Customers often ask me, "Robert, your furniture quality is excellent, and the prices are very reasonable, but I want to understand what additional costs I need to pay when sourcing furniture from China, besides the price of the furniture itself? Which parts can I save on?"
As a company with 12 years of B2B experience, HomeBridge has established partnerships with clients in over 35 countries worldwide. We are familiar with shipping costs and related policies in various countries, enabling us to help customers significantly save on costs and time during this process. Let’s take a look at what additional fees are involved.
1.Transportation Process for Importing Furniture from China
After confirming the product, you need to consider how to transport it to your doorstep. This process is not as simple as purchasing furniture from a store 10 kilometers away; buying items from a distant country requires more effort. However, there’s no need to worry too much. Established international trade has enabled billions of containers to be safely transported from one country to another. Like millions of traders worldwide, by the end of this article, you will grasp the essential knowledge of transportation in international trade and understand the associated costs.The process is straightforward: once the factory has produced the furniture, a truck will transport it to the port of loading (POL). Then, the furniture will be loaded onto a cargo ship and shipped to the destination port (POD). Finally, it will be unloaded from the ship at the port and transported to your doorstep by a truck.
The costs involved will cover the following aspects:
- Transportation costs from the factory to the port
- Export customs clearance fees in China
- Shipping costs and insurance
- Port fees at the destination port
- Customs clearance and duties in the destination country
- Domestic transportation (from the destination port to the final address)
Below, we will explain these costs in detail and provide approximate reference ranges. We will also share related procurement cases.
Don’t worry: you also don’t need to be concerned about the process being too cumbersome or complex. We will handle the customs clearance process in China, while you can engage a professional customs broker to manage the customs clearance and transportation in your home country. This article aims to help you understand the relevant costs associated with transportation.
2.How to Calculate Shipping Costs form Importing Furniture from China
1) Local Costs in China
Local costs in China include the expenses for transporting goods from the furniture factory to the shipping port, as well as related export fees.
- Trucking fees from the factory to the port: Approximately $200, though the exact cost may fluctuate based on the distance from the furniture factory and the condition of the goods.
- Customs clearance fees at Chinese ports: This includes booking fees, export handling fees, and customs declaration fees. Typically, the fee for LCL (Less than Container Load) shipments ranges from $100 to $200, while FCL (Full Container Load) fees are around $400.
Therefore, the overall local costs in China are roughly between $300 and $500. To ensure you receive the most accurate cost information, please feel free to contact us directly, and we will provide you with the latest real-time quotes and detailed information.
2) Ocean Freight and Insurance
Among the three transportation methods—sea freight, land transportation, and air freight—we recommend choosing sea freight, as it is significantly more cost-effective for shipping goods of the same volume compared to land and air transport. Here are the pros and cons of each transportation method:
- Land Transportation: Suitable for short-distance transport, but international land transport is time-consuming and expensive, making it unsuitable for large volumes or oversized furniture.
- Air Freight: The fastest option, but extremely costly, especially for bulky furniture, where the air freight costs can be prohibitive. Additionally, furniture is susceptible to vibrations and compression during air transport, increasing the risk of damage.
- Sea Freight: An economical choice for transporting large quantities of goods, effectively reducing transportation costs. For large and heavy furniture, sea freight offers significant cost advantages. The container shipping method in sea freight also provides good protection for the goods.
Homebridge's specially designed wooden frames for furniture effectively protect the items during sea transport, reducing the risk of damage and further saving on transportation costs.
Sea freight costs refer to the transportation fees from Chinese ports to U.S. ports and typically constitute a major portion of the shipping costs. These fees are quoted by shipping companies and can fluctuate. Much like airfare, if there are available spaces, prices may be discounted by 40-50%, while during peak seasons, prices can rise, approaching full fare.
Additionally, it’s important to understand the difference between FCL (Full Container Load) and LCL (Less than Container Load). Due to the large space occupied by furniture, we typically choose FCL for shipping. While some clients might consider LCL to save costs, the billing for LCL is generally based on the volume of the goods. Therefore, for large furniture that occupies significant space, LCL shipping costs often exceed those of FCL. Opting for FCL is usually more economical.
Additionally, sea freight costs from China to various ports in the U.S. (including East Coast, Midwest, and West Coast) can vary. With over 100 ports in the U.S., it's not feasible to list the specific prices for all ports. To provide a reference, I have outlined a general price range. However, actual costs may be influenced by several factors, such as the shipping season, the volume of goods, and the shipping company, leading to fluctuations in prices. To ensure you receive the most accurate cost information, please feel free to contact us directly, and we will provide you with the latest real-time quotes and detailed information.
In addition, almost all sea freight requires insurance, with the insurance premium amounting to 0.3% to 0.7% of the cargo value. This depends on factors such as the destination, shipping route, and potential risks during transit (e.g., severe weather, port security, etc.). To ensure you receive the most accurate cost information, please feel free to contact us directly, and we will provide you with the latest real-time quotes and detailed information.
3) Local Logistics Costs in the United States
This mainly depends on the distance between the port and the destination, as well as the specific city. For example, there are over 100 ports in the United States, each varying in distance to the required destination. However, the freight forwarding companies that work closely with Homebridge will choose the port closest to the destination, significantly reducing subsequent transportation costs. Here’s a simple estimation. To ensure you receive the most accurate cost information, please feel free to contact us directly, and we will provide you with the latest real-time quotes and detailed information.
4) Customs Clearance Costs in the United States
- Customs Brokerage Service Fee: Usually a fixed fee for handling documents and customs clearance, approximately $100-$500.
- Document Processing Fee: The cost for preparing customs declarations, invoices, and other documents, approximately $50-$150.
- Port/Airport Unloading Fee: The fee for unloading goods from the port or airport, approximately $100-$300.
- Customs Bond: The price for a single-entry customs bond is approximately $100-$200, while a continuous-entry customs bond costs around $250-$450. The latter is significant for importers who import multiple shipments each year.
Other Possible Fees (as applicable):
- Cargo Inspection Fee: If customs requires inspection, approximately $100-$300.
- Storage Fee: If goods are stored at the port or airport beyond the free period, approximately $50-$100 per day.
- Expedited Clearance Fee: If expedited service is needed, approximately $100-$200.
The main costs are generally between $250 and $950. For actual prices, please consult Homebridge.
3.How to Calculate Customs Duties for Imported Furniture from China
1) Components of Customs Duties
The customs duties for importing furniture from China to the United States depend on the type of furniture, materials used, and the classification code (HTS Code) applied by U.S. Customs. Generally, the formula for calculating customs duties is:
Customs Duties = Standard Tariff + Customs Processing Fees + Port Maintenance Fees + Other Possible Fees.
2) How to Calculate Standard Duties
a.Check the HS Code of the Product
The HS code (Harmonized System Code) is an internationally standardized classification system for goods, designed to unify and simplify the classification of products and the collection of tariffs in international trade. The HS code is developed by the World Customs Organization (WCO) and is widely used around the world.
You can use the HS code lookup tool to quickly search for HS codes online by simply entering product keywords (e.g., "sofa") and selecting the category that relates to your product. This will provide you with the first six digits of the HS code.
b.Search on USITC
Directly enter the product keywords (e.g., "mattress") in the search page of the USITC. You will find different codes to choose from. You need to review the product descriptions to identify the HS code that applies to your product. The product description that matches is the one you need. Additionally, you can obtain the corresponding duty rates.
c.Inquire with Homebridge or your freight forwarder
If you find it difficult to determine the exact HS code for your product during the above search process, it is recommended that you inquire with Homebridge, a customs broker, or an international freight forwarder for the specific HS code.
3) Common Furniture Duty Rates in the United States
Wooden Furniture
- Classification: Includes dining tables, chairs, desks, beds, etc.
- Tariff Rate: Approximately 0% to 10%.
Metal Furniture
- Classification: Includes metal dining chairs, bed frames, bookshelves, etc.
- Tariff Rate: Approximately 0% to 10%.
Upholstered Furniture
- Classification: Includes sofas, armchairs, mattresses, etc.
- Tariff Rate: Typically between 0% to 8%.
Plastic Furniture
- Classification: Includes plastic chairs, tables, etc.
- Tariff Rate: Typically between 0% to 5%.
Glass Furniture
- Classification: Includes glass coffee tables, display cabinets, etc.
- Tariff Rate: Typically between 0% to 5%.
Bamboo and Rattan Furniture
- Classification: Includes bamboo chairs, rattan tables, etc.
- Tariff Rate: Typically between 0% to 10%.
Specialty Furniture
- Classification: Includes highly customized furniture, certain office furniture, etc.
- Tariff Rate: May vary, determined by specific product categories.
(4)Customs Handling Fees and Port Maintenance Fees
- MPF Fee: Commercial value * 0.3464% (not less than $27.2 and not exceeding $528.33)
- HMF Fee: Commercial value * 0.125%
(5)Total Duty Calculation
Assuming the customer imports furniture worth $30,000 from China, and the tariff rate is 3%:
- Tariff: Customs value ($30,000) * Tariff rate (3%) = $900
- MPF Fee: Commercial value ($30,000) * 0.3464% = $103.92
- HMF Fee: Commercial value ($30,000) * 0.125% = $37.50
- Total Import Tax: $900 + $103.92 + $37.50 = $1,041.4
4.Homebridge International Furniture Purchasing Case Studies
1) U.S. Clients
- Destination: Los Angeles, USA
- Total Value of Furniture: $30,613
- Customs Duty Costs: $3,345
- Transportation Costs: $8,432
- Total Expenses: $42,390
1. Furniture Tour: Client Visiting Furniture
2. Furniture Tour: Arranging Furniture Packing
2) Australian Clients
- Destination: Sydney, Australia
- Total Value of Furniture: $29,400
- Customs Duty Costs: $2,343
- Transportation Costs: $4,362
- Total Expenses: $36,105
1. Furniture Tour: Client Visiting Furniture
2. Furniture Tour: Arranging Furniture Packing
5.How Homebridge Helps You Save Money
1.Establish Long-Term Partnerships with Reliable Freight Forwarders: With over 12 years of B2B trade experience, we have built long-term relationships with freight forwarders in many countries, helping us secure better shipping rates for our customers.
2.Optimize Transportation Routes: Homebridge understands how to reduce shipping costs by selecting the right routes, considering different ports and destinations, which impacts both sea and land transportation costs and requires advance planning.
3.Optimize Container Space: We know how to plan container space effectively, ensuring that larger furniture items are accommodated properly.
4.Book Transportation in Advance: We plan transportation based on the customer’s required arrival time and closely monitor fluctuations in sea freight prices to secure the best shipping rate for our clients.
5.Optimize Packaging for Goods: Our wooden frame packaging protects furniture during transport while minimizing space usage.
6.Competitive Service Fees: HomeBridge only charges a service fee of 3-6% of the furniture value, making us very competitive in the industry. We do not collect commissions from furniture manufacturers, allowing us to offer the best prices to our clients.
7.Professional Customs Advisors: Our team is skilled at calculating customs duties related to furniture, enabling you to estimate your tax obligations in advance.
8.Legal Tax Reduction: We employ legal methods to help clients reduce customs duties. For example, when a piece of furniture is eligible for multiple HS codes, we advise clients to choose the one with the lower tax rate.
6.Conclusion
When sourcing furniture from China, it's crucial to understand and calculate the additional shipping costs and tariffs, in addition to the price of the furniture itself. As mentioned at the beginning, many customers have questions about these costs. By choosing the appropriate shipping method, accurately calculating freight charges, and selecting the correct HS codes, you can effectively control costs and ensure a smooth import process.
With 12 years of B2B experience and partnerships with clients in over 35 countries, Homebridge can save you time and money at every stage of the process. Our long-term freight forwarders provide the best shipping rates and help you avoid excessive charges through precise customs declarations. We offer door-to-door service, simplifying the import process so you can just wait for your furniture to be delivered.
We are committed to providing high-quality furniture and a worry-free import experience. If you want to enjoy efficient service while saving costs, Homebridge is your ideal choice. Contact us for real-time quotes and more cost-saving suggestions, and we will be happy to assist you, ensuring a smooth and economical furniture procurement process.
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