diff --git a/.changeset/eleven-insects-eat.md b/.changeset/eleven-insects-eat.md
new file mode 100644
index 0000000000..ad903c5196
--- /dev/null
+++ b/.changeset/eleven-insects-eat.md
@@ -0,0 +1,5 @@
+---
+"medusa-payment-klarna": patch
+---
+
+Fixes issue where shipping totals are calculated incorrectly
diff --git a/packages/medusa-payment-klarna/src/api/routes/hooks/address.js b/packages/medusa-payment-klarna/src/api/routes/hooks/address.js
index dc61a4f3c0..1081b4fee3 100644
--- a/packages/medusa-payment-klarna/src/api/routes/hooks/address.js
+++ b/packages/medusa-payment-klarna/src/api/routes/hooks/address.js
@@ -73,6 +73,7 @@ export default async (req, res) => {
               "gift_card_total",
               "subtotal",
               "total",
+              "shipping_total",
               "tax_total",
               "discount_total",
               "subtotal",
diff --git a/packages/medusa-payment-klarna/src/api/routes/hooks/shipping.js b/packages/medusa-payment-klarna/src/api/routes/hooks/shipping.js
index a9058b3771..b7bb449da5 100644
--- a/packages/medusa-payment-klarna/src/api/routes/hooks/shipping.js
+++ b/packages/medusa-payment-klarna/src/api/routes/hooks/shipping.js
@@ -28,21 +28,19 @@ export default async (req, res) => {
     )
 
     const ids = selected_shipping_option.id.split(".")
-    await Promise.all(
-      ids.map(async (id) => {
-        const option = shippingOptions.find((so) => so.id === id)
-
-        if (option) {
-          await cartService.addShippingMethod(cart.id, option.id, option.data)
-        }
-      })
-    )
+    for (const id of ids) {
+      const option = shippingOptions.find((so) => so.id === id)
+      if (option) {
+        await cartService.addShippingMethod(cart.id, option.id, option.data)
+      }
+    }
 
     const newCart = await cartService.retrieve(cart.id, {
       select: [
         "gift_card_total",
         "subtotal",
         "total",
+        "shipping_total",
         "tax_total",
         "discount_total",
         "subtotal",
@@ -61,6 +59,7 @@ export default async (req, res) => {
     })
 
     const order = await klarnaProviderService.cartToKlarnaOrder(newCart)
+
     res.json(order)
   } catch (error) {
     throw error
diff --git a/packages/medusa-payment-klarna/src/services/klarna-provider.js b/packages/medusa-payment-klarna/src/services/klarna-provider.js
index 6495305644..f9614dbd9b 100644
--- a/packages/medusa-payment-klarna/src/services/klarna-provider.js
+++ b/packages/medusa-payment-klarna/src/services/klarna-provider.js
@@ -92,7 +92,9 @@ class KlarnaProviderService extends PaymentService {
             totals.tax_lines.reduce((acc, next) => acc + next.rate, 0) / 100
 
           name.push(next?.shipping_option.name)
-          taxRate += (totals.total / cart.shipping_total) * methodTaxRate
+
+          total += totals.total
+          taxRate += (totals.price / cart.shipping_total) * methodTaxRate
           tax += totals.tax_total
         }
       }
@@ -103,7 +105,7 @@ class KlarnaProviderService extends PaymentService {
         type: "shipping_fee",
         unit_price: total,
         tax_rate: taxRate * 10000,
-        total_amount: cart.shipping_total,
+        total_amount: total,
         total_tax_amount: tax,
       })
     }