Free import tool

Landed cost calculator — your true cost per unit

Q: Is duty calculated on FOB or CIF?

It depends on the country. Most use CIF value (goods plus freight and insurance). The United States uses the goods value, broadly FOB, with international freight and insurance excluded.

Q: How do I calculate landed cost per unit?

Add all shipment costs — goods, freight, insurance, duty, taxes, and fees — then divide by the number of units. Freight and fixed fees are spread across the quantity.

Q: Does import VAT count as a cost?

VAT-registered businesses can usually reclaim import VAT, making it a cash-flow item rather than a true cost. If it cannot be reclaimed it is a real cost. The US has no federal import VAT.

Q: Is this calculator accurate enough for customs?

It gives a reliable planning estimate but is not an official customs valuation. Confirm duty rates, tax treatment, and fees with a freight forwarder or customs broker.

Add freight, insurance, customs duty, and import VAT/GST to your FOB price to see the real landed cost per unit. Then check your margin and Amazon FBA profit. Built for importers, brands, Amazon sellers, and distributors.

Per-unit landed cost Duty + VAT/GST by destination Amazon FBA profit & margin Cost build-up visual

Import & cost inputs

Destination

Import country

Goods

Quantity (units)

Unit price (FOB / EXW)

Shipping & insurance

Freight — total for the shipment

Spread across all units automatically.

Insurance

Rate

Duties & taxes

Customs value basis

Duty / tariff rate

Duty rate comes from your product's HS code — look it up for the destination country.

Import VAT / GST

▸VAT treatment

VAT is recoverable (exclude from net cost)

VAT-registered businesses usually reclaim import VAT, so it's a cash-flow item, not a true cost.

Fees & charges (per shipment)

Customs broker / clearance

Port handling & delivery

▸More fees

Other fees

Bank / payment fee

% of goods

Pricing & profit

Sales channel

Solve by

Selling price / unit

Amazon fees

Referral fee

FBA fulfillment / unit

Storage / unit (optional)

Landed cost

Landed cost / unit

—

Total landed cost

—

for the shipment

Over FOB price

—

added on top

Duty + tax

—

of goods value

Cost build-up (per unit)

From FOB price to landed cost.

Breakdown

Component	Total	Per unit	% of landed

Pricing & profit

Selling price

—

Profit / unit

—

Margin

—

Return on cost

—

Estimates only. Duty rates depend on your HS code and origin; taxes and fees vary by carrier, broker, and customs ruling. Confirm figures with your freight forwarder and customs broker before pricing.

What is landed cost?

Landed cost is the total cost of getting a product from your supplier to your door — not just the price of the goods. It adds freight, insurance, customs duty, import taxes, and clearance and handling fees to the purchase price, then divides the per-shipment costs across every unit.

The FOB price on a supplier's quote is only the starting point. By the time a product reaches your warehouse it can cost far more, and the gap is where importers lose margin. The landed cost per unit is the number you should price against — especially on a marketplace like Amazon, where referral and fulfillment fees take another large slice.

The landed cost formula

Goods       = quantity × FOB unit price
CIF value   = goods + freight + insurance
Customs val = CIF value, or goods only (USA)
Duty        = duty rate × customs value
Import VAT  = VAT rate × (customs value + duty)
Landed cost = goods + freight + insurance + duty
              + VAT + clearance + handling + fees
Per unit    = landed cost ÷ quantity

Freight and fixed fees are per-shipment, so they are spread across the quantity to get the per-unit figure.

Customs value: CIF or FOB? (and why the US differs)

Duty is charged on the "customs value," and the basis is set by the destination country. Most countries use the CIF value — goods plus international freight and insurance — so freight is taxed. The United States is the big exception: it assesses duty on the goods value (the transaction price, broadly FOB), and international freight and insurance are excluded. Getting this basis right changes the duty figure, which is why this calculator switches it automatically by country and lets you override it.

How import VAT and GST stack

In VAT and GST countries, the import tax sits on top of duty: it is charged on the customs value plus the duty already added. The United States has no federal import VAT — state sales tax applies only at retail and is separate from landed cost. If your business is VAT-registered, import VAT is usually reclaimable, so it is a cash-flow item rather than a true cost. Use the VAT-recoverable toggle to see net cost either way.

Why landed cost decides your price — especially on Amazon

Pricing off the FOB price instead of the landed cost is the most common way importers wipe out their margin. On Amazon the risk is sharper: a referral fee of around 15% plus FBA fulfillment and storage fees can take a third of the sale price before cost of goods. The pricing layer in this tool subtracts landed cost and channel fees from your selling price to show the real profit per unit, the margin, and the break-even price — or works backward from a target margin to the price you need.

Destination reference (editable defaults)

Country	Duty basis	Import VAT / GST	Notes
United States	Goods only (FOB)	None (federal)	State sales tax applies at retail, separately
United Kingdom	CIF	VAT 20%	VAT on CIF + duty
Germany	CIF	VAT 19%	EU customs value is CIF
France	CIF	VAT 20%	EU customs value is CIF
Canada	CIF	GST 5%	Provincial PST/HST may add more
Australia	CIF	GST 10%	GST on customs value + duty + transport
Japan	CIF	Consumption 10%	—

These are starting defaults for the calculator — VAT/GST rates and treatment can change, so confirm the current figures for your shipment. Duty rates are always product-specific and come from the HS code.

Glossary

Landed cost: The all-in cost of a product delivered to your door, including goods, freight, insurance, duty, taxes, and fees.
FOB: Free On Board — the price of the goods at the origin port, before international freight and insurance.
CIF: Cost, Insurance and Freight — goods value plus international freight and insurance to the destination port.
Customs value: The value duty is calculated on — CIF in most countries, goods value (FOB) in the US.
Duty / tariff: A tax on imported goods, set as a percentage of the customs value and determined by the HS code.
HS code: The Harmonized System classification number that decides a product's duty rate and import rules.
Import VAT / GST: A consumption tax charged at import on the customs value plus duty; often reclaimable by registered businesses.
Referral fee: Amazon's commission on each sale, typically around 15% of the selling price.
FBA fee: Amazon's per-unit fulfillment charge for picking, packing, and shipping, plus storage.
Margin vs markup: Margin is profit ÷ selling price; markup (return on cost) is profit ÷ landed cost.

Frequently asked questions

What is included in landed cost?

Goods value, international freight, cargo insurance, customs duty, import VAT or GST, customs broker and clearance fees, port handling, inland delivery, and any bank or documentation fees. Per-shipment costs are divided across the units to give a per-unit figure.

Is duty calculated on FOB or CIF?

It depends on the country. Most use the CIF value — goods plus freight and insurance. The United States uses the goods value (broadly FOB), with international freight and insurance excluded. This tool switches the basis automatically by destination and lets you override it.

How do I calculate landed cost per unit?

Add every cost of the shipment — goods, freight, insurance, duty, taxes, and fees — then divide by the number of units. Freight and fixed fees are spread across the quantity, so a larger order lowers the per-unit landed cost.

Does import VAT count as a cost?

If your business is VAT or GST registered, you can usually reclaim import VAT, so it is a cash-flow item rather than a true cost. If you cannot reclaim it, it is a real cost. Use the VAT-recoverable toggle to see net landed cost both ways. The US has no federal import VAT.

Why is landed cost important for Amazon sellers?

Amazon takes a referral fee of around 15% plus FBA fulfillment and storage fees, which together can be a third of the sale price. If you price off the FOB cost instead of the true landed cost, the remaining margin may not cover those fees. Pricing from landed cost keeps you profitable.

What is an HS code and why does it matter?

The Harmonized System code classifies your product for customs. It determines the duty rate and any import restrictions, so the same product can carry very different duty depending on its classification. Look up the code for your product and destination to enter the right rate.

Is this calculator accurate enough for customs?

It gives a reliable planning estimate, but it is not an official customs valuation. Duty rates, tax treatment, and fees vary with the HS code, origin, trade agreements, and individual rulings. Confirm the final figures with your freight forwarder and customs broker.

Important. This calculator provides estimates for planning and is not customs, tax, or financial advice. Duty rates, VAT/GST rates and treatment, and fees depend on the product's HS code, country of origin, trade agreements, and customs rulings, and can change. Always confirm the applicable figures with your freight forwarder, customs broker, or the relevant customs authority before making pricing or purchasing decisions.