U.S. Import Duty Calculator

Use our free Import Duty Calculator to estimate your customs duties and taxes based on your shipment’s origin, value, and product type.
Duty & Tax Calculator Tool (#64)

How It Works

Estimating your import duties is simple. All you need is the HTS code or description of the product you are importing, the cost and quantity of the goods being imported, and the country it’s being imported from.
  1. Use the dropdown to select the country you plan to import from.
  2. Input the HTS code or description of your product. Wait for results to populate and choose the option that best matches your product.
  3. Input the value and quantity of the product being imported.
  4. (Optional) Input any freight and insurance costs paid on the shipment.
  5. Click “Proceed with Lookup” to request your import duty estimate.
Please be advised that while our U.S Import Duty Calculator offers an estimate, the final rate of duty applied to shipments is determined solely by Customs and Border Protection (CBP). For comprehensive guidance and clarification regarding the import duties owed on your goods, we strongly recommend consulting with a licensed customs broker.

What are U.S. Customs Duties?

U.S. import duties, also known as tariffs, are taxes imposed by the U.S. government on goods imported into the country. These duties are levied to regulate trade, protect domestic industries, and generate revenue for the government. 

Import duties can vary widely depending on the type of goods, their value, their country of origin, and specific trade agreements in place.

What Factors Determine Import Duties?

Several factors influence the amount of import duty an importer will pay:

 

  1. Classification of Goods: The Harmonized Tariff Schedule (HTS) categorizes imported goods into specific classifications, which defines the duty rate owed on a product. The classification and duty rate assigned to a product varies depending on its makeup, form and function.
  2. Country of Origin: Import duties can vary depending on the country from which the goods originate. Some countries may benefit from preferential duty rates due to trade agreements such as Free Trade Agreements (FTAs) or Most Favored Nation (MFN) status.
  3. Value of Goods: Import duties are calculated based on the transaction value of the goods (price paid or payable), not including any overseas freight and insurance charges. This is the FOB value.

How are Customs Duties Calculated?

Customs duties are calculated based on the FOB value of the imported goods and the applicable duty rate. The FOB value only takes into account the cost of the goods that will be entered into the U.S.; not the insurance and freight costs. The duty rate is determined by the classification of the goods in the Harmonized Tariff Schedule (HTS). 

The calculation formula for import duties is straightforward: Simply multiply the total dutiable value of the product by its duty rate (as defined by its HTS code). 

(Value of Goods x Duty Rate) = Import Duty

We’ll look at a real-world example of a duty calculation for an importer shipping sandals from Germany to the United States using the HTS code 6402.99.27 and working with USD currency values.

First, let’s figure out the dutiable value of the shipment once it arrives at a U.S. port of entry.

An importer purchases 500 pairs of sandals from a German manufacturer at $50 per pair/unit. This makes the total value of the goods at initial purchase $25,000.

Infographic defining Dutiable Value (The total value of goods used to calculate final import duty), the Total Invoice Value (Purchase Cost + Freight Charges + Insurance Coverage), Insurance Coverage (Cost to protect shipment's business value), and Freight Charges (Cost to transport goods to a U.S. port of entry). It also defines the formula for Dutiable value as Total Invoice Value - Insurance Coverage - Freight ChargesInfographic defining Dutiable Value (The total value of goods used to calculate final import duty), the Total Invoice Value (Purchase Cost + Freight Charges + Insurance Coverage), Insurance Coverage (Cost to protect shipment's business value), and Freight Charges (Cost to transport goods to a U.S. port of entry). It also defines the formula for Dutiable value as Total Invoice Value - Insurance Coverage - Freight Charges
Infographic visualizing the import duty calculation for a $25,000 dutiable value (FOB value) shipment, multiplying that value by a duty rate of 3%, for a final duty amount owed of $750Infographic visualizing the import duty calculation for a $25,000 dutiable value (FOB value) shipment, multiplying that value by a duty rate of 3%, for a final duty amount owed of $750

Then comes the shipping process. Additional costs paid by the importer will now include:

  • $2,500 in freight charges to get the sandals to a U.S. port of entry
  • $500 in insurance coverage to protect the investment en route 

That’s an extra $3,000, so now they’re looking at a total invoice value of $27,500 at the time the goods arrive.

Good news, though. Duty rates are assessed on the dutiable value, which only includes the initial purchase cost. The freight and insurance charges are not part of the final duty calculations, so you will still only be calculating duty for $25,000.

Once the dutiable value is determined, you can calculate the duty rate. The rate is published alongside the product’s confirmed HTS code and can be based on a percentage of the value, quantity, or a combination of both.

Sandals fall under the HTS code 6402.99.27, which carries a duty rate of 3% of the dutiable value only. In order to calculate the duty rate, we will multiply $25,000 by that 3% duty rate to get a final duty amount owed of $750.

What is the Simplest Way to Calculate Import Duties and Taxes?

The simplest way to calculate import duties and taxes is to utilize online customs duty calculators or consult with a licensed customs broker. 

These resources allow importers to input relevant information such as the country of origin, product description, and value of goods to obtain an estimate of the import duties and taxes owed. 

Additionally, some countries provide duty calculators on their customs websites, which can assist importers in determining the applicable duty rates and taxes for their imports. By leveraging these resources, importers can streamline the process of calculating import duties and ensure compliance with customs regulations.
Consult with Broker
USA Customs Clearance
315 NE 14th St #4122
Ocala, FL 34470
(855) 912-0406
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