Understanding duty rates is extremely important to the fashion industry.
If importers do not properly understand the amount of duty that must be
paid when a shipment arrives to port, they can miscalculate their profit
margin on their program. It is important for garment companies to
properly calculate all of their costing so that they can determine the
proper amount to charge to their buyers and still make a profit.
Learn about duty rates and tariffs that effect the clothing industry.
Duty Rates
from the U.S Customs & Border Protection.
The
Harmonized Tariff System (HTS) provides duty rates for virtually
every item that exists. The HTS is a reference manual that is the size
of an unabridged dictionary.
Experts spend years learning how to properly classify an item in order
to determine its correct duty rate. For instance, you might want to know
the rate of duty of a wool suit. A classification specialist will need
to know, does it have darts? Did the wool come from Israel or another
country that qualifies for duty-free treatment for certain of its
products? Where was the suit assembled, does it have any synthetic
fibers in the lining?
The U.S. International Trade Commission-Tariff
Database, is an interactive data base that will enable you to get an
approximate idea of the duty rate for a particular product. Please be
aware that the duty rate you request is only as good as the information
you provide. The actual duty rate of the item you import may not be what
you think it should be as a result of your research.
CBP makes the final determination of what the correct rate of duty is,
not the importer. For very specific duty information on a particular
item you may
request a Binding Ruling. You may also receive guidance by calling
your
local CBP port.
You may want to also visit our government resources page to continue your research.
Thank you for using the Apparel Search website.