Finance August 30, 2026 Toolwasp Team 15 min read

Import Tariff Calculator: How to Calculate Duties & Tariffs on Your Shipment

Importing $10K of goods? Your duty isn't 5% of invoice — it's CIF × HTS rate plus MPF and HMF, plus any Section 301 on top. This guide shows how to calculate duties and tariffs on your shipment: find the HS code, build CIF, apply the correct column rate, add MPF/HMF, and use a calculator to avoid the $614 MPF cap mistake — with a $13,070 example and real HTS lookups.

TL;DR — How to Calculate Tariffs on Your Shipment:

Classify: find HS via USITC HTS Search (hts.usitc.gov) — 6 digits WCO worldwide, 8-10 digits US HTS for rate. Wrong HS → wrong % → penalty. If unsure, search CBP CROSS Rulings.
Value (CIF): Customs Value = FOB (goods on invoice) + Freight + Insurance + packing/assists per 19 CFR 141.86. Insurance = premium or 1% if none. CIF is the base for duty %, not FOB alone.
Rate: read HTS Column 1 General (MFN) for most origins; Column 1 Special SPI "MX" for USMCA 0% if cert and rule of origin; Column 2 for Cuba/NK. Add Chapter 99 notes: Section 301 (7.5% or 25% on China) and Section 232 (steel 25%, aluminum 10%) stack on same CIF.
Fees: Duty = CIF × Rate + MPF = 0.3464% × FOB ($31.67 min / $614.35 max) + HMF = 0.125% × FOB (ocean only) + broker $100-200. At 0% duty, MPF min $31.67 still applies on formal entry.
Math: example $12K FOB +$950 freight +$120 ins = $13,070 CIF × 9.8% +7.5% Section 301 = $1,280.86+$980.25 + MPF $41.57 + HMF $15 = $2,317.68 total → Landed $15,387.68. Use our import duty calculator (FOB+freight+ins → CIF → rate +MPF/HMF) to avoid cap math errors.

What Are Tariffs, Duties, and Taxes — What You Actually Pay at Import

Tariff is the schedule — the book of rates (US Harmonized Tariff Schedule, HTS). Customs Duty is the % you pay: Duty = CIF × HTS rate for that HS and origin. Tax/VAT is separate — US has no federal VAT at import (state sales later), EU/UK charge VAT 20% on CIF+Duty at entry. On a US formal entry, your bill is duty (HTS), plus MPF (Merchandise Processing Fee 0.3464% of FOB) plus HMF (Harbor Maintenance Fee 0.125% of FOB ocean only) plus any AD/CVD or Section surcharges. At 0% HTS, duty $0 but MPF $31.67 min still due on formal entry — beginners miss that. See CBP 7501 Entry Summary and CBP Entry Instructions.

Tariff vs duty vs tax MPF HMF fees at import

Why HTS Column Matters

HTS has 3 rate columns: Column 1 General = MFN/WTO normal — applies to ~130 WTO members (including China, EU, Vietnam). Column 1 Special = FTA 0% with code — e.g., SPI "MX", "CA" for USMCA 0% if regional value/tariff shift + certificate; same HS 6109.10 cotton tee: China 16.5% +7.5% Sec301 vs Mexico USMCA 0% with qualify. Column 2 = Cuba/North Korea high rates (rare). Always read Chapter 99 additional duties notes for Sec301/232 — they are not in the HTS rate cell; they are extra lines like 9903.88.15 that stack. Source: USITC HTS official.

Step 1 — Classify: Find Your HS Code (6 Digits Worldwide, 10 for US)

HS (Harmonized System) is governed by World Customs Organization — 97 chapters, 5,000+ groups, 6 digits globally identical: 85 Chapter (electrical), 8517 Heading (telephony), 8517.62 Subheading (smartphones). US adds 2 digits for duty rate (8 = HTS) and 2 for statistics (10 = Schedule B/HTS-10): 8517.62.00.00 — smartphone 0% General, free. WCO 6 digits decide what it is; US 8 digits decide what you pay.

HS code structure chapter heading subheading US HTS 10 digits USITC search

USITC HTS Search: hts.usitc.gov → search keyword "watch" → browse 91.02 vs 9102.11 (mechanical display vs optoelectronic). Read Additional U.S. Notes and Statistical Note — they change scope.
CBP CROSS: rulings.cbp.gov/search → type competitor product → see binding rulings NY/N##### with reasoning why 8517.62 vs 8517.12. If you plan $500K/year in one HS, request your own Binding Ruling (CBP 467) for certainty — not just a guess.

Misclassify and CBP can reliquidate plus penalty per 19 CFR 151.11. Keep HTS printout with entry file for 5 years per 19 CFR 163.

Unit of Quantity Matters

HTS lists unit: kg, doz, No. For 6109.10 tees, duty may be 16.5% ad valorem plus maybe specific $ per dozen depending on subheading. Use CIF × ad valorem plus quantity × specific. Duty for 2,000 tees at $8 each = CIF $16K ×16.5% + 166 doz × $ per doz if applicable — read the cell precisely.

Step 2 — Value: Build CIF (Not Just Invoice Total)

Customs Value in the US is generally transaction value — price paid/payable plus add backs per 19 CFR 152.103: packing, selling commissions, assists (tools/molds you supplied), royalties if condition of sale. For most commercial invoices:

FOB = ex-factory goods price on commercial invoice (what you paid seller, goods only).
Freight = international freight (ocean/air bill). Incoterm FOB means you pay freight; CIF means seller included freight+insurance in invoice — but CIF is still FOB+freight+insurance whether seller or you paid.
Insurance = premium paid, or if not insured, CBP may impute 1% if you claim none and can't prove.

CIF = FOB + Freight + Insurance is base for duty %. Critical: MPF and HMF are on FOB, not CIF — common error. Example: FOB $10K + $800 freight + $100 ins → CIF $10,900 (duty base) but MPF 0.3464% × $10K = $34.64, HMF 0.125% × $10K = $12.50. See 7501 instructions block 26 value.

Tariff formula CIF times rate MPF HMF calculation FOB base

Currency and Date

Convert foreign invoice via CBP rate on entry date (not pay date) via CBP Currency Conversion. Incoterms DDP vs DAP vs CIF vs FOB decide who pays duty — DDP seller prepays and bills you, DAP you pay at border; CIF vs FOB decide how freight appears on invoice but CIF math is same either way.

Step 3 — Rate: Read the HTS and Chapter 99 Surcharges

Open HTS page for your 10-digit. Example 9102.11 (wrist watches, optoelectronic display) → Column 1 General 9.8% + Sec301 7.5% (if China origin listed in USTR Section 301 lists and HTS 9903 notes). Stack: base 9.8% + Sec301 7.5% = 17.3% total on same CIF. Same watch from Switzerland (not 301) → 9.8% only. Steel 7326.90 + Sec232 25% on many origins — see CBP 232 guidance.

FTAs: USMCA requires regional value content (e.g., 75% auto) or tariff shift plus certificate/certificate statement. Claim on 7501 SPI "MX". Keep cert 5 years; CBP verifies post-entry. See CBP FTA.

Step 4 — Fees: MPF, HMF, AD/CVD, Broker (Even at 0% Duty)

MPF: 0.3464% × FOB value per formal entry, min $31.67 max $614.35 (2025, adjust annually). One entry $200K FOB → 0.3464% = $692 → capped $614.35. Five entries $10K each → 5×$34.64 = $173 — more than one $614 max. Many consolidate to hit cap. CBP MPF.

HMF: 0.125% × FOB, ocean mode only, formal and informal. Air → $0. Even at 0% duty, HMF still applies on ocean. CBP HMF.

AD/CVD: Anti-dumping/Countervailing — e.g., China solar panels 50-100%+. Separate from HTS rate, per Commerce case; query ITA Enforcement cases. Section 301 also stacks.

Broker: $100-200 per formal entry plus single entry bond fee if no continuous bond. Informal ≤$2,500 may be self-filed via CBP Informal Entry.

Example — $12K Electronics from China (Ocean) vs Air

Scenario: Wrist watches, HS 9102.11, FOB $12,000, formal entry. Base HTS 9.8% + Sec301 7.5% (China in list), ocean freight $950, insurance $120.

CIF = $12,000 + $950 + $120 = $13,070
Duty 9.8%  × $13,070 = $1,280.86
Sec301 7.5% × $13,070 = $980.25
MPF 0.3464% × $12,000 (FOB!) = $41.57 (inside $31.67-$614.35)
HMF 0.125% × $12,000 = $15.00 (ocean only)
Total duty+fees = $2,317.68
Landed = $12,000 + $950 + $120 + $2,317.68 + broker $150 ≈ $15,537.68
Effective = 19.3% on FOB

Tariff example $12K watches ocean vs air CIF MPF HMF Section 301 math

If air, not ocean: air freight $2,200 → CIF $14,320 → duty $1,403.36 + Sec301 $1,074 = $2,477.36 + MPF $41.57 + HMF $0 + broker → $2,518.93 + freight. Air CIF larger → duty larger (+$159) but HMF $0 and faster. Same HS, mode changes both CIF and HMF.

De Minimis $800 Alternative (Not for This $13K)

If you split into 16 shipments of $750 each, each ≤$800/day may enter informal under 19 CFR 143.21 Section 321 duty-free, but CBP aggregates if pattern to evade — not for formal $13K commercial import; formal entry is required over $2,500. Same watch from Mexico USMCA 0% with cert → duty $0 + MPF $31.67 min + HMF if ocean → ~$46, saving $2,271 vs China with 301.

De minimis 800 USMCA FTA Section 301 232 surcharges

Use a Calculator — Avoid the MPF Cap Mistake

Hand math fails on MPF = min(max(0.3464%×FOB, $31.67), $614.35). Example FOB $200K → 0.3464% = $692.80 → capped $614.35, not $692. Many spreadsheets miss the cap and over-quote. Our import duty calculator takes FOB + freight + insurance → CIF → rate (base + Sec301/232 added) + MPF (capped) + HMF (ocean toggle) → total and landed cost, with per-item HS rate. Validate against HTS for rate and 7501 for MPF/HMF block 29.

For multi-item invoices, duty is per HTS line: sum (CIF allocated × rate_i). Allocate freight/ins proportionally by FOB weight if one freight bill covers 10 HS lines — proration by value is CBP-accepted method.

Multi-Item Invoice — Allocate Freight and Duty Per HTS Line

Most shipments have 5 HS lines on one bill of lading with one freight charge ($1,200). CBP expects prorated CIF per line, not total CIF × average rate. Method: allocate freight + insurance by FOB value weight (CBP-accepted):

Line A FOB $8,000 (40%) → allocate freight $480, ins $48 → CIF A $8,528 × 5% = $426.40
Line B FOB $12,000 (60%) → allocate freight $720, ins $72 → CIF B $12,792 × 16.5% = $2,110.68
Total duty = $2,537.08 (not $20K×10.75% avg = $2,150 — underpays)

Use value weight, not weight kg, unless contract says freight by weight. Keep allocation sheet with entry — CBP asks for it on audit. See 7501 block 26-30 proration.

AD/CVD and Section 232 — Separate Cases That Stack

Beyond HTS + 301, two regimes add % on same CIF and have their own cash deposit timing:

AD/CVD (Anti-Dumping/Countervailing): Commerce finds dumping (sell below home price) or subsidy — rate per exporter country, e.g., China wooden cabinets 16-80% AD plus CVD if subsidized. Rate is Commerce case-specific, not in HTS cell — query ITA Enforcement cases and CBP AD/CVD Search by HTS or country. Pay cash deposit at entry, liquidate later at review — higher than HTS.
Section 232 Steel/Aluminum: 25% steel, 10% aluminum on most origins per Presidential Proclamation, via HTS 9903.80. Like 301, it's Chapter 99 extra, not HTS cell, stacks. See CBP 232 guidance. Example: steel brackets HS 7326.90 2.9% + 25% 232 = 27.9% total.

Check both before quoting — a China steel bracket could be 2.9% HTS + 25% 232 + 25% 301-AD dependent + MPF $31.67 — total >50%. Many first-timers miss AD/CVD and get a demand for difference plus interest under 19 CFR 351.212.

Broker, Bond, and Entry Types — Informal vs Formal vs Mail

Informal Entry (≤$2,500): may self-file via CBP, no surety bond, MPF still min $31.67. Formal Entry (>$2,500): requires Single Entry or Continuous Bond (10% of annual duties/taxes, min $50K continuous). Broker fee $100-200 + MPF cap logic applies per formal entry. Mail Section 321 (<$800): USPS/UPS handles de minimis, no broker. For formal $13K example, you need continuous bond or single entry bond at 10% (~$1,300) plus broker. Bond fee is not duty but part of landed cost. See CBP Bonds and Informal Entry.

Currency Conversion and Timing — Which Rate on Which Date

Invoice in EUR or CNY → convert via CBP rate on date of export if known, else entry date, per CBP Currency (quarterly rates posted). Not bank rate on pay day. If invoice EUR 10,000 @ CBP 1.08 = $10,800 FOB USD before freight. Wrong rate → 19 CFR 152.103 violation. Keep conversion printout.

Quick audit — Before you wire: copy these 3 lines:

1) HTS print: 9102.11 9.8% + 9903.88 (301 7.5%) from hts.usitc.gov
2) CIF sheet: FOB $12K + Freight $950 + Ins $120 = $13,070; MPF $41.57 (0.3464%×FOB), HMF $15
3) Total: $1,280.86 + $980.25 + $41.57 + $15 = $2,317.68 duty+fees (check calculator)

If broker quotes $1,200 without 301, ask for Chapter 99 line — bulk of miss is 301/232 not in HTS rate cell.

Pitfalls — 5 Before You Pay

Pitfall	Fix
HS guess not USITC/CROSS	Search hts.usitc.gov with keyword + CROSS ruling; request binding ruling for $500K+/yr
FOB vs CIF confusion	Duty on CIF, MPF/HMF on FOB — distinguish; read 19 CFR 141.86
Chapter 99 Sec301 not in HTS rate cell	Add 7.5%/25% from 9903 notes if China + product listed — check USTR lists
MPF cap & HMF ocean-only miss	Apply min/max and ocean toggle; air HMF 0 even slate
FTA claim without cert	Keep cert 5 years; post-entry claim 19 CFR 174 if missed

Tariff pitfalls HS guess CIF vs FOB MPF cap FTA cert

Record Keeping and Post-Entry Fixes

Keep commercial invoice, packing list, bill of lading, HTS printout, 7501 entry, and certificate 5 years per 19 CFR 163. If you discover wrong HS after entry, file CBP Protest (19 CFR 173/174) within 180 days for refund or post-entry amendment before liquidation. Brokers help but importer of record is liable — per 19 CFR 141.86 you certify.

Explore duty shortcuts and related tools in our import-export tools collection — duty calculator plus HS lookup, landed-cost, and currency converters for entry.

Incoterms Deep — DDP vs DAP vs CIF vs FOB (Who Pays What, Not CIF Math)

Beginners think CIF Incoterm means seller pays duty — it doesn't. Incoterm decides who contracts freight and who pays at border, but CIF value for duty is still FOB+freight+ins regardless of who paid it:

FOB (Free On Board): you contract ocean freight and insurance; invoice shows goods only ($12K), you add freight $950 + ins $120 → CIF $13,070 separately for customs.
CIF (Cost Insurance Freight): seller contracts freight/ins and includes in invoice $13,070 — CIF is directly on invoice, but same math.
DAP (Delivered At Place): seller ships to your door, you pay duty at import (seller not importer of record). You still build CIF from FOB+freight.
DDP (Delivered Duty Paid): seller prepays duty, VAT, broker and bills you — convenient but seller's HTS may be wrong; you remain liable under 19 CFR 141.86 if importer of record is you, not seller.

For calculator input, always enter FOB (goods), freight, insurance separately — don't enter DDP total as FOB or you double-count freight. Guide: ICC Incoterms 2020 and CBP 7501 block 26 value instructions.

US vs EU/UK — Same HS 6, Different Duty + VAT

First 6 HS digits are WCO identical, but post-6 diverges and VAT differs:

US (this guide): duty on CIF + MPF/HMF, no federal VAT. HTS 10 digits.
EU: Combined Nomenclature 8 digits + TARIC 10, duty on CIF + VAT 19-21% on CIF+duty (Germany 19%, France 20%). EORI required.
UK: UKGT 10 digits, duty on CIF + VAT 20% + maybe excise.

Same watch HS 9102.11 first 6 identical, but US 9.8% General vs EU 4.5% + 20% VAT changes landed drastically. Use EU Access2Markets TARIC for EU rates.

Checking Your Broker Quote — Red Flags

No 9903 line: broker quotes 9102.11 9.8% only but watch from China → missing 7.5% Sec301 → under by $980 on $13K.
MPF on CIF not FOB: 0.3464% × $13,070 = $45.27 vs correct $41.57 → over by $3.70 small, but on $200K FOB, error is $78.
HMF on air: charging $15 HMF on air freight → should be $0.
No AD/CVD check: quoting cabinets without 16% AD deposit → $1,920 short on $12K.

Ask: "Show HTS print, 9903 note, and AD/CVD search for this HS and country." Good brokers do; cheap ones don't.

Keep your HTS print and 7501 entry — they prove due diligence if CBP questions value or classification during audit.

Record retention 5 years — invoice, B/L, HTS, entry — per 19 CFR 163.

Frequently Asked Questions

How do I calculate import tariff on my shipment?

Classify via HTS Search (hts.usitc.gov) → build CIF = FOB+freight+insurance → apply HTS Column 1 rate (plus 9903 Sec301/232 if listed) → Duty = CIF×rate + MPF 0.3464%×FOB (min $31.67/max $614.35) + HMF 0.125%×FOB ocean only. Example $13,070 CIF ×9.8%+7.5% = $2,261.11 + MPF $41.57 + HMF $15 = $2,317.68. Use our import duty calculator for math.

What is the difference between HS, HTS, and Schedule B?

HS is 6 digits WCO worldwide; HTS is US 10 digits (8 for duty, 10 for stats) based on HS; Schedule B is export code 10 digits similar but for exports via Census. Import uses HTS (hts.usitc.gov), export uses Schedule B.

Do I pay MPF and HMF even at 0% duty?

MPF yes on formal entry — min $31.67 per entry even if duty $0. HMF yes on ocean 0.125% FOB even if duty $0; air HMF $0. Both per entry, not per item. See CBP MPF/HMF guidance.

What is de minimis $800?

≤$800 per importer per day may enter informal under 19 CFR 143.21 Section 321 duty-free, no formal entry. Not for formal $2,500+ commercial or split artificially to evade. Formal entry required over $2,500.

Can USMCA save duty vs China Section 301?

Yes if product qualifies (regional value or tariff shift) + certificate: same HS China 16.5% +7.5% Section 301 = 24% vs Mexico USMCA 0% Special SPI "MX" → save $2,271 on $13K CIF example. Keep cert 5 years.

Incoterms FOB vs CIF vs DAP vs DDP — who pays freight and duty?

FOB = you pay freight+ins separate; CIF = seller included freight/ins in invoice but CIF math same. DAP = seller ships, you pay duty at import. DDP = seller prepays duty (and bills you). Duty calc uses CIF either way; Incoterm decides paperwork, not CIF math.