Brokerage Charges Out Of Control

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Siegfried Meier

Well-known member
Joined
Jul 2, 2004
Messages
1,609
Location
Ontario, Canada
Hey guys,

I just had a package sent to me from Mouser via UPS Ground valued at $147.19 from the US to Canada. The total brokerage and import taxes amounted to $66.25!!! Now, I had a package from Mouser sent a month ago that was probably valued at around $125, and the brokerage charges were around $30. There's clearly a different brokerage bracket when you reach over $140 or something, but this is just getting out of control. Even USPS is charging through the roof to ship and bring into the country. What other choices do we have now? I'd call and complain to UPS but anyone I could possibly doesn't give a shit and will certainly give me a bullshit answer anyway. Companies like Mouser will obviously not ship anything without declaring the proper value, so there's nothing us end users can do but take it. I've spent over $1000 in duty and brokerage this year alone, and I've only built a couple of things this year! At this rate, I may as well buy the real thing instead of DIY. At any rate, I don't think UPS can be used at ALL ANYMORE, for any reason when shipping anywhere out of the U.S.A. That company is just sucking money from everyone like crazy.

Any comments welcome.
Thanks,
Sig
 
UPS doesn't control the fees, the canadian government does. IF you want ups to handle the customs clearance, you pay them a $35 fee and then they add the price of duty and gst. The only way you can save any money is by clearing customs yourself and avoiding the $35 fee, but you'll still have to pay GST and duty.

Order from digikey and you won't have this problem.
 
I beg to differ on that, UPS and FedEx have been buying up little independent brokerage houses with the express (as opposed to their service) intent to monopolize this essential step anywhere a border exists. UsPS has recently raised their rates for shipping but the brokerage fee at Canada Post is now up to $8 from $5, not so bad. The government only charges duty if the items are proven not to be NAFTA compliant. Importing less than $1500 usually involves very minimal paperwork.

UPS and FedEx also include brokerage in express and expedited shipments....with Mouser you don't have a choice, but if you can get the same part from Digikey or Allied (don't know about Newark), they consolidate all Canadian orders and ship from within Canada (= no fees). I express my mouser shipments and try to avoid forgetting an item.

Andy
 
Not sure about that Ptown...

From what I've read, it's a big ol' scam:

Brokerage fees:
http://www.ups.com/content/ca/en/shipping/cost/zones/customs_clearance.htm

There are class-action law suits against UPS because of the brokerage fees:
http://www.merchantlaw.com/courier.html

I don't ship using UPS Ground, ever. UPS Express is immune to the charges but inherently expensive.

When I used to order from Mouser, I'd ship using USPS, it took a week and a half to Nova Scotia, but it was pretty cheap. It has been a long time since I last used Mouser though.
 
Well, there's nothing shady about the brokerage fee, you either pay someone to do it (ups or a third party broker) or you do it yourself (which is what I do) and avoid that fee. Not matter what, you will pay GST, and, depending on the tariff code for the product, duty as well.

When i said that the Gov controls the fees, I was referring to duty and GST.

I have to do this all the time, I'm am well aware of how it works.
 
I ship a lot of stuff out of the US, and there's no way I could ever justify using either UPS or FedEx.
 
If they stock the parts you need, I would suggest using Digi-Key instead. - excellent overnight service to Canada, with no brokerage charges. Other than that, use USPS.
 
Here's my 2 Cents: In my experiences UPS are a bunch of crooks when it comes to brokerage. I don't mind paying the GST and Duty, but recently I ordered a power drill from the U.S. at a cost of $99.00 U.S. After UPS delivered it it wound up costing me an additional $49.00 Canadian for the so called brokerage and GST. This to me is criminal, it wasn't even a new drill. I now ask that anyone shipping anything to me now use USPS. Canada Post takes over when it lands in Canada and the rates are very reasonable.

I got into a big scrap with Fedex because I bought an item for about $75.00 U.S., but had it insured for loss/ damage in the amount of $200.00 U.S.
Fedex charged me $82.00 for brokerage and tax on the insured amount. When I protested and showed them the enclosed bill of sale they said they couldn't do anything about it. Again, criminal activity. When I refused to pay it they started trying to deal with me saying they could adjust the brokerage fee down by $20.00 dollars.

Now, if this is indeed a government imposed, fixed amount of tax and brokerage, there wouldn't be the ability for anyone to be offering me a discount on the levy. I no longer use Fedex either.
 
I agree UPS suck & blows ......hard , either way

handling fees from Canada post are more reasonable but it is still possible to get things to your door with no taxes [ apparently we are duty free ]
And Digikey IS convenient , often times more so than ElectroSonic which is in Canada , Have had mistakes with my digikey orders though .

Regular post can be fine

regards Greg
 
These horror stories really tick me off...

I haven't used UPS For shipping Canada or overseas in a long while
just for the reasons above..

I normally use the US Mail with no problems now that they can
trace the packages now..
Price to Canada is reasonable but to places in Europe, Austrailia
and Asia are quite high and I lose a lot of orders due to the cost
of shipping...

OH... Now the US Mail has taken away the option of Surface Mail
(By Boat) and now have only US Priority Mail International, 1st
Class International and Express Mail options

I use another company for multiple box shipments since they are
much cheaper than the US Mail for out of the USA...

Very few options.

Steve @ Apex Jr.
 
I have a deal guys. Ship your orders to me. I'll bring them across the border for free in exchange for cheap prescription medicine. :green:

Maybe I'll even throw in a couple of packs of smokes too ;)
 

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