Vietnam is in the top 20 exporters in the world. Top Vietnam’s trade partner is the US. Top imports to the United States include apparel, footwear, furniture, and electronics. During customs clearance, an import duty (tax) is collected. Where can you find import duty rates from Vietnam to the US, and how much is it?
What is an import duty?
Import duty (also called customs tariff) is a tax placed on goods coming into another customs territory. The importers are responsible for paying them. Customs duties range from 0%, and the value varies depending on the country of origin.
Customs duty is assessed on the cost of goods (C), insurance (I), and freight (F) up to the customs border, CIF for short. Customs tariff is one of the factors that influence the total import cost.
- In the case of shipments bound for the US, if the total value of the imported goods is less than $800, they are not subject to duty or taxes (except for alcohol, tobacco, etc.).
- For an informal entry of goods valued at $2,500 or less, the importer must pay a Merchandise Processing Fee (MPF), $2.22-9.99 per shipment.
- For a formal entry of goods valued at over $2,500, the importer must pay 0.3464% of the value of the goods (min. $27.75, max. $538.40).
US import duty and VAT
The United States does not charge a federal VAT tax on imports, as the VAT varies from state to state.
Where are the import duty rates from Vietnam to the US?
Harmonized Tariff Schedule is a database integrating measures relating to the US customs tariffs. The US tariff schedule is divided into:
- rates: subheadings, article descriptions, the unit of quantity, rates of duty (general, special, and other)
- chapter notes: the purposes of the chapter, what is not covered by the chapter, notes
- section notes: information about the section.
No special treatment is given on the import of goods from Vietnam to the US. Customs duties applicable to imports originating in Vietnam are “general” unless stated otherwise.
Import duty rates from Vietnam to the US – examples
Below we have compiled a list of top products imported from Vietnam to the US, their HTSUS code, and tariff:
- 8517.13.00.00 – Smartphones – 0%
- 8525.50.10.00 – TV, set top boxes which have a communication function – 0%
- 8541.41.00.00 – Light-emitting diodes (LED) – 0%
- 9401.61.20.10 – Upholstered household chairs of teak – 0%
- 8473.30.20.00 – Parts and accessories, including face plates and lock latches, of printed circuit assemblies – 0%
- 9403.10.00.20 – Metal filing cabinets for offices – 0%
- 6404.11.20.60 – Women’s sports footwear – 10.5%
It is very important to classify the goods correctly. Otherwise, if there are any discrepancies, the shipment may be detained. Make sure to put the correct HTSUS code on your documents.
Can I avoid import duty costs from Vietnam to the US?
You cannot avoid import duty costs for US-bound goods from Vietnam. Paying the customs duties is an obligation of every importer. Without it, you cannot place an imported product on the market.
Read more about sourcing from Vietnam.