How Much Is Import Duty from China to the UK? A 2026 Guide with Worked Examples

In short: When you import goods from China to the UK you usually pay two things at the border: import duty (a percentage set by your product's commodity code, commonly 0–12%) and import VAT at 20%. Duty is charged on the value of the goods plus shipping and insurance; VAT is charged on that total plus the duty. For commercial shipments there is no duty-free threshold — the old £135 rule mainly affects how VAT is collected, not whether you pay it.

What taxes do you pay when importing from China to the UK?

Three charges can apply:

• Customs (import) duty — a percentage based on the product's commodity code. Most consumer goods sit between 0% and 12%.
• Import VAT — 20% on most goods, charged on the duty-inclusive value.
• Excise duty — only on specific goods like alcohol and tobacco.

How is import duty calculated?

UK duty is charged on the CIF value — the Cost of the goods + Insurance + Freight to the UK border. Import VAT is then charged on the CIF value plus the duty. The formula is:

Duty = (Goods + Shipping + Insurance) × duty rate
Import VAT = (Goods + Shipping + Insurance + Duty) × 20%

Worked example: importing 1,000 phone cases

If you're VAT-registered, you can usually reclaim the £1,214.10 import VAT on your next return — so your real net cost is the £370.50 duty plus your goods and freight.

How do I find my commodity code and duty rate?

Every product has a 10-digit commodity (HS) code that sets its duty rate. Use the UK government's online Trade Tariff tool to look it up by describing your product. Getting this right matters: the wrong code can mean overpaying duty — or an unexpected bill and penalty if you underpay.

What is the £135 rule?

For consignments of goods valued at £135 or less, VAT is generally collected at the point of sale rather than at the border, and no customs duty applies. Above £135, duty and import VAT are charged at import. This threshold is about the goods value, not your shipping cost, and is most relevant to low-value e-commerce parcels rather than bulk commercial orders.

How can you reduce import duty legally?

• Classify correctly. Make sure your commodity code is accurate — some variants carry lower rates.
• Check trade agreements. Goods that qualify under certain origin rules can attract reduced duty (China imports rarely qualify, but components sometimes route differently).
• Use the correct customs value. Duty is on CIF — don't accidentally include UK-side costs.
• Consolidate shipments to reduce per-shipment admin and freight, lowering the CIF base proportionally.
• Register for VAT so import VAT becomes reclaimable rather than a sunk cost.

Frequently asked questions

Do I have to pay import duty on samples from China?

Often yes, though genuinely marked, low-value samples can sometimes qualify for relief. Don't assume — declare them properly.

Is there a duty-free allowance for businesses?

No. Unlike personal allowances, commercial imports are dutiable from the first pound (subject to the product's rate, which may be 0%).

Who pays the duty — me or the supplier?

That depends on your Incoterms. Under FOB or EXW, you (the importer) pay UK duty and VAT. Under DDP, the supplier covers it — but it's built into their price.

How is duty paid?

Usually your freight forwarder or customs broker pays HMRC on your behalf and invoices you, or you use a duty deferment / postponed VAT accounting arrangement.

What happens if I under-declare the value?

Under-declaring is illegal and risks goods being seized, plus penalties. Always declare the true transaction value.

How Epic Sourcing helps

Epic Sourcing helps UK importers get the full landed-cost picture — goods, freight, duty and VAT — before you commit, so there are no surprises at the border. Our bilingual teams in China and Vietnam and our UK freight partners handle classification, shipping and customs end to end. We've sourced 20,000+ products for 300+ clients. Get a landed-cost estimate.

Related reading: importing goods into the UK, how much it costs to ship from China to the UK, and importing from Alibaba to the UK.

Last updated: 14 June 2026. This guide is general information, not tax or legal advice — check current HMRC rates for your commodity code.