International vehicle shipping has its own vocabulary. Quotes, customs brokers and shipping lines use terms like Bill of Lading, HS code, dimensional weight and Letter of Credit — often without explaining them. This glossary explains each term in plain language, corrects outdated definitions still found online, and shows where each one matters when you ship a car, motorcycle or parts.
In this glossary
1. Quick-reference table
| Term | What it is | Why it matters for your vehicle |
|---|---|---|
| Bill of Lading (B/L) | Carrier's document: contract of carriage, receipt and — in negotiable form — document of title | Lists your vehicle by VIN and controls who collects it at destination |
| HS code | International 6-digit product classification used by customs | Sets the duty rate — e.g. 8703 for cars vs. 9705 for qualifying collector cars |
| Dimensional weight | A "weight" calculated from size, billed when higher than actual weight | Applies to parts, boxes and air cargo — not a car in its own container slot |
| Letter of Credit (LC) | A bank's undertaking to pay a seller against specified documents | Used when buying a vehicle from a business abroad |
2. Bill of Lading (B/L or BOL)
A Bill of Lading is the document a carrier issues when it receives cargo. B/L is the usual ocean-freight abbreviation and BOL is common in North American trucking — they mean the same thing. It does three jobs:
- Contract of carriage: the terms under which the carrier moves the goods
- Receipt: confirms what was loaded, in what condition and in which container
- Document of title: only in negotiable ("to order") form — the holder of the endorsed original can claim the cargo
Not every B/L is a document of title:
| Type | How release works | Typical use |
|---|---|---|
| Negotiable ("to order") B/L | Originals must be surrendered; can be endorsed to a new owner | Commercial sales, especially with a Letter of Credit |
| Straight B/L | Names a specific consignee; not transferable | Trusted buyer–seller relationships |
| Sea waybill | No originals; named consignee collects on identification | Private shipments and relocations |
| Telex / express release | Originals surrendered at origin, release sent electronically | Avoids courier delays |
For a vehicle, check that the B/L shows the correct VIN, make, model and year, container and seal numbers and consignee. A mismatch between B/L and title is a common cause of holds. You may also see a Master B/L (carrier to forwarder) and a House B/L (forwarder to you) for the same voyage.
3. HS codes (Harmonized System)
The Harmonized System is the product classification customs authorities in more than 200 economies use to apply duty rates and collect statistics. It is maintained by the World Customs Organization (WCO) in Brussels — older glossaries still use its pre-1994 name, the "Customs Co-operation Council".
Structure (HS 2022 edition)
- 21 sections in Roman numerals — Section XVII covers vehicles, aircraft and vessels
- 97 chapters in use, with Chapter 77 reserved; Chapters 98 and 99 are left for national provisions
- 1,228 headings (4-digit) and 5,612 subheadings (6-digit)
- Revised every five years — HS 2027 is scheduled to take effect on 1 January 2027
| Country / region | National schedule | Digits |
|---|---|---|
| United States | HTSUS (duty at 8 digits, statistics at 10); exports use Schedule B | 10 |
| Canada | Customs Tariff (CBSA) | 10 |
| European Union | Combined Nomenclature (8) and TARIC (10) | 8–10 |
| Turkey | Turkish Customs Tariff (GTİP) | 12 |
Note: older sources still call the U.S. schedule "TSUSA" — it was replaced by the HTSUS in 1989.
HS codes for vehicles
- 8703 — passenger cars, SUVs and vans
- 8711 — motorcycles and mopeds
- 8704 — goods vehicles such as pickups and trucks
- 9705 — collectors' pieces; in the EU this can include cars 30+ years old, original and no longer in production. See our classic car restoration in Poland guide
Customs, not the shipper, decides the classification — a wrong code can mean penalties or a higher duty bill.
4. Dimensional ("dim") weight
Dimensional weight (volumetric weight) exists because a large, light package uses more space than its scale weight suggests. Carriers calculate a weight from the dimensions and bill whichever is greater — the chargeable weight.
- Imperial: L × W × H (inches) ÷ divisor = pounds
- Metric: L × W × H (cm) ÷ divisor = kilograms
Older guides quote divisors of 166 (international) and 194 (domestic) — outdated for most express services. Today 139 in³/lb (≈ 5,000 cm³/kg) is the most common divisor for major express carriers; some economy services still use 166 (≈ 6,000 cm³/kg), and air cargo usually works on 6,000 cm³/kg. Always check your carrier's current rate guide.
Worked example: a 30 × 24 × 22 in box (15,840 in³)
| Divisor | Calculation | Dimensional weight |
|---|---|---|
| 139 (most express services) | 15,840 ÷ 139 = 113.96 | 114 lb |
| 166 (economy / legacy) | 15,840 ÷ 166 = 95.42 | 96 lb |
If the box weighs 60 lb, you pay for 114 lb (or 96 lb). Carriers also round each dimension up before calculating.
Does dim weight apply to shipping a car?
Not in the same way. A car by ocean container is priced per container slot; RoRo is priced per vehicle or by volume. Ocean cargo such as a pallet of parts is charged on "weight or measure" (1 m³ is usually treated as 1,000 kg). Dim weight matters most for parts, wheels, boxes and air freight — see air freight vehicle shipping.
5. Letter of Credit (LC)
A Letter of Credit is a bank's written undertaking, issued on the buyer's instructions, to pay the seller once documents matching the LC's terms are presented — typically an invoice, a Bill of Lading and insurance documents, within a deadline. Banks pay against documents, not goods. Most LCs follow the ICC's UCP 600 rules.
- Irrevocable: cannot be changed without everyone's agreement — the modern default
- Confirmed: a second bank adds its own guarantee
- Sight vs. deferred: payment on presentation or at a set later date
- Standby: a guarantee drawn only if the buyer fails to pay
Do I need a Letter of Credit to ship my vehicle?
Usually no. Shipping your own vehicle involves no sale, so there is nothing for an LC to secure. LCs matter when you buy a vehicle from a business abroad and want the seller paid only once the car has shipped — usually against a negotiable Bill of Lading. For smaller private purchases, regulated escrow is often simpler.
6. More terms on a vehicle shipment
Transport and pricing
- RoRo: the vehicle is driven onto a car-carrier ship — see RoRo shipping
- FCL / LCL: full container (yours alone) vs. shared container
- Consolidation: several vehicles sharing one container or truck
- CBM: cubic metre, the unit of volume in ocean freight
- Demurrage / detention: daily charges when a container overstays free time inside or outside the terminal
- Incoterms® 2020: standard terms (EXW, FOB, CIF, DAP, DDP…) defining where the seller's cost and risk end
Customs and compliance
- Customs broker: licensed professional who files customs declarations. On our North American routes customs is handled by you or your broker, not UZCAN — see Canada and USA
- CERS: Canadian Export Reporting System (CBSA)
- AES / EEI: U.S. export filing system and data; used vehicles also have their title presented to CBP before export
- ISF ("10+2"): Importer Security Filing before ocean cargo is loaded for the U.S.
- EORI: identification number for EU customs
- T1 transit: EU procedure for moving goods under customs control before clearance
- Inward processing: EU procedure suspending duty and VAT on non-EU goods brought in for repair and re-exported
Insurance and handover
- Agreed value insurance: value agreed in advance — standard for our classic and luxury vehicle shipping
- Handover protocol: photo-documented condition report at pickup and delivery — see our damage & insurance guide
Summary: 5 things to remember
- A Bill of Lading is a document of title only in negotiable form — a sea waybill is often simpler for private vehicles
- The HS code sets your duty rate; the first 6 digits are global, the rest national
- Most express carriers now use a dim-weight divisor of 139 (5,000 metric), not 166/194
- Dim weight applies to parts and air cargo, not a car in its own container slot
- You rarely need a Letter of Credit unless buying from a business abroad
Questions about your paperwork? Message us on WhatsApp. See also our international vehicle transport page and our guide to restoring a classic car in Poland.