Explore new market opportunities by learning how to ship from the US to the UK and exploring recent trade regulations
As the sixth-largest economy in the world, the United Kingdom is a great country for growing your business. For eCommerce brands, shipping from the US to the UK unlocks new opportunities but also comes with a few challenges. Keep reading to learn how to optimize your eCommerce fulfillment operations and expand your business across the Atlantic.
Benefits of shipping to the UK
While there’s an entire ocean between the US and the UK, both countries have long traded with each other. UK customers regularly shop online and are similar to US customers in many ways. Here are a few reasons why selling in the UK is great for your business:
Expand to new markets: The UK, which comprises England, Scotland, Wales, and Northern Ireland, is home to some 68 million people. Most of the UK population enjoy high income compared to the rest of the world and, like the Americans, they like to spend!
High demand for online shopping: The UK is a very lucrative eCommerce market. Recent estimates suggest that nearly 50 million people have done online shopping.
Similar peak periods: Like the Americans, British customers love to spend during the holiday season. Holiday spending in the UK is projected to reach $125 billion this year.
Similar language: Even with the quirky differences between US and UK English – like fulfillment center vs fulfilment centre or pants vs trousers – it’s still the same language. So, when shipping to the UK, there’s no need to translate your store page, hire bilingual support staff, or rewrite product descriptions.
Which carriers ship from the US to the UK?
As a primary market for eCommerce sellers, most global carriers ship to the UK. You can choose between UPS, FedEx, DHL, and USPS to deliver your packages. If you’re wondering how long it takes to ship a package from the US to the UK, the table below highlights key options for comparison.
Carriers and delivery times for shipping to the UK from the US:
| Carrier | Service | Delivery Time (Business Days) |
| UPS | Worldwide Expedited | 2 – 5 |
| UPS | Worldwide Saver | 6 – 10 |
| FedEx | International Priority | 3 – 5 |
| FedEx | International Economy | 6 – 10 |
| DHL | International Express | 3 – 6 |
| USPS | Priority Mail Express International | 3 – 5 |
| USPS | Priority Mail International | 6 – 10 |
| USPS | First-Class International Service | 11 – 20 |
- UPS
United Parcel Service, or UPS, is one of the largest US carriers and a good option to ship from the US to the UK. With a large logistics network, the carrier can ship packages to the United Kingdom in as fast as 2 days. They have a reliable tracking system to stay informed about where your parcel is located. However, UPS is known for being expensive, especially if you’re sending heavy shipments over 10 pounds.
- FedEx
FedEx (Federal Express) is another global carrier with a strong presence in the United States. Ecommerce brands looking to ship products to the UK from the USA can enjoy flexible delivery times. As a long-time rival of UPS, FedEx offers comparable pricing and ships parcels within similar delivery times.
- DHL
The German logistics giant DHL is another great carrier for express international shipping from the US to the UK. Despite its US logistics network not being as wide as other carriers, DHL has a much stronger presence in the UK and Europe. DHL can ship your products to the United Kingdom in 3 – 6 business days.
Due to its limited presence in the United States, online sellers often need to bring the packages to a DHL location in order to ship them. However, if you’re working with a USA fulfillment company, DHL comes to the fulfillment center of your 3PL and collect your packages, making it much more convenient.
- USPS
United Parcel Service, or UPS, is one of the largest US carriers and a good option for shipping to the UK. Renowned for its cheap shipping rates, the delivery time is usually longer. In addition, USPS doesn’t have the same robust tracking systems available as other carriers, so keep that in mind.
Shipping to the UK: Taxes, tariffs, and regulations to consider
After Brexit, which saw the UK leaving the European Union, shipping to the United Kingdom has introduced new complexities, particularly around regulatory requirements. To expand your business in the UK, here’s what you need to know regarding taxes, duties, and regulations.
Import duty
After you ship from the US to the UK, you’ll need to pay an import duty before the shipment enters the UK. The duty depends on the type of products and their declared value, but it’s generally between 0% and 12%.
When shipping individual parcels directly from the US to the UK, you have an opportunity to import your products duty-free. If the value of the parcel is less than 135 British pounds, it may pass customs without the need to pay duties. This can happen when you keep inventory and eCommerce fulfillment operations in a USA warehouse.
Value-added tax
VAT is another thing to consider when shipping to the UK from the US. VAT in the UK is high, reaching 20% on common items, such as clothes and electronics. Uncommon items like children’s clothing and books, often have a lower VAT, ranging between 0-5%.
Paying VAT and duties in the UK
As a US business, you are required to register for a VAT number and create an account on HM Revenue and Customs (HMRC), the UK government body that handles taxes, payments, and customs. Creating the account is a simple process. Once ready, you can pay VAT and duties on products imported from the US to the UK.
Updating your international shipping policy
As an eCommerce business, maintaining a transparent international shipping policy is essential for building trust with customers. When you start shipping from the United States to the UK, it’s important to provide clear information about who – you or the buyer – will pay VAT and duties on the order.
One of the top reasons for cart abandonment is that customers find the additional fees too high. So it’s better to let buyers know in advance about what they will be required to pay.
Alternatively, you can opt for Delivered Duty Paid (DDP), a process in which the seller pays for all costs related to shipping and taxes. To recover some or all of this cost, eCommerce retailers often increase the price of the product.
Key challenges when shipping from the US to the UK
Shipping from the US to your UK customers across the ocean is no easy feat. You’ll need to consider the high shipping costs, taxes, and duties. The long distance results in longer delivery times and the UK’s unpredictable weather in some areas can also make delivery more challenging. However, selling in the UK still offers a great opportunity to grow your business in a way that can offset the additional costs.
Turn challenges into opportunities with Lansil Global
Entering a new market can be intimidating. If you’re a US business trying to ship to the UK, there are various factors that you need to consider. Breaking into new markets, however, can be much simpler once you work with people who know how to get things done.
This is where Lansil Global comes in. As an eCommerce fulfillment company with warehouses across Shenzhen, Nevada, and Pennsylvania, we’re well-suited to help businesses like you venture into new markets.
If you’re looking to sell to UK customers, our team can help you ship directly from our US warehouses without the need to keep a large inventory in the UK.
Let’s discuss how to help you grow overseas by connecting with our fulfillment experts.
