Transaction value, in plain language
Customs generally starts from the price actually paid or payable for the goods — the transaction value — and then considers certain additions and conditions. The number on the invoice is the starting point, not always the final answer.
Why freight and insurance terms matter
Delivery terms such as CIF or others determine whether freight and insurance are already inside the invoice price. Where they are not, they may need to be accounted for when the customs value is declared.
This is why two identical invoices from two suppliers can lead to different customs values once the delivery terms are read.
Before you agree the price
Asking about valuation before you finalise the purchase lets you compare suppliers on the real landed cost rather than the invoice figure alone. CGS can prepare a preliminary estimate where product, value, origin and freight information is available; the final amount remains subject to customs assessment.
Compare suppliers on landed cost, not invoice price.
This article is general guidance, not legal or customs advice for a specific shipment. Duty rates, tariff codes and regulatory requirements change — confirm current requirements for your goods with CGS.