{"id":3685,"date":"2021-10-11T05:16:50","date_gmt":"2021-10-11T05:16:50","guid":{"rendered":"https:\/\/new.rithum.com\/blog\/uncategorized\/international-marketplace-shipping-whats-changed-whats-coming\/"},"modified":"2025-08-08T16:22:12","modified_gmt":"2025-08-08T16:22:12","slug":"international-marketplace-shipping-whats-changed-whats-coming","status":"publish","type":"post","link":"https:\/\/www.rithum.com\/blog\/international-marketplace-shipping-whats-changed-whats-coming\/","title":{"rendered":"International Marketplace Shipping: What\u2019s Changed, What\u2019s Coming"},"content":{"rendered":"<span class=\"span-reading-time rt-reading-time\" style=\"display: block;\"><span class=\"rt-label rt-prefix\">Reading Time: <\/span> <span class=\"rt-time\"> 3<\/span> <span class=\"rt-label rt-postfix\">minutes<\/span><\/span><p><span style=\"font-weight: 400;\">Krish Iyer, Head of Industry Relations and Strategic Partnerships at ShipStation, recently spoke at <\/span><a href=\"https:\/\/connect.rithum.com\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">Rithum Connect<\/span><\/a><span style=\"font-weight: 400;\"> about the changes taking place in international marketplace selling. <\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">His talk <strong>\u201cInternational Marketplace Selling 2021 and Beyond: What Happened in 2021 That Affects You This Year and Beyond?\u201d<\/strong> can be viewed on-demand <\/span><a href=\"https:\/\/connect.rithum.com\/on-demand\/?mkt_tok=NDg1LUZTRC0zNjgAAAF_qh6rX8SIrdsrB98-pCHVFKfcEeGMoJSbt1xJZr02qeRqANkfsFtytcz1hTu5EU7uipkal1DO99xT1uE4bUIW-7TbIJTZTzY_227CDTxWfVBNIYHP\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">here<\/span><\/a><span style=\"font-weight: 400;\">, however, for ease of disseminating his important observations, we have put together an overview of his key points.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Ultimately, foresight is invaluable in the e-commerce space. Krish not only articulates the role COVID-19 has played in the e-commerce boom, but simplifies many of the complex changes being made to international shipping procedures. <\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Krish shares a message of optimism when he states, \u201cif you\u2019re willing&#8230;to be patient and learn the process, then you have billions of customers you can market to.\u201d <\/span><\/p>\n<h2>The International Trade Explosion Explained\u00a0<b><br \/>\n<\/b><b><\/b><\/h2>\n<p><b><\/b><span style=\"font-weight: 400;\">E-commerce has grown rapidly due to the COVID-19 pandemic. E-commerce has been said to have \u201ctaken over\u201d in once busy city areas, but it has also flourished in remote and rural areas, particularly across Asia.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">This shift has occurred alongside the rise of mobile devices, which have put the world\u2019s online marketplaces at people\u2019s fingertips. The pandemic may have been the catalyst for the large-scale change in consumer habits, but the technology was already there.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">For e-commerce retailers, this is extremely good news. However, this boom has also come with a downside, namely, the challenge of engaging with international markets and regional differences. <\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Issues around shipping duties, new and changing border situations (think Brexit) and things like the EU\u2019s new <\/span><a href=\"https:\/\/www.shipstation.com\/blog\/ioss-vat-taxes\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">value-added tax<\/span><\/a><span style=\"font-weight: 400;\"> (VAT) throw extra complexity on the opportunity.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-100990 size-full\" src=\"https:\/\/siteproofs.com\/projects\/bluetext\/rithum-import\/wp-content\/uploads\/2021\/10\/ShipStation-Connect-Blog-Image-1.png\" alt=\"\" width=\"554\" height=\"357\" \/><\/p>\n<h2><strong>Duty vs VAT and the role of De Minimis\u00a0<\/strong><b><br \/>\n<\/b><b><\/b><\/h2>\n<p><span style=\"font-weight: 400;\">In most cases, the biggest hurdle is determining the difference between a duty and Value-Added Taxes (VAT). Thankfully, they have clear differences and can be easily explained.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Duties refer to those tariffs or taxes that get imposed on goods when they cross an international border. <\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">VAT is a tax on goods that is added at the production stage, typically during the final stages. VAT is calculated at a fixed percentage.\u00a0 <\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">However, if you are concerned about international taxes being imposed on low-value items, then you may be pleased to learn about \u2018de minimis\u2019. <\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><i><span style=\"font-weight: 400;\">De minimis<\/span><\/i><span style=\"font-weight: 400;\"> ensures that goods and services can only be taxed or subject to duties if they hold a certain value. Anything under the value threshold will pass through tax-free.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">In the USA, the importation de minimis is US$800, a healthy threshold even for many luxury goods. In contrast, the threshold in the EU has been scrapped, meaning that all non-EU sellers are liable to pay VAT regardless of the value of their goods.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">The obvious question to this might be: Why?\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">And the answer is simple: the EU wants to encourage internal spending, while maximizing their tax revenue.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Thankfully, if you are an international importer into the EU, all hope is not lost. Market potential is still excellent, especially if you adopt logistics processes that reduce costs.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-100996 size-full\" src=\"https:\/\/siteproofs.com\/projects\/bluetext\/rithum-import\/wp-content\/uploads\/2021\/10\/ShipStation-Connect-Blog-Image-2.png\" alt=\"\" width=\"864\" height=\"440\" \/><\/p>\n<h2>The International Marketplace after USMCA and IOSS<\/h2>\n<p><b><\/b><span style=\"font-weight: 400;\">In most cases, the best way to optimize your shipments will be through making arrangements with the appropriate postal authority. This will entail making contact with a postal authority in an EU country yourself and then coming to an agreement that streamlines the import process.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Alternatively, importers can exclusively utilize a system called the IOSS. The IOSS stands for Import One-Stop Shop, and is designed to simplify the declaration and payment of VAT, at a cost benefit to your business. <\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">You can register on the IOSS portal of any EU Member State and it will work for any country that is within the EU. This process takes 7 &#8211; 10 days to complete, and your IOSS number should be added to your Shipping Services File to make your import compliant.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-101002 size-full\" src=\"https:\/\/siteproofs.com\/projects\/bluetext\/rithum-import\/wp-content\/uploads\/2021\/10\/ShipStation-Connect-Blog-Image-3.png\" alt=\"\" width=\"754\" height=\"384\" \/><\/p>\n<p><b>Learn how Rithum\u2019s partnership with ShipStation can simplify your imports into the EU and beyond. For more information visit <\/b><a href=\"https:\/\/www.shipstation.com\/step1\/?ref=partner-rithum\" target=\"_blank\" rel=\"noopener\"><b>shipstation.com.<\/b><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p><span class=\"span-reading-time rt-reading-time\" style=\"display: block;\"><span class=\"rt-label rt-prefix\">Reading Time: <\/span> <span class=\"rt-time\"> 3<\/span> <span class=\"rt-label rt-postfix\">minutes<\/span><\/span>Krish Iyer, Head of Industry Relations and Strategic Partnerships at ShipStation, recently spoke at Rithum Connect about the changes taking place in international marketplace selling. His talk \u201cInternational Marketplace Selling 2021 and Beyond: What Happened in 2021 That Affects You This Year and Beyond?\u201d can be viewed on-demand here, however, for ease of disseminating his [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":3686,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[1],"tags":[578],"coauthors":[],"class_list":["post-3685","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-cross-borderfulfillmentfulfilmentinternational-shippinginternational-shippingmarketplace-shippingshippingshipstationshipstation-australia"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.6 (Yoast SEO v27.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>International Marketplace Shipping: What\u2019s Changed, What\u2019s Coming | Rithum<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.rithum.com\/blog\/international-marketplace-shipping-whats-changed-whats-coming\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"International Marketplace Shipping: What\u2019s Changed, What\u2019s Coming\" \/>\n<meta property=\"og:description\" content=\"Reading Time:  3 minutesKrish Iyer, Head of Industry Relations and Strategic Partnerships at ShipStation, recently spoke at Rithum Connect about the changes taking place in international marketplace selling. 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