Customs Duty is a crucial aspect of international trade, acting as a tax on goods imported or exported across international borders. The primary purpose of customs duties is to safeguard a nation's economic interests, including its industries and environment, and to generate revenue for the government. The amount of customs duty imposed varies, depending on factors such as the type and value of the goods, their country of origin, and the trade agreements and tariff schedules of the destination country. Typically, the importer or exporter is responsible for paying these duties as a part of the customs clearance process, which is an integral step in international logistics.
— sennder Team
Example or usage in road freight logistics:
Consider a situation where a French electronics retailer imports a batch of smartphones from South Korea. During the customs clearance process in France, the retailer, as the importer, is required to pay Customs Duties. These duties are calculated based on the value of the smartphones and the applicable tariff rates under the EU-South Korea Free Trade Agreement. The retailer collaborates with a Customs Broker to accurately calculate and pay the duties, ensuring the shipment clears customs swiftly and reaches their store without delay.
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