You agreed a price with a supplier in China. The margins look great on your spreadsheet. Then the goods land at a UK port, HMRC gets involved, and a bill arrives that you only half-budgeted for. That’s the moment most first-time importers realise duties and VAT can eat into profit fast. This guide explains what you’ll actually pay, which documents you can’t skip, and a few legitimate ways to bring costs down. We’ve made most of these mistakes ourselves over the years, so treat this as the version we wish someone had handed us earlier.

How UK Import Duties and Tariffs Work

When your shipment arrives from China, HM Revenue & Customs (HMRC) applies several charges. You need to know about them before you price your products. Margins die quietly when duty is an afterthought.

Customs Duty (Import Duty)

Customs duty is a tax on goods brought into the UK. The rate depends on the commodity code (also called the HS code) your product falls under. Rates range from 0% to over 20% of the