The Port of Los Angeles handles hundreds of billions of dollars worth of imported goods each year, accounting for about 20% of the nation’s seaport cargo volume and making it one of the busiest ports in the United States. The customs clearance process at the Port of Los Angeles is affected by many factors, including the accuracy of document submission, the type of goods, the mode of transportation, and customs inspection procedures. While most shipments clear customs without issue, some shipments face delays for various reasons, affecting subsequent shipping and delivery. If your shipment is experiencing clearance difficulties, use our detailed customs clearance guide to learn how to avoid delays and ensure smooth customs clearance of your imported goods.
What is customs clearance?
Customs clearance is a necessary procedure that must be followed during the import and export of goods. Each country has its own customs clearance regulations. Customs clearance involves multiple links, including submitting the necessary documents, paying customs duties and complying with relevant laws. In the United States, customs clearance is regulated by the U.S. Customs and Border Protection (CBP) and related agencies to ensure that all imported and exported goods comply with regulations. For businesses, understanding and complying with customs policies and reasonably planning the logistics and customs clearance process is the key to ensuring smooth customs clearance and improving the efficiency of trade.
Los Angeles import customs clearance step
Regardless of what goods you plan to import, the basic steps for clearing US Customs usually remain the same. The entire process can be divided into four key stages: document preparation, fee payment, cargo inspection and final release.
Stage 1: Document preparation
Each document serves a specific purpose, including recording transaction details and providing cargo information to assess duties, collect statistics and ensure compliance with regulatory requirements. Standard documents include the commercial invoice, packing list, bill of lading, customs guarantee and arrival notice. In addition, CBP Form 3461 (Entry Application), CBP Form 7501 (Entry Summary), etc., must be submitted in accordance with the requirements of the US Customs and Border Protection (CBP). If the goods are shipped, the Importer Security Filing (ISF) must also be submitted 24 hours before the goods leave the original port. The accurate and timely submission of documents is critical, as failure to do so may result in delays or fines.
Stage 2: Payment of fees
The importer is responsible for paying duties and taxes. CBP assesses the duty status of goods based on the documentation submitted, taking into account factors such as the value, quantity, composition, country of origin and any applicable free trade agreements. In addition, a Merchandise Processing Fee (MPF) of approximately 0.3464% of the commercial invoice value and a Harbor Maintenance Fee (HMF) of 0.125% of the value of the merchandise imported when it is unloaded at the seaport are also payable. Timely payment of fees can avoid additional expenses.
Stage 3: Cargo inspection
CBP inspects cargo to ensure compliance with general regulations and commodity-specific legal requirements. Inspections can range from basic verifications to in-depth reviews focusing on declared values, product labelling requirements, etc. While rigorous inspections are rare, they are critical for specific commodities and origins to help maintain security and meet the regulatory standards of various US agencies. Importers should understand the inspection process in advance to avoid unnecessary delays.
Stage 4: Cargo release
Once released by CBP, the goods are officially admitted into the US market, provided all duties and taxes have been paid, and all regulations have been met. The goods can be delivered to the importer, customs broker or other authorized agent. At this point, the customs clearance process is complete, and the goods can be transported to a distribution centre or delivered directly to the customer.
What is the worst-case scenario?
Suppose imported goods are judged to be unsaleable or refused entry. In that case, the importer usually has two options: re-export the goods to their country of origin or dispose of them by destroying them within the United States. Either way, the costs are considerable, and re-exporting may offer the chance to sell the goods in other markets.
Documents Needed for Los Angeles Import Customs Clearance
When customs clearance is carried out in the United States, importers need to prepare and submit a series of necessary documents to ensure that the goods pass customs inspection smoothly. Importers need to provide the following documents to ensure smooth customs clearance:
- Commercial Invoice: used to declare the value and type of goods.
- Packing List: This list contains details of the goods’ packaging, such as weight, size, and pallet information.
- Bill of Lading: records the origin, destination, quantity and parties involved in the transportation of the goods.
- Certificate of Origin: This is applicable to goods that enjoy free trade agreements (such as the USMCA and the Korea Free Trade Agreement).
- Government agency-related documents (such as FDA, USDA, FWS, etc.): when it comes to specific goods (such as food, medicine, animal and plant products, etc.), corresponding inspection certificates are required, such as phytosanitary certificates, meat inspection certificates, equipment registration numbers, etc.
Submission time and precautions for customs clearance documents
Importers should submit all documents to the customs broker as early as possible to facilitate advance review and preparation and avoid goods being held up due to incomplete information or special regulatory requirements. For example, if FDA documents are required after a batch of goods has been unloaded at the Port of Los Angeles, and the importer has not yet prepared them, this may result in increased storage costs or even the risk of the goods being returned or destroyed. Therefore, sufficient communication with suppliers to ensure that all necessary documents are prepared before shipment is an essential guarantee of smooth customs clearance.
How Long Does Customs Clearance Take in Los Angeles?
The time it takes for customs clearance can vary depending on a number of factors and is not simply a waiting process. Once your goods arrive at their destination, the time it takes to clear customs depends mainly on the completeness of the documentation, the type of goods, the mode of transport and the efficiency of the destination customs office.
First, make sure that all the necessary documents, such as commercial invoices, packing lists, and relevant permits, are in order. If the documentation is accurate, the customs clearance process can be rapid, sometimes taking less than a day. However, errors or missing documents can cause delays.
Second, the type of goods can also affect the speed of customs clearance. For example, general merchandise can usually be cleared within 2 to 3 working days, but goods that require additional inspection, such as used equipment and high-risk food (such as wine or meat), can take up to 15 working days.
The mode of transport is also an important factor. Air freight is usually the fastest, with customs clearance taking 1 to 2 days. Sea freight usually takes 3 to 5 days due to longer journeys and larger quantities of goods. Customs clearance for truck transport and postal parcels takes between the two, generally 1 to 3 days.
In addition, the destination country’s customs infrastructure can also affect clearance efficiency. Some countries have more streamlined customs processes and well-equipped infrastructure, which can speed up customs clearance. At the same time, free trade agreements (FTAs) may allow eligible goods to clear customs faster, while the efficiency of logistics companies can also impact clearance efficiency.
During peak periods such as holidays, customs processing volumes surge, which may result in longer clearance times for all shipments. Significant delays may also be encountered if the shipment requires physical inspection or involves prohibited or restricted items.
In general, customs clearance times can range from one day to several weeks, depending on document accuracy, shipment type, mode of transport and the efficiency of the destination customs office. Unnecessary delays can be avoided by planning, ensuring that documents are correct and choosing the proper logistics method.
How can I avoid the risk of customs clearance delays?
It is recommended that you hire a professional freight forwarder. Although US law does not mandate the use of customs brokers by importers, the financial risk for corporate imports is high. A professional customs broker can handle matters such as documentation, tariff payments, and compliance checks, reducing the risk of errors, delays, and fines. Hongocean has extensive experience and can ensure the smooth customs clearance of your goods. Contact us to make your import process smoother!
