Customs Duty

Category: Customs

Definition (plain English)

An import charge calculated from the goods classification, customs value, origin, and any applicable tariff or trade-measure rules.

Why it matters commercially

Duty changes true landed cost and margin; a small rate error can make an approved sell price unprofitable or trigger post-entry reassessments.

Example

A buyer priced a product at 4% duty, then broker classification confirmed 12%, cutting planned margin below the launch threshold.

Common mistake

Applying one duty percentage to the supplier invoice value without checking customs value basis, freight inclusion, origin preference, or trade-remedy measures.

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