The International Trade Blog arrow Export Compliance

What You Need to Know About Exporting Samples and Repaired Goods [Webinar Recap]

On: October 16, 2024    |    By: Kari Crane Kari Crane    |    3 min. read

What You Need to Know About Exporting Samples and Repaired Goods [Webinar Recap] | Shipping SolutionsExporting would be easier if all you had to do was take an order from a foreign customer, ship the goods and then forget about them. However, the sales process often requires more attention, especially when potential customers want to see samples before placing orders or when goods need repairs after shipment.

In our recent webinar, What You Need to Know About Exporting Samples and Repaired Goods, we explored the complexities of documentation and compliance for handling samples and repaired goods in international trade. (If you missed the live session, don’t worry—you can watch the recording here.) 

Led by industry expert Robert P. Imbriani, who has over fifty years in transportation and logistics, the session covered what you need to know to make these processes as inexpensive as possible and to avoid delays in shipping, handling, customs clearance and return. Here's a clip from the session, where Bob explains Schedule B classifications for warranty repairs: 

Other Key Takeaways

  1. Understanding Samples: Bob defined what constitutes a "sample" from a customs perspective. True samples must be unsuitable for their intended use, such as mutilated items or mock-ups. Incorrect classification can lead to customs delays or penalties.
  2. Proper Documentation: All shipments, including samples and warranty repairs, require a properly completed commercial invoice. Many exporters mistakenly use proforma invoices when no charges are applied. It's crucial to maintain compliance by accurately reflecting the nature of the transaction.
  3. Valuation Matters: The valuation of samples and repaired goods should be consistent and defensible. Whether reporting the material cost or fair market value, consistency is key to avoiding issues with customs.
  4. Harmonized Codes: Bob explained special harmonized numbers in the Schedule B that should be used if you are repairing and then re-exporting goods.
  5. The Risks of Noncompliance: Exporters may face serious consequences, including customs inspections, penalties or even detention if they do not follow the proper protocols.
  6. Minimizing Duties and Taxes: The webinar outlined ways to legally minimize or avoid additional duties and taxes when sending samples or importing repaired goods. Proper procedures can help manage costs and complications in the import-export process.

Free Trial Subscription: Find the correct HS codes for your products.

This quick recap only scratches the surface of the insights shared during the webinar. If you missed it, I encourage you to watch the recording for a deeper understanding and more detailed guidance on navigating these situations.

Watch What You Need to Know About Exporting Samples and Repaired Goods here.


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Kari Crane

About the Author: Kari Crane

Kari Crane is the editor of Passages: The International Trade Blog. Kari joined Shipping Solutions after working as an editor, writer and designer at a major market newspaper in Texas. Kari has spent her career finding different ways to tell stories and make complex topics easy-to-understand, so she loves helping importers and exporters understand how to navigate the complex world of international trade.

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