When you import from China to US, it is important to know what is the import tax. In this post, we will introduce to you the comprehensive knowledge about import tax.

Goods from China to the US are subject to import duty and taxes. The rates depend on current laws. Knowing the current duty rate by country and how to compute it for your shipment can help you prepare for costs and achieve a stress-free shipping experience.

What is Import Tax?

You must pay import tax on goods you bring into the US from China. Some goods are exempt because of international trade agreements. The United States Customs and Border Protection (CBP) enforces customs rules.

Duties vary by country and type of product. You must know the Harmonized Tariff Schedule or HTS code to calculate the exact rate. CBP uses the extended version of the international HS codes — the Harmonized Tariff Schedule of the United States Annotated (HTSUS).

The minimum import tax is $800. You don’t need to be subject to the goods valued below it.

Import Tariff China

If your product has an HS Code starting with the numbers 9003 – 9006, it’s an electronic good and will attract 6% duty. If you’re importing clothes made in China with FOB prices exceeding $5,000 per piece, you’ll have to pay 27% duty plus additional state taxes.

If your shipment weighs less than 10kg per cubic metre, you will be charged 5% customs duty on the CIF value plus transport and insurance costs. This is a general rule of thumb and may vary depending on the product type, its country of origin, and other specifications required by CBP.

  1. Import tax from China to the US depends on the goods being imported and their value, rangeing from 0% to over 25%.
  2. Import tax rates can also vary based on trade agreements between the two countries.
  3. Some products may be subject to additional tariffs or anti-dumping duties.
  4. Importers should consult with customs authorities or trade experts for specific information on import tax rates for their products.
  5. Trade policies and international relations can also affect import tax rates.

Key Resources to look up Tariff Rates

  • Agricultural Tariff Tracker
  • Customs Info Database (Descartes) – This tariff search tool allows you to search duty rates MFN and Free Trade Agreement as well as local taxes for over 170 countries. This is free but requires registration. You will need your 6-digit HS code to conduct the search.  This database also includes FTA duties.
  • European Union Tariffs (TARIC) use tariff rates listed for exports to 27 EU member countries.
  • FTA Tariff Tool: all products, including agricultural and non-agricultural goods.
  • South Africa Customs Union (SACU)
  • WTO Tariff Database: tariffdata.wto.org.

Look up your Harmonized System (HS) code

The first step to finding the duty rate for your product is to know its HS Code or Schedule B number and find the applicable tariff and tax rates for a specific country. The Census Bureau offers a free online tool and video to help you classify your products. If you’re still unsure, you can call the U.S. Government at 1-800-549-0595.

China Import Tax
China import tax

How to Calculate US Import Tax from China?

If you need to import garden umbrellas cost $28,000 from China to the US. You’ll need to check the commodity code for umbrellas to find out how much you’ll need to pay, and apply the import duty rate for that code — 6.5%. Each code with its own tariff rate.

Tax will be due on the cost of the goods without shipping, which in this case is $28,000. 6.5% of $28,000 is $1,820. So for the good and customs duty, you’ll pay $29,820 in total.

How to Pay Import Tax?

When importing goods from China to the USA, you have to pay customs duty to the U.S. Bureau of Customs and Border Protection (CBP) before your goods can be released. If the value of your shipment is over $800, you also have to pay import VAT. Additionally, you may have to pay state taxes on your goods, depending on where they are coming from or going to. These rates can be from 0 to 2 %.

You can sometimes ask your carrier to release your goods without paying the duty and taxes in advance. This means you can get a letter of credit from them that will cover import duties/taxes on your shipment before it’s delivered. Or you can provide enough collateral security upfront. If you use a customs broker, they should know these terms and charge a flat fee. It doesn’t make sense to use one if they charge by document, as there might only be a few. This fee is based on the weight and value of your shipment.

If you need to pay import duty on a delivery from China, US customs will let you or your courier know and contact you. They’ll tell you how much you need to pay and when it’s due. You won’t need to worry about calculating it yourself. To save time, you can usually get your supplier to send the shipping invoice before the delivery. You can let CBP or your courier know in advance and pay before the goods arrive in the US.

Can You Get a Refund for Import Duty and Taxes?

Yes, You can get a refund of duties/taxes if your goods are sold or destroyed under CBP supervision. You need to file a claim with proof. Wait until the final duties/taxes payment is due to avoid penalties.

FAQ

What is 3 types tariffs for commodities importing into china?

I. Customs Duty
II. Value-added tax
III. Consumption tax

These tariffs rate depend on the different types of commodities, countries, and import way.

What is China Customs duty for imported commodities?

What is Value-added Tax for imported goods in China?

Conclusion

After you know the import rax from China to US, you can do good business, if you have any questions about import from China, please do not hesitate to contact us, we do import and export business for many years with lots of experience.

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