Profession Calculators
Small Business & Ecommerce

Product Landed Cost Calculator

Calculate per-unit landed cost from factory price, international freight, import duties, customs brokerage, insurance, inspection, and domestic drayage for importers.

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Factory and Order

FOB or EXW price from supplier.

Shipping and Freight

Ocean, air, or express shipping total.

Typically 0.5% to 2% of cargo value.

Customs and Duties

HTS code duty rate. Check USITC.gov. 2026 rates may include Section 301 tariffs.

Broker fee per entry. Typical: $150 to $400.

Other Costs

Pre-shipment inspection (PSI). Typical: $250 to $500.

Port to warehouse delivery.

Markup over landed cost for suggested retail price. Typical: 100% to 300%.

Your Results

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Enter shipment details to calculate landed cost.

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What This Calculator Does

This product landed cost calculator computes the true per-unit cost of imported goods by adding all costs from the factory to your warehouse: factory/FOB price, international freight (ocean, air, or express), import duties calculated on CIF (Cost, Insurance, Freight) value, customs brokerage fees, cargo insurance, quality inspection, and domestic freight/drayage. It shows a detailed per-unit breakdown and suggests a retail price based on your target markup.

The Formula

Landed Cost = Factory Cost + International Freight + Import Duty + Customs Brokerage + Insurance + Inspection + Domestic Freight | Duty = CIF Value x Duty Rate%

The landed cost captures every expense from the point of manufacture to the point of receipt at your warehouse. Import duty is calculated on the CIF value (factory cost plus insurance plus freight), not just the factory cost. Customs brokerage is a flat fee per customs entry filed by your licensed customs broker. The per-unit landed cost divides the total shipment cost by the number of units, showing the true cost basis for pricing and margin calculations.

Step-by-Step Example

1

Enter factory cost and order size

Factory cost (FOB): $5.00/unit. Order: 1,000 units. Total factory cost: $5,000.

2

Add shipping and insurance

Ocean freight: $1,800. Cargo insurance (2%): $150. CIF value: $6,950.

3

Calculate duties and fees

Import duty at 7.5%: $521.25. Customs brokerage: $250. Inspection: $300. Domestic freight: $400.

4

Review landed cost

Total: $8,421.25. Landed cost per unit: $8.42. Factory cost was $5.00, so landing adds 68% to the per-unit cost.

Real-World Use Cases

Import Pricing Decisions

Determine if importing a product is cost-effective compared to domestic sourcing by calculating the true landed cost including all duties and logistics.

Tariff Impact Analysis

Model the effect of tariff changes (including Section 301, Section 232, and anti-dumping duties) on your landed cost and retail pricing.

Supplier Comparison

Compare landed costs from suppliers in different countries where factory prices may be lower but freight, duties, and lead times differ significantly.

Common Mistakes to Avoid

  • Using FOB price as your cost basis for pricing. The true cost includes freight, duty, insurance, and handling fees that can add 30% to 80% above the factory price.

  • Calculating duty on the factory cost instead of the CIF value. US Customs assesses duty on the CIF value (Cost + Insurance + Freight), which includes the shipping cost.

  • Forgetting about Section 301 tariffs on China imports. As of 2026, many product categories from China face 25% or higher additional tariffs on top of the standard HTS duty rate.

  • Not accounting for currency fluctuation risk. If you pay your factory in RMB, EUR, or another currency, exchange rate changes between order and payment can affect your landed cost by 3% to 10%.

Frequently Asked Questions

Accuracy and Disclaimer

Landed cost calculations are estimates based on the information provided. Actual costs depend on specific HTS classification, country of origin, applicable tariffs and trade agreements, carrier rates, and customs determinations. Duty rates may include Section 301, Section 232, anti-dumping, and countervailing duties. Consult a licensed customs broker for accurate import cost calculations.