What Are Import Duties and Tariffs?
Import duties (tariffs) are taxes levied by the U.S. government on goods imported from other countries. The rate depends on the product classification (HTS code), country of origin, and any applicable trade agreements or additional tariffs.
For eCommerce sellers sourcing products internationally, tariffs directly impact unit economics. A product with a 25% duty rate from China will cost significantly more than the same product from a USMCA country at 0%.
Understanding your landed cost — product cost plus shipping plus duties — is essential for setting profitable prices and making informed sourcing decisions.