The formula
Landed cost per unit = (goods + origin charges + freight + insurance + duties and tariffs + brokerage and fees + destination delivery + prep and labeling + agent commission) ÷ units.
Every line is real money, and every one is missing from at least one quote you will receive.
Worked example: 2,000 units at $4.20 EXW
A silicone kitchen tool, 2,000 units, 2.4 m³, 480 kg, from a factory in Dongguan to a 3PL in New Jersey, sea LCL, DDP. HTS duty 3.1% plus a 25% Section 301 tariff on Chinese origin (rates vary by product; check your code).
| Line | Amount | Per unit |
|---|---|---|
| Goods, EXW | $8,400 | $4.20 |
| Factory pickup and export handling | $180 | $0.09 |
| Ocean freight, 2.4 m³ × $190 | $456 | $0.23 |
| Insurance, 0.4% of goods | $34 | $0.02 |
| Duties and tariffs, 28.1% of $8,400 | $2,360 | $1.18 |
| Brokerage, MPF, HMF | $150 | $0.07 |
| Destination handling and delivery to 3PL | $300 | $0.15 |
| FNSKU labeling and poly bag in China | $280 | $0.14 |
| Total landed | $12,160 | $6.08 |
The factory price was 69% of the landed cost. Duties alone added more than freight, handling and delivery combined, which is normal for Chinese-origin consumer goods since 2018.
The lines importers forget
- Tariffs on top of duty: the HTS base rate is often low; the Section 301 additional tariff on Chinese goods is usually the larger number.
- Destination terminal and deconsolidation charges on LCL, billed by the destination agent after the freight quote was accepted.
- Delivery appointment and liftgate fees to a 3PL or Amazon.
- Samples and courier costs for approval, amortised over the first order.
- Payment costs: wire fees and FX spread, typically 1–2% of goods.
- Defect allowance: at AQL 2.5 you accepted up to a few percent of units being unsellable. Price them in.
- Storage: the month of sea transit plus 3PL storage is working capital with a cost.
How to get a landed-cost quote instead of a price
Ask for the table above, filled in, before the deposit. A supplier will fill the first line; a forwarder will fill the middle; an agent working on DDP terms fills all of it and is accountable for the total. If any party cannot fill a line, that line is your risk.
Then price from the bottom row. A product that costs $6.08 landed and sells for $19.99 on Amazon nets around $5 after referral and FBA fees; the same product priced off the $4.20 factory number looks twice as profitable as it is.
Frequently asked
What percentage of product cost is landed cost? +
For consumer goods from China to the US in 2026, landed cost typically runs 135–160% of the EXW price once Section 301 tariffs, freight, clearance and delivery are included. Bulky, low-value goods sit at the top of that range.
Does landed cost include Amazon fees? +
No. Landed cost ends when the unit is in your (or Amazon's) warehouse. Referral fees, FBA fulfilment fees and storage are selling costs and come off the sale price afterwards.
How do I find the duty rate for my product? +
Classify it to a 10-digit HTS code using the US International Trade Commission's tariff schedule, then add any Section 301 tariff for Chinese origin. A customs broker or sourcing agent will classify it for you before you order.
Want these numbers for your product?
Send a product link or a rough brief. You get real factory quotes and a landed-cost breakdown (goods, freight, duties, delivery) for your market within 48 hours. Free.
Figures are indicative floor rates and typical fee ranges on our lanes as of Oct 11, 2026. Duty rates depend on your product's tariff code and declared value. This is general information, not customs or legal advice.