The import duty formula
For a typical formal entry arriving by sea:
- Duty = customs value × base rate, plus customs value × each Chapter 99 rate that applies
- MPF = customs value × 0.3464%, no less than $34.58 and no more than $670.86 (FY2027)
- HMF = customs value × 0.125% (ocean only)
- Total due to CBP = duty + MPF + HMF
Because of the MPF floor and cap, the fee is a flat $34.58 on shipments under about $9,982 and stops growing above about $193,666.
Worked example: cotton T-shirts
Cotton T-shirts classified under HTS 6109.10.00 carry a general duty rate of 16.5%. For $25,000 of them arriving by ocean, before any origin-specific tariffs:
| Duty (16.5% × $25,000) | $4,125.00 |
| MPF (0.3464%) | $86.60 |
| HMF (0.125%) | $31.25 |
| Total | $4,242.85 |
Origin can change this a lot. Run it from China, from Vietnam or from Honduras (a CAFTA-DR country) to see the difference.
From duty to landed cost
Landed cost is everything it takes to get the goods to your door: the product cost, international freight and insurance, duties and fees, and domestic delivery. The calculator gives you the customs part exactly; add your freight quote and you have the landed cost per unit.
When the calculator says “claim”
Some savings are only available if you claim them: free trade agreement rates, Section 301 exclusions, and certain end-use or quota provisions. The calculator never assumes a claim. It lists the ones that could apply so you can tick them and see what changes, which is how a broker would file it.
Want the full method? Read how to estimate import duty. Comparing suppliers in different countries? Try the tariff simulator.
