Exporting to the US from the UK: guide for businesses

The United States is the UK's largest export market. Total UK exports to the US reached £200.8 billion in the four quarters to the end of Q1 2025, representing 22.8% of all UK exports.¹ For UK businesses with goods to sell, the opportunity is substantial, but so is the complexity.

If you run a small UK business or are an entrepreneur approaching the market for the first time, navigating US import regulations, customs duties, documentation requirements, and the financial mechanics of receiving dollar payments can feel overwhelming.

This guide gives you a clear, practical roadmap for exporting to the USA from the UK. It covers every stage, from planning and compliance, through shipping and customs, to managing finances and avoiding common mistakes. We’ll also touch on Wise Business as a simple and cost-effective way to manage USD payments from the UK.

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Disclaimer: The contents of this article is for informational purposes only and does not constitute legal or tax advice. Decisions related to tax should be made after thorough research, consultation and verification from a qualified financial and legal advisor.

What are the key steps for exporting to the USA from the UK?

Exporting to the USA from the UK follows a structured process. Understanding the full path before you begin helps you anticipate costs, avoid compliance failures, and plan your timeline realistically.

This process applies to all physical goods, whether you are a sole trader shipping handmade items or a limited company exporting manufactured products. B2C shipments (sent directly to US consumers) and B2B shipments (sent to US businesses) follow the same regulatory framework, though customs handling may differ depending on volume and value.

The core stages are:

• Research and planning
• Understanding regulations
• Preparing products and documentation
• Choosing logistics
• Navigating US customs
• Managing your finances and payment flows

Step 1: Research and planning

Before anything else, establish whether there is genuine demand for your product in the US and whether it can be sold there legally.

Research the US market to understand competitive pricing, consumer expectations, and any local or state-level regulations that affect your sector. The US is a federal system which means each state has its own regulations on top of federal rules, so a product compliant in one state may face restrictions in another.¹

Consider your intellectual property position. UK trademarks and patents do not automatically protect you in the US. If your brand or product design could be imitated, register your IP in the US before entering the market. The UK Intellectual Property Office provides guidance on protecting IP abroad, and the UK Government maintains a network of IP attachés in key export markets.¹

Your business structure matters for export purposes. UK sole traders can export without forming a US entity, but you will need a UK EORI (Economic Operators Registration and Identification) number to complete export declarations from the UK side.²

Step 2: Understanding regulations and compliance

The US has a strict import regulatory environment. The agencies most relevant to UK exporters are:

• US Customs and Border Protection (CBP): The primary gatekeeper for all goods entering the US. CBP enforces import restrictions, collects duties, and can detain or reject non-compliant shipments.
• Food and Drug Administration (FDA): Governs food, beverages, cosmetics, drugs, medical devices, and dietary supplements. Many of these categories require prior notice or registration before entry.
• Consumer Product Safety Commission (CPSC): Sets safety standards for consumer goods. Products must meet US standards, which differ from UK and EU standards in some areas.

Every product exported to the US must be classified under the US Harmonized Tariff Schedule (HTS), the US equivalent of the HS code system. Your HTS code determines the duty rate applied to your goods and whether any specific restrictions or licensing requirements apply. Misclassifying your product is one of the most common and costly export errors.

Labelling requirements in the US differ from UK standards. The FDA, for example, has specific rules for food labelling that cover format, language, and mandatory disclosures. Consumer goods must also meet labelling standards enforced by the Federal Trade Commission (FTC). Check requirements specific to your product category before finalising packaging.¹

Some goods require a UK export licence before they can be shipped. Check with the UK Export Control Joint Unit (ECJU) for your product category¹.

Step 3: Preparing your product and documentation

Packaging for international shipping must protect goods against the conditions of ocean or air freight, such as vibration, compression, humidity, and temperature variation. Inadequate packaging is a common cause of damaged shipments and insurance disputes.

The documentation set for a standard commercial export to the US includes:

• Commercial invoice: it must include a full description of the goods, HTS code, country of origin, total value, and the terms of sale. Inaccurate or incomplete commercial invoices are the most frequent cause of customs delays.
• Packing list: it details the contents of each package, including dimensions, weights, and quantities.
• Bill of lading (ocean freight) or air waybill (air freight): this is the contract between shipper and carrier, and the document CBP uses to identify shipments.
• UK export declaration: this document is required for goods leaving the UK via HMRC's Customs Declaration Service.
• Certificate of Origin: a formal document that verifies the specific country in which the exported goods were grown, made, or manufactured. It is sometimes required, particularly where trade agreements affect duty rates.
• Import Security Filing (ISF): this is required for all ocean freight shipments to the US, filed at least 24 hours before cargo is loaded at the port of origin.

A common mistake to avoid is rounding or estimating the declared value of a product on a commercial invoice. CBP requires the transaction value (the price actually paid or payable), not an estimate. Undervaluing goods is a compliance offence and can result in goods being seized.

Step 4: Choosing your shipping and logistics

Your options for shipping goods from the UK to the US are:

• Postal services (Royal Mail/USPS partnership): Suitable for low-value, lightweight items. Tracking is limited, and there is no dedicated account management.
• Courier services (DHL, FedEx, UPS): Best for parcels and small shipments up to around 68kg.³ These carriers include customs brokerage in their service and offer end-to-end tracking. Express options can deliver within two to three working days; economy services take five to seven.
• Air freight: For larger, time-sensitive shipments. More expensive than sea but significantly faster, typically three to five days.
• Ocean freight: The most cost-effective option for high-volume or heavy shipments. Transit time from UK ports to major US ports ranges from 10 to 20 days, depending on the route and service.
• Freight forwarders: Intermediaries who manage the logistics process on your behalf, including documentation, customs clearance, and carrier selection. Particularly valuable for first-time exporters or complex shipments.

For most UK small businesses and individuals, couriers handle the bulk of commercial export shipments. For larger volumes, ocean freight via a freight forwarder typically offers the best cost per unit. When your goods arrive in the US, CBP processes the import. For low-volume shipments, your courier typically handles this. For larger commercial shipments, you may need a licensed US customs broker.

US import duties are calculated as a percentage of the declared value of the goods, based on the HTS code. Rates vary significantly by product, from 0% on many industrial goods to over 30% for WTO member nations. There may be additional tariffs based on the country of origin and the products.⁴ Use the USITC tariff database or HMRC's check duties and customs service to estimate duty rates for your product.

Important update on de minimis

The US suspended its de minimis exemption from 29 August 2025, removing the previous $800 threshold below which low-value goods could enter duty-free.⁵ All commercial shipments to the US, regardless of value, now require full customs processing and are subject to applicable duties and taxes.

This is a significant change for UK e-commerce businesses selling direct to US consumers and requires careful consideration of pricing and logistics. The UK-US Economic Prosperity Deal, agreed in principle in May 2025, has reduced tariffs in some specific categories. This includes, car exports (reduced to 10% for a quota of 100,000 vehicles annually⁶) and steel and aluminium.⁷ However, for most consumer and manufactured goods, standard HTS duty rates continue to apply.

Avoid assuming that because you have not previously paid US import duties, you are not liable for them. Given these changes, even low-value items can attract duties under the current rules, and non-compliance can result in goods being held or returned at your cost.

Step 6: Receiving payment and managing finances

Payment management is where many exporters underestimate the financial impact of exporting.

The US does not have VAT, it uses sales tax, which varies by state and is the responsibility of the US buyer or seller, depending on the sales arrangement. Your UK VAT position is not directly affected by US sales, but you should confirm with your accountant whether exports affect your UK VAT recovery.

When receiving payment in US dollars, your chosen method and provider will determine how much of that payment you actually retain after conversion:

• Bank international transfers (SWIFT): Slow (one to four working days), expensive, and often involve exchange rate markups of 2-4% on top of any stated fees.
• Multi-currency payment platforms (including Wise Business): Faster, with lower fees and transparent exchange rates. 75% of Wise global and domestic transfers usually settle under 20 seconds and 96% within 24 hours.

Currency fluctuations between GBP and USD can also affect your profitability. If your invoice in USD and GBP strengthens before payment arrives, your sterling equivalent is lower. Consider whether to invoice in GBP (shifting FX risk to the buyer), USD (absorbing it yourself), or to use rate-locking features where available.

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How can I manage costs when exporting to the USA from the UK?

The total cost of a UK-to-US export typically includes:

• Shipping: courier costs start from around £11-£50⁹ for small parcels on economy services. Ocean freight for a pallet starts from approximately £300-£600¹⁰, depending on volume and routing. Air export rates range from £115-£600, depending on your logistics provider¹¹.
• US import duties: varies by product, 0% to 30% of declared value for WTO members, depending on HTS classification.⁴
• US sales tax: varies by state; payable by the buyer unless your arrangement specifies otherwise (Delivered Duty Paid terms).¹¹
• Insurance: typically 0.5-2% of cargo value for standard commercial shipments¹².
• Customs brokerage: if using a US customs broker, expect fees of $75-$200 per entry for straightforward shipments.¹³
• Currency conversion costs: traditional banks apply exchange rate markups of 2-4%. Specialist providers charge lower fees with transparent rates.

To reduce costs:

• Optimise packaging to minimise dimensional weight charges
• Consolidate shipments where possible
• Compare courier and freight forwarder pricing for your specific routes
• Use a payment provider that offers the mid-market exchange rate rather than a bank with a hidden markup.

Wise Business allows UK businesses to hold USD in a multi-currency account and receive payments from US customers without forced conversion. When you are ready to convert to GBP, Wise uses the mid-market exchange rate with a low, transparent fee. This helps reduce what you lose per dollar payment compared to a typical bank transfer. Wise Business connects with accounting tools, including Xero and QuickBooks, making it easier to reconcile international income.

What are the common pitfalls when exporting to the USA from the UK?

Some common mistakes UK exporters make when sending products to the US are:

• Inaccurate HTS classification: using the wrong code results in incorrect duty rates and potential penalties. If in doubt, use a customs broker.
• Non-compliant labelling: FDA or FTC labelling failures can lead to goods being detained at the US border. Verify requirements before printing packaging.
• Underestimating shipping costs: dimensional weight charges and fuel surcharges can significantly increase the quoted rate. Always confirm the final cost before booking.
• No international payment strategy: receiving USD into a GBP account without considering hidden fees, markups and bank exchange rates can add up costs significantly.
• Assuming UK tax rules apply to US sales: there is no VAT in the US. UK VAT rules, zero-rating for exports, and US sales tax obligations are separate and distinct. Take professional advice.
• No return logistics plan: US consumer protection laws and buyer expectations around returns differ from the UK. Plan for returns before your first shipment arrives.

Manage USD export payments the smart way, with Wise Business

Exporting to the USA from the UK is one of the most significant revenue opportunities available to UK businesses, but it rewards preparation. Wise Business is designed for UK businesses and individuals managing international transactions, including those receiving payments from US customers or paying US-based suppliers or platforms.

For UK exporters, the most direct benefits are:

• Hold USD without conversion. Receive payments from US customers into a USD balance in your Wise Business account. Convert to GBP when rates are favourable, rather than at the moment funds arrive.
• Mid-market exchange rate. Wise uses the same rate shown on currency comparison tools, with a low, transparent fee, not a hidden margin built into the rate.
• Local USD account details. With a Wise Business Advanced account, you get US account details (account number and routing number), making it straightforward for US customers and platforms to pay you as if you were a local business.
• Accounting integration. Transactions sync automatically with Xero, QuickBooks, and FreeAgent, reducing manual reconciliation when managing USD and GBP income side by side.
• Pay US suppliers. If you have US-based logistics costs, warehousing fees, or supplier payments, Wise Business lets you pay in USD directly from your USD balance at low cost.

Explore Wise Business to manage USD payments to and from the UK seamlessly.

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Frequently asked questions

How much does it cost to ship from the UK to the USA?

Shipping costs depend on carrier, speed, weight, and dimensions. A small parcel under 2kg sent by an economy courier typically costs £15-£40. Faster services for the same size run £30-£80. For larger shipments, ocean freight for a standard pallet starts from around £300-£600. Duties and US sales tax are additional costs calculated separately on arrival.

What products are prohibited from shipping to the USA from the UK?

CBP publishes a list of prohibited and restricted items, which includes,

• Counterfeit goods
• Obscene materials
• Hazardous materials not packed in compliance with US regulations
• Certain animal products
• Endangered species products
• Goods subject to trade sanctions.

Food, pharmaceuticals, and cosmetics require specific FDA clearance before entry. Always check the CBP prohibited and restricted items list for your product category before shipping.

Do I need to pay customs duty when exporting from the UK to the USA?

Yes. The US imposes import duties on goods entering from the UK, calculated based on the declared value and the product's HTS classification. Rates range from 0% to over 30%, depending on the product. Following the suspension of the de minimis exemption from August 2025, all commercial shipments, regardless of value, are now subject to customs processing and applicable duties. Use the check duties and customs service on GOV.UK to estimate the duty rate for your specific product.

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Sources used:

1. Exporting from the UK to the United States: A market guide | Business.gov.uk
2. Get an EORI number: Who needs an EORI | GOV.UK
3. Parcel Weight, Size & Packaging | FAQs | DHL Express
4. How do tariffs work | Tariffs Tool
5. Changes to US import rules for low-value shipments from the UK | Business.gov.uk
6. Update on the UK-US Economic Prosperity Deal (EPD) (web accessible version) | GOV.UK
7. Implementing the General Terms of The United States of America-United Kingdom Economic Prosperity Deal | The White House
8. United States - Corporate - Other taxes | PWC
9. Send A Parcel to USA | Parcel Delivery | Parcel2Go
10. Please find some of our competitive freight rates | Pallet2Ship
11. Container 20/40ft Sea Freight 2026 Rates | USA ⇆ UK Shipping Company
12. Cargo Insurance Calculator | Pallet2Ship
13. Customs Clearance Pricing and USA Customs Rates | Clearit USA

Sources last checked: 04-05-2026