Looking to ship freight across the Canada–US border? Learn how to do it efficiently and cost-effectively.
With the US importing goods worth over $412 million annually from Canada, it’s important to understand how shipping freight from Canada to the US can grow your business.
In this guide, we share the information you need for smooth Canada-US shipping operations, including cost reduction insights and the best freight forwarding services.
Let’s get to it.
TL;DR – How to Ship from Canada to the US
You can follow the steps below when shipping items from Canada to the US:
- Find the best freight forwarder
- Find the best carrier
- Pickup or move your goods from the supplier
- Prepare the necessary documentation
- Calculate your taxes and duties
- Include additional taxes and fees
- Clear your goods with US customs
- Arrange last-mile delivery
We’ll cover these steps in detail in one of the following sections.
Finding it stressful to ship freight from Canada to the US?
You need a reliable Canadian freight forwarder to help you work with suppliers, transport your goods, and deal with US customs.
As the best digital freight forwarding company for SMBs, we at Ship4wd provide innovative logistics solutions like digital customs clearance, guaranteed container space allocation, and round-the-clock real-time cargo tracking.
We’ll also discuss how our service can help your business leverage the Canada-US trading opportunity.
Join us today to ship from Canada to the US seamlessly and cost-effectively.
Significance of Shipping Between Canada and the US
Cross-border shipping from Canada to the US offers many benefits to businesses.
Here’s a quick overview of some of them:
- Business Growth Through Expanded Market: Your business can grow in leaps and bounds because you have access to different target US markets for your products.
- Risk Mitigation: By trading with the US, you spread your risks against market saturation and economic slowdowns in Canada. For example, if your product faces stiff competition locally, you can sell it to US markets where it is unavailable or available at high prices or poor quality.
- Possibility for a Different Range of Products: Even different markets in the US can have varying requirements, as customer preferences and behavior vary. If your product doesn’t work in one market, you can introduce a new range of your brand’s products to meet the needs of that market.
- Promoting Your Brand’s Cross-Border eCommerce: Canada-US shipping can endear your brand to the US market, boosting its cross-border eCommerce. You can attract more US traffic to your eCommerce website, especially if you list prices in US dollars, accept popular US payment methods, and handle returns and refunds.
Methods for Freight Shipping from Canada to the US
The method you choose to ship your freight depends on factors such as your timelines and budget, the nature and quantity of the goods, and the availability of the vessels.
You can choose from the methods below:
- Trucking: Road freight from Canada to the US is common with SMBs that often deal with less-than-truckload shipments. The method can be cost-efficient for non-urgent cargo.
- Rail: Transporting cargo by rail is ideal for large and bulk shipments. Typically, you have to use a multimodal transport approach, combining rail freight with trucking for final delivery. The method can be cost-efficient for large cargo, but it can be slower than trucking.
- Sea Freight: Sea shipping is ideal for large, non-urgent shipments. You can use either full-container load (FCL shipping) or less-than-container load (LCL shipping). The St. Lawrence Seaway is the fastest route, connecting Canada to US ports such as Chicago, Duluth, Milwaukee, and Detroit.
- Air Shipping: Shipping air freight is the fastest method, but it’s expensive. It’s ideal for time-sensitive shipments or those that require a fast turnaround.
Steps to Shipping Freight from Canada to the US
Here’s a closer look at the steps to follow when shipping goods from Canada to the US:
1. Find the Best Freight Forwarder
Start by choosing a reliable and trustworthy freight forwarder with coverage both in the US and Canada.
You can work with us at Ship4wd, given our experience working with businesses across the Canada-US route. We are a digital freight forwarding company focused on helping SMBs and eCommerce businesses ship their goods efficiently and cost-effectively.
We can do everything for you while you focus on managing your business. Alternatively, you can be more independent and use our digital dashboard to do everything on your own.
Sign up with us today to get started.
2. Find the Best Carrier
Once you sign up, start by searching and comparing shipping prices from Canada to the US on your Ship4wd dashboard to find the ideal carrier based on your budget and cargo volume.
3. Pickup or Move Your Goods from the Supplier
Arrange for us to collect the goods from the factory or your supplier and transport them to the designated port of exit.
4. Prepare the Necessary Documentation
Prepare complete and accurate shipping documents for both Canadian export customs and US import customs.
On the Canadian side, you’ll need a valid Business Number from the Canada Revenue Agency. You’ll also need a permit, license, or authorization if you are shipping restricted goods.
If your shipment requires a formal entry (valued at over USD 2,500 or more than CAD 3,300), you should prepare these documents for both Canadian export customs and US import customs:
- Packing list
- Certificate of origin
- Bill of lading (or airway bill for air shipping)
- Commercial invoice.
You’ll need an entry manifest for the US side, which your carrier fills out.
If your shipment is valued at over USD 2,500, you’ll also need a valid US Importer ID Number (Customs Assigned Number). You can get this number yourself or through your freight forwarder by submitting Form 5106 to the US Customs and Border Protection (CBP).
5. Calculate Your Taxes and Duties
Determine the due taxes and duties on the US imports side based on the correct tariffs and HS codes.
The Canada Tariff Finder can help you do this.
6. Include Additional Taxes and Fees
Check if any extra taxes apply to your shipment. For example, if you are shipping tobacco products or alcoholic beverages, they may attract excise taxes.
You will also have to pay customs clearance fees (customs handling fees) to the CBP.
7. Clear Your Goods with US Customs
Pay all the applicable customs duties, fees, and taxes so the CBP can release your goods.
8. Arrange Last-Mile Delivery
Plan to have the cleared goods transported to the final destination, which could be the recipient’s indicated address, business premises, or preferred warehouse.
While these steps may sound simple, they can be overwhelming.
In some cases, you may be required to hire a customs broker. The CBP requires you to have a customs broker for every formal or commercial shipment valued at over USD 2,500.
As mentioned, working with a digital freight forwarder can simplify shipping and customs clearance processes. At Ship4wd, we do more than oversee transportation. We also double as customs brokers and can help expedite the customs clearance process.
Register with us for free today to optimize your Canada-US shipping operations.
Major Challenges in Canada–US Shipping
Now that you know how to ship from Canada to the United States, let’s consider some common challenges you might encounter:
- Customs Clearance Delays: You may struggle with delays in customs clearance on the Canadian or US side. These delays disrupt the supply chain and can lead to cargo delays, financial losses, and customer dissatisfaction. The solution is to use a good freight forwarder for customs brokerage.
- Lack of Real-Time Cargo Visibility: Most carriers and traditional freight forwarding companies do not offer real-time cargo tracking and updates. Without these, you may not be able to mitigate uncertainty and risks. At Ship4wd, we provide round-the-clock cargo visibility so your mind is at ease throughout the process.
- Trouble Finding and Coordinating Multiple Carriers: It’s difficult to find and coordinate multiple carriers for the same or different shipments, especially for intermodal or multimodal transport methods. A freight forwarder can connect you with the best carrier and act as a single point of contact between you and all other stakeholders.
- Complex Customs Regulations and Compliance: Both US and Canadian customs clearance processes have their own tariffs, rules, and documentation requirements. Staying compliant can be difficult without the help of a trusted freight forwarding service.
Tips to Optimize Shipping Costs from Canada to the US
The cost to ship from Canada to the US is usually a major concern for most SMBs.
Let’s check out some ways to reduce your international shipping costs:
- Compare Shipping Quotes: Always obtain and compare shipping rates from different carriers. You don’t necessarily have to choose the cheapest shipping rate from Canada to the US because you must also consider the timing and other factors.
- Optimize Packaging: Ensure your package has the proper size and weight by removing unnecessary packaging material.
- Consolidate Shipments: Combine orders into one package or shipment to reduce per-item shipping costs.
- Take Advantage of Trade Agreements: Depending on what you are shipping, you can avoid taxes and duties by using trade agreements like the United States-Mexico-Canada Agreement (USMCA).
- Leverage Cargo Insurance: Use comprehensive cargo insurance to avoid the financial losses caused by cargo loss or damage.
- Choose the Right Shipping Method: Using the wrong method can be costly. For example, using air freight for a large, non-urgent shipment can cost you more.
Get Reliable Canada-US Shipping Services with Ship4wd
Success in your international business requires choosing the right shipping and logistics partner.
Ship4wd stands out as the best partner for all your Canada-to-US shipping needs for several reasons:
- We are the only freight forwarding company that guarantees container space allocation to SMBs regardless of their cargo volume.
- We offer different shipping methods, including air shipping and sea freight.
- We provide efficient, fully digital customs brokerage services.
- We offer additional services such as pre-shipment inspections, cargo insurance, 100% cargo visibility, and credit payment terms.
- We have real, experienced shipping and logistics professionals who are always ready to help you plan shipments, track them, and address all your concerns.
- We deal with risks proactively to minimize the chances of delays or losses.
- We lock guaranteed prices up to 14 days for LCL shipments or 45 days for FCL freight.
- We provide end-to-end solutions that include cargo pickup and door-to-door delivery.
- Our pricing is transparent and has no added costs or hidden fees.
We are a one-stop shop for SMBs and eCommerce businesses looking to ship cargo efficiently and cost-effectively between Canada and the United States.
Sign up with Ship4wd today for a seamless cross-border shipping experience.
Frequently Asked Questions (FAQs)
Have additional questions about shipping from Canada to the US? We have the answers you need:
How Long Does Shipping From Canada to the US Take?
Shipping from Canada to the US typically takes 1-7 days. For air freight, it’s usually 1-3 days. The duration can be 10-14 days if US Customs holds your goods longer.
You can ship faster by working with a freight forwarder, using expedited services, providing accurate customs documents, and shipping during off-peak times.
Are There Any Restrictions on What I Can Ship from Canada to the US?
You are restricted or prohibited from shipping some goods to the US, especially those that may be a risk to the environment, public health, and safety.
The US restricts the entry of firearms, animal products, some animals, and certain fruits and vegetables.
Here’s a full list of various restricted and prohibited goods.
How Much Is It to Ship from Canada to the US?
The cost of shipping from Canada to the US varies significantly, depending on the type and quantity of goods, mode of transport, carrier or freight forwarder, and time of the year.
You can always estimate shipping costs using our freight forwarding cost calculator.
What’s the Cheapest Way to Ship from Canada to the US?
Sea shipping remains the cheapest way to ship large cargo from Canada to the US for large cargo with flexible delivery timelines.
Conclusion
While shipping from Canada to the US is an excellent way to leverage the vibrant trade between the two countries, you must overcome many challenges to succeed.
You’ll need the help of a reliable freight forwarder to deal with complex customs regulations, customs clearance delays, high shipping costs, and more.
Ship4wd is the best shipping partner for the Canada-US route given our unique logistics solutions, such as guaranteed container space allocation and lock-in prices for sea freight.
We have experienced logistics and shipping experts who are always ready to help you with all your needs.
Create a free Ship4wd account today and start shipping efficiently and cost-effectively across different countries.