Landed Cost Calculator โ True Import Cost Per Unit
Calculate the complete landed cost of imported goods โ product, ocean freight, customs duty, insurance, destination trucking and warehousing. Know your true cost before you buy.
๐ฒ Landed Cost Calculator
How to Use This Calculator
- Enter product FOB cost โ what you pay the supplier, typically FOB origin port.
- Enter all freight charges โ ocean freight, insurance (typically 0.5โ1% of CIF value).
- Enter customs charges โ use the Import Duty Estimator for duty โ add broker fee separately.
- Add destination costs โ drayage from port to warehouse, and any local warehousing fees.
Worked Example
500 units, $15,000 FOB. Ocean freight $2,800. Insurance $180. Duty $1,500. Broker $350. Drayage $650. Sell price $85/unit.
- Total landed: $15,000 + $2,800 + $180 + $1,500 + $350 + $650 = $20,480
- Per unit: $20,480 รท 500 = $40.96
- Logistics overhead: $5,480 รท $15,000 = 36.5% on top of product
- Margin at $85: ($85 โ $40.96) รท $85 = 51.8%
Without the full landed cost, a buyer might assume $30/unit cost based on FOB price alone โ and price the product incorrectly. Always calculate landed cost before committing to a product.
Frequently Asked Questions
Landed cost is the total cost of getting a product from the supplier to your warehouse, including product cost, all transportation, insurance, customs duties, fees, and any local delivery charges. It is the true cost basis for inventory valuation and margin calculation.
Commonly missed: cargo insurance, customs broker fees, port handling / THC (Terminal Handling Charges), chassis fees for container moves, demurrage if containers are held, warehousing/storage at destination, and any product inspection or testing fees.
Section 301 tariffs on Chinese goods (currently 7.5โ145% depending on product) can dramatically increase landed cost. A product costing $20 FOB with a 25% tariff adds $5 in duty alone before freight. Always run landed cost scenarios at different duty rates when sourcing from China.