So you’ve decided it’s time to pick up stakes and transplant from the good old USA to a new home over the water. Maybe it’s to fulfill a lifelong dream to relocate to your country of origin in retirement, or you’re following a golden business opportunity. Whatever the case, as you make your plans you want to keep costs as low as possible. So let’s look at the cheapest way to ship your personal belongings overseas.
Mode of Shipping
Shipping your personal effects on the water in a shipping container is the most economical, efficient way to move them overseas. Compared to air freight, it’s a terrific bargain, although it does mean baking in a longer transit time. An ocean voyage from the East coast to a European port ranges from 10-17 days, depending on a variety of factors. But if you plan the move well in advance, that’s really not an issue.
The standard maximum weight for goods to be shipped via container is 36,000 lbs for a 20’ unit and 44,000 lbs for a 40’ unit. But don’t worry about that; most household moves will fill up the box well before reaching the weight limit.
NOTE: in this article, we’re assuming you are moving an entire household of personal belongings and not just shipping a few boxes for a semester abroad. In the latter case, you’re better off shipping via parcel with UPS, FedEx or DHL.
The Entire Journey
Lane-by-lane container shipping costs will vary based on market conditions, and carriers set their own rates. Freight forwarders who know the lane and the carriers can find you the cheapest way to ship your personal belongings overseas. But keep in mind that the cheapest rate isn’t always the lowest cost. Carriers with sub-par service can cause delays or damages which raise overall costs.
Depending on where your new home is located, your container may be transloaded onto a smaller vessel before reaching the destination port. For instance, shipping personal effects from the U.S. to Poland would involve a stop at a major Western Europe port like Bremerhaven, Germany before arriving in Poland.
Once the container hits your final port, your goods go through customs clearance, then transit by rail, truck or a combination (intermodal freight), for final delivery to your new home. Again, a freight forwarder experienced in shipping personal effects can not only handle the complex logistics, but find you the best balance of cost and service, helping you achieve your goal of finding the cheapest way to ship your personal belongings overseas.
There are many freight forwarders who say they will ship personal effects, but make sure this is a core part of their business. I.C.E. Transport, for instance, has been helping families with overseas moves since 1987. Read our Guide to Shipping Personal Effects Overseas and our handy Shipping of Personal Effects Checklist.
Transfer of Residence Relief
Maybe the best news about shipping your personal effects abroad is that most countries provide relief from import duties or taxes on household goods, provided certain conditions are met. As an example, check out this application for Transfer of Residence Relief (TRR) in the UK.
In general, customs agencies want to see proof that you were a U.S. resident for at least 12 months prior to the move, and owned the goods for personal use for at least six months. This is to prevent cases where people purchase high-value goods just prior to the move, or goods used in commerce, to avoid duty and tax payments.
Shipping Your Car Overseas
Some people considering container shipping for their move assume that their car would have to be handled separately. But cars can be loaded into a container just like your other goods. A 20-foot container can fit one car and some personal effects. A 40-foot container might fit as many as two cars, depending on the size of the cars and some personal effects.
Just like with other personal belongings, vehicles qualify for TRR exemptions from import duties and taxes as long as you provide documentation of residency for 12 months prior to the move, plus ownership and use of the car for six months.
Shipping a vehicle from an East coast port to Europe in a container can cost as little as $2,000, depending on its size and the port-to-port distance. Use of roll-on, roll-off vessels (RORO), where cars are driven onto the vessel, is a less expensive option, but there are drawbacks. RORO transit times can be shorter, but the ships don’t stop in as many ports. Also, you can’t load items into the vehicle, and there’s a greater risk of damage than in a secure steel container.
If you’re driving a late-model car, there won’t be any issues getting it shipped overseas. But if it’s a bit older, you’ll be subject to environmental import restrictions. For instance, Euro 6 emission standards in the European Union and the UK require that vehicles built before September 2015 undergo testing and possible modification to qualify for import. At the other end of the scale, cars that are 25 years old or more can qualify as antiques in many countries and be exempt from duties and taxes, provided they’re not used for daily commuting.
Avoiding Hidden Charges When Shipping Personal Belongings
Be on the lookout for hidden charges that can undermine your efforts to find the cheapest way to ship personal belongings overseas. This is an area where a qualified freight forwarder can prove invaluable. Here are some unexpected charges to look for:
Duties and Taxes
Even if you qualify for TRR, some goods might still be subject to import duties, Value Added Tax (VAT), or excise tax, especially if they don't meet all the eligibility criteria. Luxury items, high-value electronics, vehicles, or items not owned for the minimum required time may be subject to these charges.
Insurance
You’ll want to insure your goods. The cost of insurance will depend on the value of your goods.
Port Handling Fees
Ports often charge fees for handling and unloading containers, which can be an unexpected cost if not included in the shipping agreement. They can range from $100 to $500 or more, depending on the port, the size of the shipment, and the country.
Quarantine or Inspection Fees
Some countries, like Australia and New Zealand, may require a quarantine inspection for goods like wooden furniture, plants, or other things that may carry pests. These fees can be significant.
Storage Fees
If there is a delay in customs clearance, the ocean carrier or port may charge storage fees for holding your container. They can accumulate quickly, ranging from $20 to $200 per day depending on the location and the size of the shipment.
Detention and Demurrage
Demurrage is charged by shipping lines when containers are held at port longer than the agreed-upon free period (as little as five days). Detention charges apply when a container is hauled out of port but not returned to the shipping line within the timeframe specified. These fees can be significant, from $75-$300 per day depending on the shipping line and port.
By choosing the right freight forwarder, you can easily avoid such charges as the forwarder will work with truckers and other partners to stay on schedule.
International Household Moves Require the Right Mix of Experience and Efficiency
An international move can be stressful enough, considering all the details involved: packing, planning, setting up house in a new country. The last thing you need to worry about is the logistics of shipping your personal belongings overseas.
I.C.E. Transport, a family-owned freight forwarder with decades of experience in transatlantic shipping, has handled thousands of such household moves with a high degree of efficiency. Our extensive knowledge of logistics, ocean freight, carriers and customs clearance helps ensure a smooth, door-to-door shipping experience at the right price. I.C.E. Transport works closely with you on every detail, from documentation, packing tips, rates and sailing schedules, delivering peace of mind and building trust. Contact I.C.E. Transport today to learn more.