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Duty & rules

How import duty from China to India is actually calculated

Duty is not a single percentage. It is basic customs duty, then a surcharge on that duty, then IGST on the whole lot — and it is charged on your freight as well as your goods.

Most people asking “what is the duty on this” expect one number. There are three, they stack, and the base they are charged on is larger than the invoice you paid your supplier.

The three components

  • Basic customs duty (BCD) — set by the HS code for your product. This is the number that varies most, and the one worth getting right before you order.
  • Social welfare surcharge (SWS) — 10% of the BCD amount, not of the goods value. On 20% BCD it works out to 2% of assessable value.
  • IGST — charged on the assessable value plus BCD plus surcharge. Usually 5, 12, 18 or 28% depending on the category.

What it is charged on

Not the invoice from your supplier. Duty is charged on the assessable value: the cost of the goods plus freight plus insurance, landed at the Indian border. In other words, you pay duty on your shipping too.

This is the single most common surprise for a first consignment. A cheap product with bulky, expensive freight can carry noticeably more duty than the invoice value suggests.

The part that comes back

IGST is usually the largest of the three lines, and if you are GST registered it is not a real cost — it comes back as input tax credit against your output GST. The BCD and the surcharge do not come back. They are the true cost of importing.

That is why comparing a landed cost against a local purchase on the headline duty figure is misleading. Compare on what you never recover.

Why we will not publish a rate table

Because a rate is only true for one HS code on one date. Classification is the whole game: two products that look identical to you can sit under different headings with materially different duty, and the tariff is revised regularly.

Send us the product — a link, a photo, or the supplier spec sheet — and we will confirm the classification and the current rate before you commit to the order, not after the goods have shipped.

Rules change. Check before you commit. Duty rates, HS classifications and certification requirements are revised regularly. Everything here was accurate on the date above — send us the product and we will confirm the current position before you order.

Have a shipment in mind?

Send the product link or the HS code. We come back with a landed cost, a transit time and an honest answer on whether it is worth importing.

Get a landed-cost quote

Goods + freight + duty + IGST + clearance, in one number.

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