Critical Legal Considerations for International Parcel Shipping

Critical Legal Considerations for International Parcel Shipping

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International parcel shipping and parcel carrier services were well on their way to becoming a driving force in the world’s economies before worldwide disruption and shutdowns threw the entire supply chain into disarray. In light of that upheaval and the ongoing recovery, these transportation services are more vital than ever to the global supply chain. Several different regulatory standards, as well as liability and parliamentary rules, govern international parcel delivery services. Shippers need to know these rules and consider them carefully.

Why Legal Protocols and Regulations Exist for International Shipping and Transportation

 Like any other international agreement or collaboration, international parcel shipping requires careful balancing of both sides and parallel needs and goals. These legal protocols and regulations are necessary because there is so much growth and expansion potential within this global supply chain and international shipping industry. Depending on a country’s specific laws, established shipping regulations, and financial plans, local agencies may apply strict guidelines to ensure a fair and balanced trade and shipping process.

Keeping up with international parcel delivery regulations can ensure shippers can legally capitalize on the potential growth of the global shipping market. And these trends have held out over the past two years as e-commerce remains a booming industry and shipping and freight network transportation demands from consumers also remain higher than ever. 

Summary of Legal Terms for International Parcel Shipping

 International parcel shipping allows transportation service providers to capitalize on unique and innovative trans-continent and global services options. Everything from hub injection to zone skipping shipping options are easier to attain when logistics and shipping managers understand the legal terms and processes that govern international delivery and parcel transport. Some of the need-to-know terms include:

Contracting

Freight contracts is the legal agreement established by two or more parties. For most international shipments, the terms outlined in INCOTERMS rather than the Uniform Commercial Code (UCC) usually are held as the governing legal terms. The United Nations Convention on Contracts for the International Sale of Goods (CISG) can also apply to shipments.

Cargo Liability

Another critical area of International parcel shipping is the liability terms shippers must adhere to during the transportation process. There will be different levels of viability and responsibility applied to shippers and end customers. Terms and cargo liability levels can also vary depending on the value of the goods, point of origin, final destination, and transportation modes. 

Hazmat

Also commonly known in the industry as hazard loads, the shipment of hazardous materials usually applies to transporting and transporting anything deemed “dangerous goods.” For international shipping, additional rules must be adhered to along with basic U.S. regulations, as international parcel delivery of hazardous materials can vary greatly. 

Customs and Trade Laws

Another area of regulation that often comes into play for parcel shipping overseas and across borders is customs and laws regarding international trade. All goods going into or coming out of a particular country can fall under that country’s customs and trade regulations. Importers and exports should expect to pay a wide range of taxes, fees, other duties, and surcharges.

International parcel delivery is part of the integral system that makes up the global supply chain. Detailed insight into 2022 planning services and beyond is vital for global supply chain collaboration and partnerships in the industry. As a result, they are governed by many different international laws and regulations that shippers must consider and ensure compliance with every load they ship.

Compliance With International Parcel Delivery Services Requirements Is Essential for Ongoing Growth

 International parcel shipping has seen unprecedented levels of growth over the last few years in light of massive shifts in consumer habits and economic fluctuations. According to Chain Storage Age’s end of 2020 review of the Pitney Bowes Parcel Shipping Index data from 13 major markets worldwide, “global parcel volume reached 131.2 billion in 2020. This equates to 4,160 parcels shipped per second, an increase of 27% year-over-year. On average, each person around the globe generated 34 parcels during 2020. Looking ahead, the Index estimates parcel volume could reach 232 billion, or as high as 303 billion, by 2026.” International parcel delivery relies on shippers making the right choices and implementing the right services, which is possible with data-backed decision-making and innovative transportation insights. Ongoing growth and recovery of domestic and international markets hinge on the ability of shippers to manage legal protocols and processes effectively. Such attention is essential given the rising concern of new COVID variants and strains threatening new waves of shutdowns and disruptions. 

Partner With the Right Company to Improve International Delivery Success and Regulatory Compliance

With international parcel delivery demands still higher than ever, shippers need to know the crucial legal considerations and aspects that significantly impact global shipping. International parcel shipping requires careful planning and care of domestic and international laws and regulations that govern the movement of goods, whether by land, air, or sea. With a better understanding of these processes, shippers can quickly master critical functions such as anomaly detection and reactive shipping protocols with actionable insights and data-driven insights. See how an industry expert can make auditing and compliance simple and easy. Contact Intelligent Audit today to learn more about international delivery and what legal processes are involved.

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