GlossaryEN1 min readUpdated: Jun 22, 2026
Customs duty
When a shipment crosses an international border, customs duties are typically the first charge the importer faces – levied by the government either as a percentage of the customs value (ad valorem) or as a fixed amount per unit of quantity.
Quick Answer
Last updated: Published:
Source: https://ec.europa.eu/taxation_customs/business/customs-procedures/customs-duties_en
Category
Find a matching partner on this lane
Reading time
1 min
Words
166
Mentioned in
5 articles
Definition & Explanation
When a shipment crosses an international border, customs duties are typically the first charge the importer faces – levied by the government either as a percentage of the customs value (ad valorem) or as a fixed amount per unit of quantity. The applicable rate depends on the importing country's tariff schedule, the product's classification under the Harmonized System (HS code), and the declared country of origin; free trade agreements can reduce or eliminate the rate entirely. Duties serve a dual purpose: generating public revenue and acting as a trade policy instrument – high rates protect domestic producers, low rates encourage imports. Correct HS classification is critical for importers and freight forwarders, as an incorrect tariff heading can trigger duty reclaims, penalties, or customs holds. Within customs unions such as the EU, duties between member states are fully abolished, while a common external tariff applies to goods from third countries. Customs duties are distinct from import VAT and excise taxes, both of which may apply on top.
Next steps
Matching tools and partners
Related Terms
You might also be interested in these terms
Mentioned in
Mentioned in Countries
Connect
Find a matching partner on this lane
Verified forwarders, ranked by coverage and profile — premium capped at 10%.
Related News
Customs Processes
EU Demands New Certificate of Origin for Steel Imports
Sep 22, 202614711 min
Companies
Descartes Acquires Logistics Software Provider Extensiv
Sep 21, 202618291 min
Regulatory
EUDR (Deforestation Regulation): Supply Chains Face Critical Deadline in Late December
Sep 21, 202618541 min
Customs Processes
New Countervailing Tariffs Alter Transportation Between USA and Canada
Sep 20, 202613851 min
Customs Processes
EU Council Approves Customs Reform: Greater Responsibility for Platforms and Traders
Sep 17, 202616991 min
Customs Processes
Retroactive Customs Duties in Poland: Industry Associations Call for EU Clarification
Sep 17, 202614541 min
Logistics knowledge straight to your inbox
Free · No password · Never a paywall. Weekly top news and facts from logistics.