Landed Cost Calculator
A cross-border sale doesn't end at the price tag. Duty, import VAT and a clearance fee land at the destination — and who pays them decides whether the parcel is accepted at all.
Duty and VAT rates depend on the HS code and destination; no country table is baked in. Take your own rates from your broker or the destination's tariff lookup. Starting values are examples only.
Duties you absorb
33.22 USD
That's 55% of the price, straight out of your margin.
Your margin under DDP
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How it's calculated
The calculation has two steps and the order matters. First the dutiable base: the EU and many others assess on CIF (goods + freight + insurance), while the US generally assesses on the goods value alone. Whether freight enters the base visibly changes the bill on freight-heavy products.
The second step is the one everyone skips: import VAT is charged on top of the duty — on base plus duty. Adding the rates together (e.g. 6% + 20% = 26%) understates the bill every time. The tool calls out that gap explicitly.
The third line is the clearance or disbursement fee: the carrier advances the duty and charges a flat fee to collect it. On small parcels that flat fee can exceed the duty itself.
Finally, delivery terms change everything. Under DDP you pay the duties — it hits your margin, but the buyer meets no surprise. Under DAP (formerly DDU) the buyer pays at the door — costing you nothing until the parcel is refused. The tool computes both and shows your DDP margin separately.
What people most often forget
- A surprise at the door causes refusals. Unexpected duty and clearance charges can get a parcel refused — and you pay freight twice on the return. The larger the door charge relative to the order, the stronger the case for DDP.
- A model resting on de minimis is fragile. The US, for example, suspended duty-free de minimis treatment for shipments up to $800 from all countries effective August 29, 2025 (CBP). Test your price as if the threshold didn't exist — set it to 0 and see.
- Under-declaring is not a workaround. It breaks customs rules and can lead to seizure, penalties and a damaged export record. Margin problems are solved with packaging, freight and price — not with the declaration.
- You classify the product's HS code and you carry the liability. A wrong code means either underpayment (penalties) or overpayment (margin lost quietly). Have it confirmed once by a broker.
- Consolidating cuts the flat fees, not the duty. Clearance is charged per shipment, so one parcel of ten units pays a tenth of what ten parcels pay on that line.
Scope, sources and freshness
This is a scenario calculator, not customs advice. No country duty table is embedded, deliberately: rates depend on the HS code, the trade agreements in force and the destination's current schedule, and any table here would go silently stale. You supply the rates, the basis, the clearance fee and the threshold; the starting values (6% duty, 20% VAT and the rest) are examples only. Anti-dumping duties, excise and product-specific levies are out of scope. For a binding figure, use your broker or the destination's official tariff lookup.
Sources last reviewed: 14 October 2026
Frequently asked
What's the difference between DDP and DAP?
Under DDP the seller pays duty and import VAT and the buyer owes no duties at the door. Under DAP the buyer pays. DDP costs you margin but reduces refusals caused by surprise charges. (DDU has not been an official Incoterm since 2010; DAP replaced it.)
Why is import VAT charged on top of the duty?
In most countries the VAT base is the customs value plus the duty paid. The rates compound rather than add, and on a thin-margin product that difference can decide profit or loss.
Where do I find my duty rate?
Determine the product's HS code and look it up in the destination's official tariff database. Classification is technical — have it confirmed by a broker the first time.
What is de minimis?
Some countries exempt shipments below a certain value. Thresholds vary and can disappear: the US suspended duty-free de minimis for shipments up to $800 from all countries effective August 29, 2025. The tool takes the threshold as an input — verify the destination's current figure with its customs authority.
How should I price the duty in?
Pick DDP, add the computed import charges to your unit cost, then work back to a price from your target margin. If one price serves many countries, pricing to the average and moving the high-duty markets to DAP is one option — weigh it against refusal risk.
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