International Shipping Costs: 7 Ways to Reduce Fees

International shipping is one of the biggest challenges for businesses and individuals in 2025. Costs have climbed in recent years due to higher fuel prices, new tariffs, and tighter customs regulations. For e-commerce sellers, shipping can take up 20% to 30% of total expenses, according to industry reports. For individuals sending gifts or packages abroad, the fees can sometimes be higher than the value of the item itself.

The good news is that shipping costs are not fixed. With the right strategies, you can cut these expenses by a large margin sometimes by as much as 50–85% without sacrificing speed, safety, or customer satisfaction. In this article, we’ll explore seven practical ways to reduce international shipping costs.

1. Optimize Packaging to Cut Weight and Dimensional Charges

One of the simplest yet most powerful ways to lower shipping costs is to rethink your packaging. Carriers like FedEx, UPS, and DHL don’t just charge based on the actual weight of your package they also use “dimensional weight.” This means that a light but bulky box may cost more than a smaller, heavier one because it takes up more space in the delivery vehicle.

To avoid this, always use the smallest possible box or envelope that safely fits your product. For example, clothing can often be shipped in lightweight poly mailer bags instead of bulky cardboard boxes. Fragile items should still be protected, but there are clever ways to do this without adding extra weight. Air pillows, crumpled packing paper, or molded inserts are lighter than foam or bubble wrap.

Buying packaging supplies in bulk is another way to save. Many carriers also offer free flat-rate boxes and envelopes, which can be a lifesaver for small businesses. These supplies not only cut your packaging costs but also simplify the shipping process by offering predictable pricing.

2. Consolidate Shipments for Lower Per-Unit Costs

If you regularly send multiple packages to the same destination, consolidation can save a huge amount of money. Instead of shipping several small parcels, you combine them into one larger shipment. This reduces handling fees, lowers per-unit shipping costs, and can simplify customs paperwork.

For example, let’s say you run a small online store in the U.S. and frequently ship orders to customers in Europe. If you send each order separately, each one will be charged its own international shipping fee. But if you consolidate orders through a third-party logistics (3PL) provider, they can combine the items into one container or pallet. This could cut costs by 20% to 30% per unit, according to logistics experts.

Even individuals can benefit from this method. If you’re sending gifts to family abroad, it’s often cheaper to put everything into one large box than to mail each gift separately.

3. Compare Carriers and Negotiate Better Rates

Not all carriers are created equal. USPS may be cost-effective for lightweight packages going abroad, while DHL often shines on Europe–Asia routes. FedEx and UPS may offer faster delivery but at a higher price. The only way to know which service is best for you is to compare.

Online tools and shipping calculators make this easy. Websites and apps like Easyship, ShipStation, and Sendcloud allow you to plug in package dimensions, weights, and destinations to instantly see rates across multiple carriers. This helps you find the best balance between price and speed. Calculate your international shipping costs carefully to maintain transparency and avoid surprises for both you and your customers.

If you ship frequently, don’t be shy about negotiating with carriers. Large businesses often get volume-based discounts of 30% to 50%, but even smaller operations can secure better rates by showing consistent monthly shipping volume. For very small sellers, aggregator platforms like ShipBob or ePost Global offer access to bulk rates without requiring direct negotiations.

Relationships matter too. If you build trust with your carrier by being a reliable shipper, they may extend special terms, priority service, or fee waivers.

4. Leverage Fulfillment Centers Closer to Customers

One of the biggest hidden costs in international shipping comes from distance. The farther your package has to travel, the higher the fees, and the more likely it is to be subject to customs duties or tariffs. One way businesses are overcoming this is by using fulfillment centers in the regions where their customers are located. Researching local customs regulations can also help minimize customs fees and avoid unnecessary expenses.

For instance, instead of shipping every order from the U.S. to Europe, you can store part of your inventory in a European warehouse. That way, when a customer in Germany places an order, it ships domestically within Europe instead of crossing the Atlantic.

This approach can transform a $40 international shipment into a $5 domestic one. It also shortens delivery times, which boosts customer satisfaction. E-commerce platforms like Shopify, Amazon, and WooCommerce make it relatively easy to split inventory across multiple regions, and many 3PL companies specialize in handling this process.

For individuals, this might not be practical. But for businesses even small ones regional fulfillment centers are becoming one of the most effective ways to cut costs in 2025.

5. Choose the Right Shipping Method and Timing

The shipping method you choose makes a big difference. Air freight is fast, often delivering in 1 to 3 days, but it’s the most expensive option. Sea freight, by contrast, is slower taking 2 to 6 weeks but much more affordable for bulky, non-urgent goods. Container shipping can reduce costs by spreading them across large volumes of products.

Hybrid services are another option. UPS SurePost and FedEx SmartPost, for example, handle most of the journey but hand off the final delivery to local postal services. This can reduce last-mile costs significantly. Flat-rate boxes also help when shipping heavy items, since the price doesn’t change with weight (within limits).

Timing is just as important as method. Shipping during peak holiday seasons often adds surcharges. Planning shipments during off-peak months can help you avoid these extra fees. Businesses that forecast demand and ship early can save thousands over the course of a year.

6. Streamline Customs Compliance and Insurance

Customs is one of the trickiest parts of international shipping. Incorrect paperwork or misclassified items can result in delays, fines, or higher duties. For example, using the wrong Harmonized System (HS) code can trigger unexpected tariffs. Fill out your paperwork properly to avoid fines and delays, as even small errors can lead to significant complications.

To avoid these problems, always complete customs forms carefully and double-check requirements for each country. Using customs brokers or specialized software can help you stay compliant. Many e-commerce platforms now offer automated tools that assign HS codes and prepare paperwork for you. Researching customs duties and accurately declaring item values is equally important to avoid unexpected fees.

Incoterms are another important factor. These international trade terms define who is responsible for shipping, insurance, and duties. Choosing the right Incoterms such as EXW (Ex Works) or FOB (Free on Board) can help you manage risk and costs. Businesses should leverage Free Trade Agreements (FTAs) to lower import duties and tariffs, as these agreements can significantly reduce expenses.

Insurance is also worth considering. Carrier-provided insurance often costs around $0.90 per $100 of value, while third-party insurance providers may charge as little as $0.55 per $100. Over many shipments, that difference adds up.

7. Reduce Hidden Costs Through Smarter Processes

Finally, don’t overlook the hidden fees that can quietly inflate your shipping bills. Fuel surcharges, residential delivery fees, weekend delivery fees, and customs handling charges all add up. Regularly auditing your shipping invoices can reveal patterns and give you the chance to dispute or minimize unnecessary charges.

Automation can also help. By using shipping management software, you can automatically generate labels, validate addresses, and track packages. This reduces human error, which is one of the leading causes of costly re-shipments or delays.

For businesses, keeping clear shipping records is vital. Transparency with customers about shipping times and potential duties helps avoid disputes and builds trust. For individuals, double-checking addresses before sending packages abroad can prevent expensive mistakes.

Sustainability can also play a role. Using eco-friendly packaging not only appeals to environmentally conscious customers but often reduces weight and waste, further cutting costs.

Cut Hidden Shipping costs with Smarter processes

Book a quick call to see how WeSupply cuts surcharges, reduces errors, and streamlines shipping for bigger savings.

WeSupply: Smarter Ways to Reduce Shipping Fees

Shipping across borders can feel expensive and complicated but it doesn’t have to be. With WeSupply, you get the right tools to lower costs, avoid mistakes, and keep your customers happy no matter where they are in the world. Here’s how WeSupply can make international shipping easier and more affordable:

Compare carrier rates instantly – See prices from UPS, FedEx, DHL, USPS, and more in one place, so you can always choose the cheapest or fastest option.

Save up to 83% with discounted labels – Access exclusive shipping discounts without contracts or order minimums.

Ship worldwide with 100+ carriers – Easily switch between carriers to find the best fit for each destination.

Protect your packages and budget – Built-in shipping insurance helps cover lost or stolen items.

Avoid hidden fees – Clear pricing and smart rate comparisons help you steer clear of unexpected surcharges.

Save time with automation – Auto-filled order info, bulk label creation, and fewer manual steps mean fewer mistakes and faster shipments.

Keep customers informed – Branded tracking pages, real-time updates, and easy returns reduce costly “Where’s my order?” calls.

WeSupply turns complicated international shipping into a smooth, affordable process. Instead of stressing about rising fees, you can focus on growing your business and your customers can enjoy reliable, on-time deliveries.

Want to see how much you can save? Try WeSupply today and start shipping smarter. Book a demo!

Final Thoughts on Sustainable and Profitable Shipping

International shipping doesn’t have to strain your budget. With WeSupply, you can optimize packaging, consolidate shipments, and choose the most cost-effective carriers, all while using fulfillment centers that bring your products closer to customers.

Staying ahead of customs requirements and hidden fees ensures smooth delivery, while WeSupply’s tools for real-time tracking, automated updates, and proactive customer communication add transparency and reduce stress. Shipping isn’t a “set it and forget it” cost tariffs, fees, and regulations change often, so reviewing your logistics strategy annually is essential. For businesses, these tactics improve profit margins and customer loyalty; for individuals, they make global deliveries simpler and more affordable.

Whether shipping one package or thousands, smart planning with WeSupply turns a complex process into a competitive advantage.

Returns Analytics for eCommerce Business

Book a quick call with our experts to see how WeSupply can help you understand why your customers are returning: Identify the most returned products, Understand why those products are returned, Identify which customers are serial returners, Reduce Return Rate with Actionable Insights, Returns data available in BigQuery.

Frequently Asked Questions

1. What are the main factors that increase international shipping costs?
Fuel prices, tariffs, dimensional weight, customs fees, and distance are the biggest drivers. Hidden surcharges like weekend or residential delivery also add up.

2. How can I reduce international shipping costs in 2025?
Use optimized packaging, consolidate shipments, compare carriers, leverage fulfillment centers, ship off-peak, streamline customs compliance, and audit invoices to avoid hidden fees.

3. What is dimensional weight in shipping?
Dimensional weight is when carriers charge based on package size, not actual weight. Bulky, lightweight packages often cost more than smaller, heavier ones.

4. How does WeSupply help reduce international shipping fees?
WeSupply offers discounted shipping labels, carrier comparisons, automation tools, and 100+ carrier options, helping businesses save up to 83% on costs.

5. Can WeSupply prevent hidden shipping fees?
Yes. WeSupply shows clear rate comparisons, highlights surcharges, and ensures transparent pricing so you avoid costly surprises.

6. Does WeSupply improve customer experience with international shipping?
Absolutely. WeSupply provides branded tracking, real-time updates, and easy returns, reducing customer service calls and boosting satisfaction.

7. Does WeSupply have an Official Shopify App?
Yes. WeSupply has an Official Shopify App. You can download it and start integrating with your Shopify Store.

8. Does WeSupply have an official Magento extension?
Yes, WeSupply has an official extension for Magento. The WeSupply x Magento integration allows for automating order tracking experiences, reducing customer inquiries, automating shipping email and SMS notifications, and providing a fully branded order tracking experience

9. Does WeSupply have an official BigCommerce App?
Yes, WeSupply has an official BigCommerce App. You can integrate WeSupply with your BigCommerce store to improve your post-purchase customer experience.

Learn How To Create Successful Post Purchase Email Campaigns

Build an effective post-purchase email flow that helps you increase customer satisfaction and drive revenue growth!

Negotiate better terms with suppliers. Partnering with reliable suppliers and carriers creates leverage in negotiations. For example, committing to steady shipping volume can lead to lower rates or priority service by securing discounts based on quantities shipped.

Recent articles

Shipping costs for different carriers

Flat-Rate vs. Standard Shipping: Which Saves You More?

Discover the pros and cons of flat rate and standard shipping to make the best choice for your needs. Read the article now!

anne fontaine using WeSupply exchanges

Exchanges with AI Product Recommendations BFCM: Boost Your Sales

Boost holiday sales with AI-driven recommendations this BFCM. Discover strategies to engage customers and increase conversions.

Shipping costs for different carriers

How to Plan for Peak Season Surcharges 2025

Discover essential strategies to streamline bulk returns handling and enhance efficiency. Read the article for practical tips!

Shipping costs for different carriers

How to Calculate Shipping Costs Across USPS, UPS, FedEx, and DHL

Learn how to accurately calculate shipping costs with our essential guide. Get practical tips and tools to ensure your estimates are spot on.

cubii using WeSupply exchanges

5 Proven Ways to Turn BFCM Returns into Revenue in 2025

Discover effective strategies to turn BFCM returns into profitable opportunities. Boost your revenue this season.

London Drugs using WeSupply Tracking Page to promote Black Friday campaign

BFCM Post-Purchase Strategies for 2025 to Boost Success

Discover effective BFCM shipping strategies to enhance your sales this holiday season. Maximize efficiency and delight your customers.

special return policy for black friday - WeSupply return logics

Effective BFCM Bracketing Prevention Strategies for E-commerce Success

Discover essential strategies to streamline bulk returns handling and enhance efficiency. Read the article for practical tips!

WeSupply Shipping Insurance

Ecommerce Returns Insurance: Risks Every Merchant Should Know

Master post-holiday returns management with effective strategies that streamline processes and enhance customer satisfaction.

JMcLaughlin using WeSupply exchanges

BFCM Returns to Exchanges: How to Convert Them

Master the art of managing BFCM returns and exchanges with effective strategies that boost eCommerce success.

30-min. Demo of WeSupply Returns 🔥

Best pre-recorded webinar software platform