XBKit·B2B / Export

Landed Cost Calculator

Calculate the true cost of imported goods including freight, insurance, import duty, and VAT.

Shipment Details
$
$
% of cargo
Taxes & Fees
%
%
$

Other: customs clearance, port handling, drayage

Formula
Landed Cost / Unit=CIF Value+Import Duty+VAT+Other Fees
  • CIF = FOB + Freight + Insurance
  • Duty = CIF × Duty Rate
  • VAT = (CIF + Duty) × VAT Rate
  • Typical insurance rate0.3 – 0.8%

How to Use

  1. 1

    Enter FOB price per unit

    Input the factory price (FOB — Free on Board) agreed with your supplier, divided by the order quantity to get cost per unit.

  2. 2

    Add freight and insurance

    Enter total sea or air freight cost and insurance. The tool divides these by unit quantity to calculate the per-unit contribution.

  3. 3

    Input import duty rate

    Enter the applicable duty rate for your product and destination country. Use the Duty & Tax Estimator if you need help finding the rate.

  4. 4

    Add VAT or GST if applicable

    Some countries charge VAT/GST at import. Include this to see your true all-in landed cost. Note: if you're VAT-registered, you may be able to reclaim import VAT.

Frequently Asked Questions

What is landed cost?

Landed cost is the total cost of a product once it has arrived at your destination warehouse — including purchase price, freight, insurance, import duties, and taxes. It's the true cost basis for profitability calculations.

Why is landed cost important for pricing?

Sellers who only account for the factory price often underprice products because they forget to include freight, duty, and other import costs. Landed cost ensures your selling price covers all acquisition costs and delivers the margin you need.

What is the difference between FOB and CIF pricing?

FOB (Free on Board) means the supplier is responsible until goods are loaded on the vessel. You arrange and pay for freight and insurance. CIF (Cost, Insurance, Freight) means the supplier includes freight and insurance to the destination port in the price.

Should I include Amazon FBA fees in my landed cost?

Not typically — landed cost covers getting the product to your warehouse. FBA fees are a separate cost of selling. Calculate landed cost first, then layer marketplace fees on top in your profitability model.

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