Your guide to shipping from Canada to China

As a Canadian business looking to expand its market globally, shipping to China can be an exciting and lucrative opportunity. With its growing economy and vast consumer base, China offers endless possibilities for businesses looking to reach new customers and increase their profits.

However, shipping from Canada to China can also come with its fair share of challenges. Fortunately, with the help of Wise's mid-market exchange rate, you can make the process smoother and more affordable.

In this article, we'll guide you through everything you need to know about shipping from Canada to China and how Wise can help you cut down on cross currency costs with the mid-market exchange rate and a pay-as-you-go fee structure.

We shall look at

What Is The Essential Know-How On Importing Goods From Canada to China? Essential Requirements For Shipping Goods From Canada to China? Restrictions On Shipping Goods From Canada To China Typical Costs Of Shipping Goods From Canada To China How To Reduce Costs On Transactions Between Canada And China Some Of The Well Known Shipping Companies For Importing From Canada To China Freightos FedEx DHL Canada Post Essential Local Know-How When Shipping From Canada To China

What Is The Essential Know-How On Importing Goods From Canada to China?

• Customs Regulations: When importing goods from China to Canada, you must familiarize yourself with the customs regulations of both Canada and China. This includes understanding any restrictions or prohibitions on certain products and ensuring all necessary documentation is in order.
• Import Duties And Taxes: As with any international trade, there will be import duties and taxes involved when shipping from Canada to China. These fees can vary depending on the type of product and its value, so it's essential to research and factor them into your budget.
• Shipping Routes: The Pacific Route and the Atlantic Route connect China and Canada, each of which starts from various seaports of your choice.¹ Familiarize yourself with these routes and the associated costs to discover which option is best for you.
• Packaging And Labelling: Proper packaging and labelling are crucial when shipping internationally. Your products should be securely packaged to withstand long-distance transportation, and all labels should be clear and accurate, including the country of origin.

What Are The Essential Requirements For Shipping Goods From Canada to China?

• Commercial Invoice: This document is a detailed list of the goods being shipped, their value, and other necessary information for customs clearance.
• Certificate Of Origin: Some products may require a certificate of origin to verify where they were made. It's essential to check if your product falls under this requirement before shipping.
• Import Permits And Licenses: Some products may require specific import permits or licenses before they can enter Canada. It's crucial to research and obtain any necessary documentation beforehand.

Are There Any Restrictions On Shipping Goods From Canada To China?

Yes, there are certain restrictions on shipping goods from Canada to China. Some of the prohibited items include²:

• Firearms and ammunition
• Narcotics and controlled substances
• Hazardous materials such as chemicals or explosives
• Counterfeit goods

It's also important to note that individual companies may have restrictions on what they will allow to be shipped internationally, so it's always best to check with your chosen shipping carrier before sending off your products.

What Are The Typical Costs Of Shipping Goods From Canada To China?

The cost of shipping goods from Canada to China can vary greatly depending on several factors:

• Weight And Size Of Goods: Heavier and bulkier items will typically cost more to ship than smaller, lighter products.
• Mode Of Transportation: Air freight is generally faster but more expensive than sea freight. Express cargo is also pricier compared to general cargo due to its quicker delivery time.
• Routes Taken: Political and economic situations in certain countries can impact the availability and cost of specific shipping routes. For example, if there are tensions between two countries, it may result in longer shipping times and higher costs.
• Cargo Insurance: You may opt to purchase cargo insurance to protect your goods from any damage or loss during transportation. This can add additional costs to your overall shipping expenses.
• Currency Conversion Costs: When making international payments, you will also need to consider currency conversion fees, which can vary depending on the exchange rate at the time of payment.
• Intermediary Bank Fees: For international transactions made through the SWIFT network, intermediary banks may charge a fee for processing the payment. It's essential to factor in these fees when calculating your shipping costs.

How To Reduce Costs On Transactions Between Canada And China

One of the biggest concerns for Canadian businesses when shipping to China is the cost involved with international transactions. However, with Wise's multi-currency account, you can significantly reduce these expenses and save money on your transactions.

This account allows you to hold and manage multiple currencies in one place, including Canadian dollars and Chinese Yuan. By already having the recipient's local currency in your account, you can avoid costly currency conversions and unexpected fees charged by intermediary banks.

Wise also offers you the mid-market rate - the exchange rate you usually see on Google. This means that you will not be subject to any hidden conversion fees, ensuring transparency and peace of mind for your business.

In addition, with Wise's automatic invoicing and batch payments feature, you can streamline your transactions and save time on manual processes. And with its secure platform and transparent fee structure, you can trust that your money is in good hands.

Get the Wise Business Account to save on International money transfers

Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.

Some Of The Well Known Shipping Companies For Importing From Canada To China

Freightos

According to their website, Freightos offers “painless global freight rate comparison and shipment management for 13,000+ importers and experts”. They’re trusted by many successful companies, including Qatar Airways, Electrolux, and the White House.³

You can access personalised rates for shipping on logging into their website.

FedEx

According to their website, FedEx Canada is known “as a reliable shipper, committed to getting your package - large or small - to its destination on time”. They are based out of Mississauga, Ontario.⁴

Costs (shipping 200 kg from Mississauga to Beijing on 3/14/2024)⁵

Delivery Option/Weight	Shipping Costs in CAD
FedEx International Economy Freight	$12,377.99
FedEx International Priority Freight	$13,013.03

It is important to bear in mind that these costs are indicative and can vary with factors such as insurance, packaging material used and delivery preferences.

DHL

According to their website, DHL was founded in 1969 and has since grown to a company of “600,000 people in over 220 countries and territories”. They deliver 1,668,000,000 parcels per year on average.⁶

DHL only offers personalized quotes for their international services, which are:

• DHL Express Worldwide promises delivery by the end of the next possible business day
• DHL Express 12:00 which promises delivery before noon on the next possible business day
• DHL Express 9:00 which promises delivery before 9:00 on the next possible business day”

Key Features⁷

Services	DHL Express Worldwide	DHL Express 9:00	DHL Express 12:00
Money-back guarantee	No	Yes	Yes
Delivery attempts	2	2	2
Maximum piece weight	70kg	70kg	30kg
Max. pieces per shipment	N/A	10	10
Max. piece dimensions	120x80x80 cm	120x80x80 cm	120x80x80 cm
Max. pallet weight	1,000kg	N/A	N/A
Max. shipment weight	3,000kg	300kg	300kg
Max. pallet dimensions	300x200x160cm	N/A	N/A

Canada Post

According to its website, Canada Post is “committed to their customers in their values and leadership”. They are a trusted postal source that is dedicated to the Canadian people.⁸

Costs (shipping 30kg package from Mississauga to China)⁹

Delivery Option/Weight	Shipping Costs in CAD
International Parcel - Surface	$405.48
Xpresspost - International	$641.35

You can learn more about Canada Post, specifically for small businesses, here.

Essential Local Know-How When Shipping From Canada To China

• Chinese Holidays: Some Chinese holidays aren’t as widely celebrated in Canada, like Chinese New Year (which typically falls between late January and early February) and other national holidays like Labor Day and the Mid-Autumn Festival.
• Time Zone Differences: Canada and China are located on opposite sides of the globe, causing a time difference. This can affect communication with suppliers or customers and may impact delivery times.
• Cultural Considerations: Make sure to research proper etiquette and communication styles to build strong relationships with partners or clients.
• Local Laws And Regulations: China has its own set of laws and regulations that businesses must comply with. This includes product standards, labelling requirements, and advertising guidelines.

Conclusion

Shipping from Canada to China may seem daunting at first, but with the right knowledge and resources, it can be a smooth and profitable experience for Canadian businesses. By partnering with Wise's foreign exchange financial technology services, you can save on currency conversion fees and make international payments easier.

if you're ready to take your business global and tap into China's vast market potential, let Wise be your guide. With our reliable and cost-effective services, you can rest assured that your goods will reach their destination safely and efficiently. Sign up for Wise today and start shipping to China with confidence.

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Sources

1. DFH Global Logistics
2. International Trade Administration
3. Freightos
4. FedEx Canada
5. FedEx Canada
6. DHL Canada
7. DHL Canada
8. Canada Post
9. Canada Post

Sources verified on 22 March 2024.