Import (Customs) Duty: Definition How It Works and Who Pays It

In international trade, import (customs) duties are charges placed on goods brought into a country. These duties affect everyone in the supply chain, from the manufacturer to the end customer. For jewelry business owners and buyers, it is important to understand customs duties. This knowledge helps manage costs and follow international laws.

In this blog, we will explain what import duties are. We will also discuss how they are calculated and who pays them. Additionally, we will show how Tonglin Jewelry helps its global clients. We do this through smart customs strategies and efficient supply chain practices.

What Are Import Duties?

Import duties are taxes imposed by a country’s government on foreign goods brought into the country. These are also called customs duties or tariffs. Their main purpose is to protect domestic industries and generate revenue.

When a product crosses a border, it is inspected by customs authorities, who determine whether the product is taxable. Import duties change based on the country of origin, the type of goods, and any free trade agreement (FTA) in place.

Who Is Responsible for Paying Import Duties?

In most cases, the importer of record is responsible for paying import duties. That could be a retailer, distributor, or even a consumer ordering goods online.

However, in many international sales, the seller may help the buyer by offering Delivered Duty Paid (DDP) terms. This means the seller handles customs clearance and duty costs, making the import process smoother for the buyer.

At Tonglin Jewelry, we offer flexible shipping terms based on your needs. For many of our wholesale clients, we assist with customs documentation and offer support through experienced customs brokers.

How Are Import Duties Calculated?

Import duties are calculated using the customs value of the item, which usually includes:

• The product’s declared value (invoice price)
• Insurance costs
• Freight charges

This total is then multiplied by the customs duty rate, which varies by product and country. Some countries also charge value-added tax (VAT) or sales tax on top of the import duty.

Bringing silver jewelry or gold-plated necklaces into the United States may have some costs. You might need to pay a customs duty. There could also be a processing fee. Countries in the European Union also charge added tax VAT, depending on the destination and the declared value.

Factors That Affect Duty Rates

Several factors influence how much you pay in duties:

• Type of goods: Jewelry made with solid gold, gold vermeil, or 925 silver may fall under different classifications.
• Country of origin: If the product qualifies under a free trade agreement, it might be exempt from duties.
• Declared value: Underdeclaring the value to save on duties is illegal and can result in fines or seizure.
• Customs duty rate: Rates are listed under each country’s harmonized system code (HS code).

Tonglin Jewelry helps our customers correctly classify products to reduce errors in duties and taxes. With years of experience in importing and exporting, we ensure smooth customs clearance to avoid delays or added costs.

Why Import Duties Matter to Jewelry Buyers

Whether you’re importing custom gold rings, wholesale moissanite jewelry, or fine silver bracelets, duties can significantly affect your final costs. Even a small percentage difference in the customs duty rate can impact your margins, especially for bulk orders.

That's why it's important to work with a supplier like Tonglin Jewelry. They understand international trade rules, which helps ensure long-term success. We help our B2B clients with clear invoices, product labels, and HS code advice. This ensures shipments pass through customs easily.

How Tonglin Jewelry Helps You Reduce Duty-Related Risks

Tonglin Jewelry is a trusted jewelry factory in China, located in Panyu, Guangzhou. We have over 15 years of experience working with international jewelry brands and wholesalers. Here’s how we help our partners navigate customs and import regulations:

• - We classify products accurately.
• - We assign the correct HS codes for your items.
• - This includes custom necklaces, gemstone rings, and 14k gold plated earrings.
• Compliance with regulations: All shipments include full documentation to meet requirements for customs authorities.
• We work with trusted customs brokers for big shipments to the United States, Europe, and Southeast Asia.
• Efficient packaging: Lower volume and weight help reduce shipping and duty costs.

By working with Tonglin Jewelry, you minimize your duty risks and ensure a smooth experience from order to delivery.

Tips to Manage Import Duties

If you’re a small jewelry business or a new importer, here are tips to manage duties:

1. Check if your products are exempt under any FTA (e.g., RCEP, ASEAN-China FTA).
2. Work with a customs broker to avoid mistakes in declarations.
3. Understand your Incoterms – DDP, DAP, or FOB – and who pays what.
4. Source from a reliable manufacturer who can provide proper documentation.

Final Thoughts

Import duties are important in international trade. Knowing about them helps you plan better, set prices wisely, and grow sustainably. When you buy custom silver rings, solid gold pendants, or lab-grown diamond engagement rings, you need to understand who pays the duty. You should also know how the duty is calculated.

At Tonglin Jewelry, we’re more than just a manufacturer—we’re your partner in global business. We offer high-quality craftsmanship and expert customs support. We are here to make your importing journey easy, affordable, and stress-free.