Shipping
Import Duties, Tariffs & Landed Cost: The 2026 Guide for China Importers
If you import from China into the US in 2026, you are dealing with the most complex tariff environment in modern trade history. Multiple tariff layers stack on top of each other. The rules changed three times in the first two months of this year alone. And the $800 de minimis exemption that many ecommerce sellers relied on no longer exists.
This article explains what you actually owe when your goods cross the US border, how to calculate your landed cost, and what you can do to reduce your duty exposure without breaking any rules.
US-China tariff policy is changing frequently. Section 301 investigations launched in March 2026 could result in additional tariffs later this year. The Section 122 global tariff expires around July 24, 2026 unless Congress extends it. Check the USTR website and your customs broker for the latest rates before making sourcing decisions.
Chinese imports into the US currently face up to three separate duty layers that stack on top of each other. Understanding which apply to your product is the starting point for any landed cost calculation.
| Tariff Layer | Rate | Status (April 2026) | Applies To |
|---|---|---|---|
| Standard MFN duty | 0-37.5% | Active (permanent) | All imports, rate set by HTS code |
| Section 301 (2018) | 7.5-100% | Active (no expiry) | ~$370B of Chinese goods across 4 lists |
| Section 122 global | 15% | Active (temporary, ~150 days from Feb 24) | Most imports from all countries |
| IEEPA tariffs | Struck down (Feb 20, 2026) | No longer applies. CBP processing refunds. |
Every product imported into the US has a base duty rate determined by its HTS (Harmonized Tariff Schedule) code. These rates have been in place for decades and vary by product category. Electronics often fall in the 0-5% range. Apparel runs 16-32%. Footwear can reach 8-37.5% depending on material and construction. Furniture and home goods typically fall between 0-10%. These rates apply to imports from all countries, not just China.
The Section 301 tariffs on Chinese goods were first imposed in 2018 under the Trade Act of 1974. They target specific unfair trade practices and apply additional tariffs on top of the standard MFN rate. These tariffs cover approximately $370 billion worth of Chinese goods across four lists, with additional rates of 7.5% to 25% on most products, and up to 100% on specific categories like electric vehicles, solar cells, and medical gloves.
Section 301 tariffs have no expiry date and do not require congressional approval. They have survived every legal challenge since 1974. USTR periodically grants product-specific exclusions, but these are temporary and must be renewed. As of April 2026, certain exclusions have been extended through November 10, 2026.
After the Supreme Court struck down the IEEPA tariffs on February 20, 2026, the administration imposed a 15% global tariff under Section 122 starting February 24. This tariff applies to most imports from all countries (with exemptions for certain agricultural products, pharmaceuticals, semiconductors, critical minerals, and energy products). It is temporary by law: Section 122 tariffs are limited to 150 days and expire around July 24, 2026 unless Congress approves an extension.
A consumer electronics product from China with 0% base duty and 25% Section 301 tariff, plus the 15% Section 122 tariff, faces a combined duty rate of 40%. On a $10,000 shipment, that is $4,000 in duties before it even clears customs. If the same product had a 3% base duty, the total climbs to 43%.
Landed cost is the total cost of getting a product from a Chinese factory to your warehouse, Amazon FBA centre, or customer's door. Many sellers know their product cost and shipping cost but underestimate or ignore the duties and fees that add 25-45% to the total.
Product cost (FOB): The price your factory charges for the goods, loaded at the port of origin in China. This is your starting number.
Freight: The cost of shipping from China to the destination country. This varies by method: express ($8-11/kg), air freight ($4.50-7/kg), sea freight ($0.35-1.20/kg for FCL). See our shipping costs guide for current rates.
Insurance: Typically 0.3-0.5% of the CIF value. Optional but recommended, especially for sea freight where carrier liability is limited by weight, not by commercial value.
Customs duties: Calculated as a percentage of the customs value (usually CIF: cost + insurance + freight). This is where the three tariff layers stack up. Your total duty rate is MFN base rate + Section 301 rate + Section 122 rate.
Brokerage fees: A licensed customs broker files entry documents with CBP. Fees typically run $100-$250 per entry for standard commercial shipments. Some brokers charge a percentage of duty value on larger entries.
Last-mile delivery: From the port or airport to your warehouse. Inland trucking, drayage, or domestic courier depending on destination.
These are approximate combined rates for goods imported from China into the US as of April 2026. The MFN rate and Section 301 rate vary by specific HTS code within each category. Use these as planning estimates, not as filing rates.
| Product Category | MFN Base | Section 301 | Section 122 | Estimated Total |
|---|---|---|---|---|
| Consumer electronics | 0-5% | 7.5-25% | 15% | 22.5-45% |
| Apparel / textiles | 16-32% | 7.5% | 15% | 38.5-54.5% |
| Home goods / kitchenware | 0-8% | 7.5-25% | 15% | 22.5-48% |
| Toys / games | 0-6.5% | 7.5-25% | 15% | 22.5-46.5% |
| Supplements / health | 0-6% | 7.5-25% | 15% | 22.5-46% |
| Furniture | 0-10% | 25% | 15% | 40-50% |
| Auto parts | 2.5-6% | 25% | 15% | 42.5-46% |
| Beauty / cosmetics | 0-5% | 7.5-25% | 15% | 22.5-45% |
The exact rate for your product depends on its 10-digit HTS code. You can look up your product's HTS classification at hts.usitc.gov. If you are unsure of the correct classification, a customs broker or your 3PL can help determine it before you ship.
For years, shipments valued under $800 could enter the US duty-free under Section 321 of the Tariff Act. This was the backbone of direct-from-China ecommerce for platforms like Temu and Shein, and it also benefited small Amazon sellers and dropshippers importing low-value goods.
That exemption was suspended for China and Hong Kong on May 2, 2025. Then on August 29, 2025, it was suspended for all countries. As of April 2026, every commercial shipment entering the US requires formal customs entry and is subject to all applicable duties regardless of value. The One Big Beautiful Bill Act is expected to permanently eliminate de minimis on July 1, 2027.
For ecommerce sellers who were shipping individual orders from China under $800, this changes the economics entirely. Every package now incurs duties, brokerage fees, and formal entry processing. The practical response: consolidate shipments to a US warehouse or Amazon FBA centre rather than shipping individual orders directly to US customers.
DDP (Delivered Duty Paid) means you, the seller, pay all duties, taxes, and customs fees before the shipment reaches your customer. The buyer receives the package with zero additional charges. This is the standard for D2C ecommerce brands because unexpected duty charges at delivery cause refused packages, chargebacks, and negative reviews.
DDU (Delivered Duty Unpaid) means the buyer is responsible for duties and taxes at the point of import. The courier or postal service collects these charges from the buyer before releasing the package. For FBA shipments, Amazon acts as the importer of record and handles the duty payment, but the cost still comes out of your margin.
When a customer receives a $45 product and gets hit with a $15 duty charge they did not expect, the most common response is a refused delivery or a 1-star review blaming the seller. DDP costs more upfront, but it eliminates the single biggest cause of delivery refusals in cross-border ecommerce. Factor the duty into your product price and ship DDP.
The most common source of overpayment is incorrect HTS classification. A product classified under one HTS code might carry a 25% Section 301 tariff, while the same product under a slightly different (but equally valid) code might carry only 7.5%. The difference on a $50,000 shipment is $8,750. Work with a customs broker who specialises in your product category and review your classification annually.
USTR periodically grants product-specific exclusions from Section 301 tariffs. During the original proceedings, thousands of product categories received temporary exclusions. As of April 2026, certain exclusions have been extended through November 10, 2026. Check the USTR website for the current exclusion list. If your product qualifies, you can file for a refund of duties paid during the exclusion period.
CBP scrutiny continues at standard levels, and documentation accuracy matters more than ever. Accurate commercial invoices with specific product descriptions, correct HS codes, and matching values between your invoice and packing list reduce the risk of inspection, delay, and reclassification. Inaccurate documentation is the most common trigger for a CBP examination.
Documentation errors at origin cause clearance problems at destination. A China-based 3PL prepares commercial invoices, packing lists, and certificates of origin before shipment. They verify HTS classification, ensure customs value matches the commercial invoice, and coordinate with your customs broker at the destination. Getting it right at the source prevents delays and penalties at the border.
We handle tariff documentation, HTS verification, and DDP coordination for every shipment that leaves our Shenzhen warehouse. See our tariff management service or contact us for a free tariff review of your current import setup.
We review your product classification, prepare export documentation, and coordinate DDP clearance from Shenzhen. Free tariff review for new customers.
See Tariff Management →As of April 2026, Chinese goods face multiple overlapping tariffs: standard MFN duty rates (varying by product HTS code), Section 301 tariffs from 2018 (7.5% to 100% depending on product category, still in effect), and a temporary 15% Section 122 global tariff (imposed February 24, 2026, expires after 150 days around July 24, 2026). IEEPA tariffs were struck down by the Supreme Court on February 20, 2026. The effective combined rate on many Chinese goods is approximately 30% or higher.
Landed cost is the total cost of getting a product from a Chinese factory to your warehouse or customer's door. It includes: product cost (FOB price), freight (shipping), insurance, customs duties (base rate + Section 301 + Section 122), customs brokerage fees, and last-mile delivery. Duties are calculated on the customs value (typically CIF: cost + insurance + freight).
An HTS (Harmonized Tariff Schedule) code is a 10-digit classification number that determines the duty rate for your product. The first 6 digits are internationally standardised. The last 4 are US-specific. Getting the HTS code wrong can mean paying a higher duty rate than necessary or triggering penalties for misclassification. You can look up HTS codes at hts.usitc.gov.
No. De minimis treatment was suspended for goods from China and Hong Kong on May 2, 2025, and then suspended for all countries on August 29, 2025. Goods under $800 now require formal customs entry and are subject to all applicable duties. The One Big Beautiful Bill Act is expected to permanently eliminate de minimis on July 1, 2027.
DDP (Delivered Duty Paid) means the shipper pays all duties, taxes, and customs fees before delivery. The buyer receives the goods with no surprise charges. DDU (Delivered Duty Unpaid) means the buyer is responsible for paying duties and taxes at the point of import. DDP is recommended for D2C ecommerce because unexpected charges at delivery cause refused packages and negative reviews.
The US Supreme Court struck down IEEPA tariffs on February 20, 2026, ruling 6-3 that IEEPA does not authorise the president to impose tariffs. This eliminated the 10% reciprocal tariff and 10% fentanyl-related tariff on Chinese goods. CBP is processing refunds for IEEPA duties already paid. Section 301 tariffs remain in effect and are unaffected by this ruling.
Four practical approaches: ensure correct HTS classification (wrong codes often mean overpayment), check if your products qualify for Section 301 exclusions, use DDP shipping through a China-based 3PL to control documentation accuracy, and maintain clean commercial invoices with specific product descriptions and correct HS codes to avoid inspection delays and reclassification.
A China-based 3PL prepares all export documentation (commercial invoice, packing list, certificate of origin), verifies HTS classification before shipment, ensures customs value matches the commercial invoice, coordinates with customs brokers at destination, and handles DDP clearance so duties are paid before delivery. Accurate documentation from the origin side prevents clearance delays and reduces the risk of CBP examination.