is held up in customs. Fed Ex called me this morning saying they needed to know what the items are made of and that they need the Manufacturer ID or addresses of all the different manufacturers. I emailed back explaining that all the items in the box are made of clay and that since they are all artists/potters, their address would most likely be their home and I have no way of getting that info. Surely there has to be some sort of exemption for art. How can art have a Manufacturer ID?

The only thing I can think is that they flagged it since it was a larger box(FWIW, From Japan packs things very well), they think I am an importer or something. I haven’t heard back but I am quite worried. I really don’t want it to be shipped back to Japan, where I will have to pay for them to probably split the order into smaller boxes and pay for shipping again.

I ordered a bunch of incense too, but surprisingly that’s in the box being delivered today. I thought for sure that’s what flagged it initially.
Last edited by Darbotek on Thu Dec 17, 2020 12:30 pm, edited 1 time in total.
DailyTX
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Thu Dec 17, 2020 12:59 pm

I had a similar situation with DHL. After a few days of research, packages exceed $2500 in value may have import fee from US custom. Big shipping companies like fedex, ups, DHL sometimes will proactively ask for info to clear the custom before the package has landed. Those company also will randomly audit their packages depended on your luck. And of course the US custom can also open your package and ask for more info if they have suspicions. From what I understand, one of the above cases or the shipper didn’t fill the import paper work correctly. When you purchase goods over sea, you are consider an importer...
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Darbotek
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Thu Dec 17, 2020 1:27 pm

DailyTX wrote:
Thu Dec 17, 2020 12:59 pm
I had a similar situation with DHL. After a few days of research, packages exceed $2500 in value may have import fee from US custom. Big shipping companies like fedex, ups, DHL sometimes will proactively ask for info to clear the custom before the package has landed. Those company also will randomly audit their packages depended on your luck. And of course the US custom can also open your package and ask for more info if they have suspicions. From what I understand, one of the above cases or the shipper didn’t fill the import paper work correctly. When you purchase goods over sea, you are consider an importer...
I did read that a larger box will sometimes increase a chance of a random audit, so that may be it. Or it could be the paperwork. Because it has definitely landed, it was starting to make its way through the Memphis processing center and its less than $2500.

I guess i meant an importer for commercial purposes, instead of personal, but I assume they really have no way of knowing that.

Here’s hoping!
DailyTX
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Thu Dec 17, 2020 2:13 pm

Darbotek wrote:
Thu Dec 17, 2020 1:27 pm
DailyTX wrote:
Thu Dec 17, 2020 12:59 pm
I had a similar situation with DHL. After a few days of research, packages exceed $2500 in value may have import fee from US custom. Big shipping companies like fedex, ups, DHL sometimes will proactively ask for info to clear the custom before the package has landed. Those company also will randomly audit their packages depended on your luck. And of course the US custom can also open your package and ask for more info if they have suspicions. From what I understand, one of the above cases or the shipper didn’t fill the import paper work correctly. When you purchase goods over sea, you are consider an importer...
I did read that a larger box will sometimes increase a chance of a random audit, so that may be it. Or it could be the paperwork. Because it has definitely landed, it was starting to make its way through the Memphis processing center and its less than $2500.

I guess i meant an importer for commercial purposes, instead of personal, but I assume they really have no way of knowing that.

Here’s hoping!
@Darbotek
If it’s less than $2500, you probably don’t need to worry about import tax. Sometimes, it can also be an automatic message. For my case with DHL, it was the Thanksgiving week, the import department was impacted with large quantity of packages. My package spent Thanksgiving at custom, and it was release shortly after the holiday.
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YeeOnTeaCo
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Thu Dec 17, 2020 5:45 pm

From our experience sending DHL, FedEx or UPS, you'll be more often than not paying for import tax.

I do believe these larger courier companies have their own customs clearance departments, hence the tighter screening and they do charge a fee ontop of import tax for the clearance work.....so they have an incentive to do so. :(
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Darbotek
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Thu Dec 17, 2020 8:27 pm

DailyTX wrote:
Thu Dec 17, 2020 2:13 pm
Darbotek
If it’s less than $2500, you probably don’t need to worry about import tax. Sometimes, it can also be an automatic message. For my case with DHL, it was the Thanksgiving week, the import department was impacted with large quantity of packages. My package spent Thanksgiving at custom, and it was release shortly after the holiday.
Unfortunately it’s definitely an automatic message. It was a phone call asking me to email the info or they will mail it back :(
YeeOnTeaCo wrote:
Thu Dec 17, 2020 5:45 pm
From our experience sending DHL, FedEx or UPS, you'll be more often than not paying for import tax.

I do believe these larger courier companies have their own customs clearance departments, hence the tighter screening and they do charge a fee ontop of import tax for the clearance work.....so they have an incentive to do so. :(
If it costs less than having to ship it again if they mail it back, I’m ok with that lol. It would be my first time ever paying an import tax though.
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pedant
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Thu Dec 17, 2020 9:50 pm

i know a thing or two about this, but i don't have the whole picture.

for example, what's in the package? what's the declared value? what was it declared as?

get back to them asap. they don't wait long at all to send it back, and then you'll have to pay for shipping again.

obviously there is no mfgr id.
as for mfgr address, just give them whatever you can.
if it's tokoname ware, just give them this address:

Tokoname Ceramics Hall
3-8 Sakaemachi Tokoname, Aichi 479-0836, Japan
+81569352033

https://goo.gl/maps/vLQtEFtAE4X3MH746

explain that it's a small but highly recognized artist with no public address, but this ceramics center has represented them, and that's the best you can give them.
tbh, any random address you give them in japan is likely ok for their purposes. it's just bureaucratic nonsense, and they need to fill something in when they do an actual inspection.

as for taxes and how to declare...

if it's a teapot, it should imo be declared as:
9703.00.0000 Original Ceramic Tea Pot Sculpture

9703.00.0000 is the HTS code for "Original sculptures and statuary, in any material"
this is assessed as tax-free. it's for original, non-mass-produced works of art.

however, the rub is that works falling under 9703 are not supposed to be of commercial character, meaning that they are not supposed to be functional objects. for example, a handmade dinner plate made by a famous artist may not be eligible. similarly, a functional teapot is possibly not eligible. however, i've never seen anyone called out on a 9703 teapot declaration. i don't think it's been ruled on yet. basically, the artistic character of the object has to dwarf its utilitarian character for it to fall under 9703.

consider this paragraph from ruling HQ 963158:
HQ 963158 wrote:Accordingly, counsel is of the opinion that articles of utility are not excluded from heading 9703.00.00, HTSUS, and/or, that even under interpretations of the courts and Customs for item 765.15, TSUS, articles of utility were not excluded if the artistic character became “so compelling that the utilitarian achievement of the artisan is lost in the realized sentiment of the artist”, quoting U.S. v. Olivotti, 7 Ct of Cust. Appls. 46, T.D. 36309, (1916).
although you won't pay tax, you will pay a Merchandise Processing Fee (MPF).
this fee gets triggered upon inspection and has a rate of 0.3464% ad valorem (of the declared value), or $27.23, whichever is greater.
and then on top of that, you'll probably have to pay some bs convenience fee to fedex for handling the payment. figure around $15.

do you have any other specific questions?
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Darbotek
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Thu Dec 17, 2020 10:52 pm

Contents are 3 cups, 4 houhin and 1 kyusu. Value is around 800 I think and I don’t have them fudge the declared value at all. I was going to check the other box I received today, to see what From Japan listed the contents as, but there is no customs form on it.

No, that is a huge help thank you so much. I’ll shoot her a follow up email with that address, it’s mostly Bizen and Shiga/Iga but I don’t think that really matters.
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Darbotek
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Wed Dec 23, 2020 10:11 pm

Thank you so much Pedant, that address did it. I ended up having to call, but it got handled and my tea ware is safe and sound, here at home.
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