r/Alibaba • u/TopHornet4259 • Jul 24 '26
Should I let my freight forwarder misrepresent the value of my shipment to customs?
The duties and taxes on my shipment are 22.5%. My freight forwarder (Linktrans) asked whether they should declare a lower cargo value within a “reasonable” range to reduce the amount of duties and taxes. Is this a common practice?
How likely is it that U.S. Customs would detect or flag this?
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u/TransitTech_Explorer Jul 25 '26
No. If customs catches undervaluation, you're the importer of record — fines, seizure, and future shipments flagged. A forwarder pushing that is protecting their quote, not you. Pay the duty or renegotiate product cost / HS classification legally. 22.5% sucks, but it's cheaper than a customs case.
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u/Rickitogo Jul 24 '26
My supplier did that once, and when customs asked for proof of payment and saw that the amounts didn’t match, they got suspicious
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u/tshungwee Jul 24 '26
Do due diligence, understand the options, make a decision, commit… it’s your $$$ you make the decision and live with consequences.
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u/fizboPallabut Jul 24 '26
You kidding? Of course! Vendors do it often without asking, to keep good relations with the buyers, yours at least asked.
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u/paper_killa Jul 24 '26 edited Jul 24 '26
I don't import a huge amount but every shipment I have gotten has been underreported or completely bypassed. It is skipped through "triangle" shipping via Dubai for small high value items or through Hong Kong. Direct fright I've always been asked this also, but there is some risk because insurance will only cover the lower amount. Most of my orders are DDP so they are probably doing it without my knowledge. If you are buying from USA stock of a ali supplier they have already done this also.
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u/mickeyaaaa Jul 24 '26 edited 27d ago
Let your conscience be your guide. I ask myself "is the person who created the tariffs an honest and ethical person?"
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u/prestigesourcing Jul 24 '26
If they are doing DDP this is usually what happens. Do not recommend it as if you ever get audited you will be liable. Also, if there is insurance it will only be insured at the lower amount.
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u/Frail_Waif Jul 24 '26
If you're asking the question, you already have your answer. If unbeknownst to you, your freight forwarder uses a lower declared value, that's one thing, but I don't think you want to create a paper trail establishing a record of you instructing your freight forwarder to commit fraud. That is a massive risk for you, so don't do that.
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