How to Calculate Import Duty from China to USA

Updated: 2026-10-15

Current US import rules for goods from China, checked against official sources:

• The $800 de minimis exemption no longer applies. It ended for goods from China and Hong Kong on May 2, 2025, and for all countries on August 29, 2025. Shipments of any value, including samples sent by express courier or mail, need a customs entry and pay any duties that apply.
• The extra tariffs imposed under IEEPA in 2025, including the 145% and later 30% rates on Chinese goods, ended on February 20, 2026, after the Supreme Court ruled that IEEPA does not authorize tariffs. A temporary 10% Section 122 surcharge applied from February 24 to July 23, 2026 and has expired.
• Goods from China now generally pay the normal (MFN) duty for their HTS code, plus China Section 301 duties (25% on Lists 1 to 3, 7.5% on List 4A, higher on some products), plus a 12.5% Section 301 duty in effect since July 24, 2026 (some products are exempt). Section 232 duties apply to products such as steel, aluminum and copper.
• Rates and exemptions change. Check your product's HTS code at hts.usitc.gov or with a licensed customs broker before you order.

Official sources for these rules are listed in our updated de minimis guide.

Import duty from China to the USA is calculated from the Harmonized Tariff Schedule (HTS) code for your product and its customs value. Most goods from China pay the normal duty for the HTS code plus Section 301 duties (mostly 25% or 7.5%, and a further 12.5% since July 24, 2026). Understanding this calculation is essential for accurate cost forecasting, pricing strategy, and compliance with US Customs and Border Protection (CBP) regulations.

As a business owner importing from China, underestimating tariff costs can erode your profit margins significantly. This guide walks you through the exact calculation method, real tariff rates, and strategies to minimize duty expenses without compromising quality or compliance.

What Is Import Duty and How Is It Calculated?

Import duty (also called tariff or customs duty) is a tax imposed on goods entering the United States from foreign countries. The CBP calculates it using a simple formula:

Import Duty = Declared Value × Applicable Tariff Rate

The “declared value” is the cost of goods (FOB—Free on Board from the factory), while the tariff rate depends on your product’s HTS classification. For example, if you import cotton t-shirts valued at $5,000 with a 16.5% tariff rate, your duty would be $825.

This calculation applies to nearly all goods except those covered by trade agreements like the US-Mexico-Canada Agreement (USMCA) or items specifically excluded from duty.

Are There Tariffs on Orders Under $800 from China?

Yes. Tariffs apply to orders from China of any size. The de minimis rule that once allowed duty-free entry for shipments valued at $800 or less ended for goods from China and Hong Kong on May 2, 2025, and for all countries on August 29, 2025.

What this means in practice:

• Every shipment needs a customs entry (formal or informal), even a small parcel sent by express courier or mail.
• Splitting one order into several small parcels no longer avoids duty.
• Fees still apply on top of duty, such as the Merchandise Processing Fee on formal entries (see below).

Budget for duty on every order from China, whatever its value.

How to Find Your Product’s HTS Code and Tariff Rate

The HTS code is a 10-digit number that classifies your product for duty calculation purposes. Finding the correct code is critical—using the wrong one can result in underpayment penalties or seizure.

Step 1: Identify Your Product Category

HTS codes are organized hierarchically. For example:

• Chapter 61: Articles of apparel knitted or crocheted
• Chapter 62: Articles of apparel not knitted or crocheted
• Chapter 64: Footwear
• Chapter 85: Electrical machinery and equipment

Step 2: Use the Official HTS Database

The US International Trade Commission (USITC) maintains the official database at usitc.gov/tata/hts. You can search by product name, and the system will return candidate codes with their current duty rates.

Step 3: Verify with a Customs Broker or Classification Service

If you’re importing regularly or handling complex products, verify your HTS code with a licensed customs broker ($50–$300 per classification) or use tools like HTS.UN.org and the CBP’s Customs Rulings Online Search System (CROSS). Mangors Sourcing, as an experienced China sourcing agent, works with established customs brokers to ensure correct classification from the outset—preventing costly delays and duty miscalculations.

Real Tariff Rate Examples by Product Category

Tariff rates vary dramatically by product. Here’s a breakdown of common import categories:

These are normal (MFN) duty rates. Goods from China usually also pay Section 301 duties on top, so a product with 0% normal duty can still owe 25% or more. Always check the full rate for your HTS code.

Additional Costs Beyond Tariffs: The Complete Landed Cost

When calculating total import costs, tariffs are only one component. Here’s what else you’ll pay:

1. Merchandise Processing Fee (MPF): 0.3464% of the value on formal entries, with a minimum of $34.58 and a maximum of $670.86 per entry (from October 1, 2026). On a $10,000 shipment, this is about $34.64.
2. Harbor Maintenance Fee (HMF): 0.125% of entered value for ocean shipments. On $10,000, this is $12.50.
3. Customs Broker Fees: $100–$300 per shipment for customs clearance and documentation.
4. Freight and Shipping: LCL (less-than-container load) from China to US port typically costs $1,500–$3,500; full containers (FCL) cost $3,000–$7,000 depending on weight and destination. Air freight runs $4–$12 per kilogram.
5. Port Drayage and Inland Transportation: $300–$800 from port to your warehouse (varies by port and distance).

Complete Landed Cost Example:

For a $20,000 order of cotton shirts with a 16.5% normal duty (Section 301 duties not included):

• Product cost (FOB): $20,000
• Tariff (16.5%): $3,300
• MPF (0.3464%): $69.28
• HMF (0.125%): $25
• Ocean freight (LCL): $2,500
• Customs broker fees: $200
• Drayage and inland freight: $500
• Total landed cost: $26,594.28

Your actual cost per unit increases by approximately 33% when all duties and freight are factored in.

Section 301 Tariffs: Additional China-Specific Duties

Beyond standard HTS tariffs, the US has imposed additional tariffs on Chinese goods under Section 301 of the Trade Act of 1974. These duties are mostly 25% or 7.5%, reach 100% on some products such as electric vehicles, and are added on top of regular tariffs. Since July 24, 2026, a further 12.5% Section 301 duty also applies to most products of China.

Key products affected by Section 301 tariffs (25% additional duty):

• Electronics and semiconductors
• Machinery and mechanical appliances
• Optical and precision instruments
• Certain apparel and textiles

For example, if you import an electronic device with a standard 6.5% HTS tariff and it’s subject to 25% Section 301 tariff, your total tariff rate becomes 31.5% of the declared value.

Check the Office of the US Trade Representative (USTR) website at ustr.gov for the complete list of affected products and current rates, which are subject to change.

How to Reduce Import Duties Legally

1. Explore Free Trade Agreements (FTAs)

While China is not part of a major FTA with the US, goods manufactured in other countries may qualify for preferential rates. For example, products made in Mexico under USMCA qualify for 0% duty on many categories. If feasible, sourcing from alternative countries can yield significant savings.

2. Use Duty Drawback Programs

If you import materials and then export finished goods, you may reclaim up to 99% of paid duties. This is valuable for contract manufacturers or businesses with international operations.

3. Classify Products Correctly

Working with a customs broker to confirm HTS classification prevents overpayment. A seemingly minor classification difference can shift your rate from 16.5% to 0%.

4. Negotiate FOB Pricing with Suppliers

Since tariffs apply to FOB value, reducing your purchase price lowers duty costs proportionally. A $1,000 price reduction on a $10,000 order saves $165 in tariffs (at 16.5%).

5. Consider Bonded Warehouses

Storing goods in a US Foreign Trade Zone (FTZ) can defer or reduce duties if goods are re-exported or further processed domestically.

Why Partner with Mangors Sourcing for Tariff Planning

Calculating and managing import duties requires expertise in product classification, trade policy, and supply chain logistics. Small and medium businesses often overlook tariff costs during sourcing, resulting in surprise expenses and margin compression at final accounting.

Mangors Sourcing helps businesses navigate these complexities as a full-service China sourcing agent. Our services include:

• Supplier vetting and auditing to ensure cost-effective production and compliance
• Product classification assistance and HTS code verification with customs specialists
• Landed cost calculations including tariffs, freight, and all ancillary fees upfront
• Quality control and inspection before shipment to prevent costly rejections
• Logistics coordination including customs clearance and delivery

By working with Mangors Sourcing from the sourcing phase, you’ll have accurate duty estimates before committing to production, allowing you to price competitively while protecting margins.

Key Takeaways

• Import duty = Declared FOB Value × HTS Tariff Rate (typically 0%–25% for most products)
• The $800 de minimis exemption no longer applies to goods from China (it ended on May 2, 2025)
• Tariffs are one of many landed costs; total costs can increase 30%–50% beyond factory price
• Find your HTS code using the USITC database and verify with a customs broker
• Section 301 tariffs on China products add 0%–100% additional duty on top of standard rates
• Legal duty reduction strategies include correct classification, FTA sourcing, and negotiated FOB pricing

Ready to calculate accurate tariffs for your China imports? Contact Mangors Sourcing for a free consultation. Our sourcing specialists will help you identify the right suppliers, confirm product classification, and provide detailed landed cost analysis—ensuring your import strategy is both compliant and profitable. Reach out today to discuss your sourcing needs.