Procurement, sourcing and import from the United States

Purchasing products or services seems easy, but this is not always the case. How do you know that you have the best deal, especially if you haven’t done much business before in the United States?

It already helps if you have a structured approach for your procurement and to keep your options open. Working with a local consultant or agency may help to identify more potential suppliers and to get the products that you just bought accross the border to their destination.

Find the right suppliers in the United States

For international buyers, sourcing and importing goods from the United States offers a wealth of opportunities due to the country’s diverse economic landscape. Each state has its unique strengths in terms of wage levels and product categories, combined with the ease of the U.S. dollar and federal trade regulations that simplify the import process.

Diverse Wage Levels and Product Categories

The United States is composed of 50 states, each with its own economic characteristics. States like California, New York, and Massachusetts generally have higher wage levels and are known for producing high-tech products, financial services, and luxury goods. California, for example, is a hub for technology and innovation, housing Silicon Valley, which is synonymous with cutting-edge electronics and software development.

On the other hand, states such as Texas, North Carolina, and Tennessee offer lower wage levels, making them attractive for sourcing cost-effective products such as textiles, furniture, and certain agricultural goods. Texas, with its vast resources, is a leading state for energy production and petrochemical products, while North Carolina is known for its strong textile and furniture industries.

Understanding these regional differences is vital for buyers. High-wage states often guarantee superior quality and advanced technology, ideal for sectors requiring precision and innovation. Conversely, lower-wage states can be advantageous for sourcing bulk goods and products where cost efficiency is a primary concern.

U.S. Dollar and Federal Trade Regulations

Despite the economic diversity among states, the United States benefits from a unified currency and standardized federal trade regulations. The US dollar is not only used in the United States but also for many other international business transactions, which reduces exchange risks.

Furthermore, the U.S. has robust federal regulations that govern trade and product safety, ensuring a high standard of goods. The U.S. Customs and Border Protection (CBP) agency oversees the import process, providing clear guidelines that help streamline customs procedures. The Food and Drug Administration (FDA) and the Consumer Product Safety Commission (CPSC) are examples of federal bodies that enforce stringent standards, ensuring that imported goods meet high safety and quality criteria.

Shipping your products

If you purchase tangible products, you have to ship them out of the country. Depending on the country where you want these goods, this may have implications.

First of all you may have to pay import duties or settle VAT. There are certain thresholds for both of these charges, e.g. while importing in the EU you don’t have to pay import duties on any shipment worth less than € 150.

There may also be non-financial barriers, like certifications or approvals to be obtained. Especially for food, cosmetics or medicine this may be the case. Check this in advance, even before you invest in your marketing.

VAlidate the HS-codes you use for shipping

Almost every country or trade block in the world has its own detailing on the international HS-code list. With our report you strongly reduce the risk on misclassifications, delays and higher custom duties than expected.

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A structured sourcing approach in the United States

Step 1

Supplier search

Try to identify in total 6 to 10 possible suppliers and check their websites. Approach them with a general request to see whether they have the products or services you need.

Step 2

Supplier selection

Submit your requirements to a group of three to five selected suppliers and ensure you get the right comparable quotations to make a choice. Negotiate with one or two of them to get the best result.

Step 3

Supplier management

Now start collaborating, making sure you have an efficient ordering process and limited risks where it comes to quality control and shipping the products.