What's Happening?
Import duty in the United States is a tax imposed on goods from other countries, calculated using the FOB method, which considers only the customs values of the imported goods. This tax aims to make foreign products less desirable and encourage support
for the domestic market. Import duty percentages vary for each category of goods, and the taxable value is usually based on the value of the goods, though it can include other amounts depending on the country's valuation method.
Why It's Important?
Understanding how import duties are calculated is crucial for businesses involved in international trade. Accurate calculation ensures compliance with U.S. customs regulations and helps avoid unexpected expenses or penalties. Import duties can significantly affect the pricing and competitiveness of foreign goods in the U.S. market, impacting consumer choices and business strategies.
What's Next?
Businesses must stay informed about changes in import duty rates and valuation methods to optimize their import strategies. Utilizing tools like duty calculators can aid in precise cost estimation and compliance.
