Freight Shipping between China and Kazakhstan | Rates – Transit times – Duties and Taxes

How to calculate duties & taxes when importing from China to Kazakhstan?

When importing goods from China to Kazakhstan, the calculation of customs duties comes down to several key variables - the country of origin, HS Code, customs value, and the applicable tariff rate - each playing an integral role in determining the final cost. Also, be mindful of any other taxes and fees that may apply to your products. Your first move towards estimating these costs? Pinpoint the exact country where the goods in question were manufactured or produced. This is crucial because it directly influences your customs duty and tariff rates, which vary from country to country.

Step 1 - Identify the Country of Origin

Knowing the country of origin, in this case, China, is crucial when importing goods to Kazakhstan. Firstly, it clarifies custom duty expectations, because each nation maintains its ratio. Secondly, it defines the applicable trade agreements. China and Kazakhstan share the Belt and Road Initiative dynamic, which offers a unique customs landscape.

Thirdly, identifying the origin country enables you to determine the goods' compliance with Kazakhstan's import restrictions - not all products made overseas are permitted! Fourthly, it provides clear navigation of various custom procedures specific to both nations. Lastly, this knowledge offers predefined exemptions or reductions under the countries' bilateral agreements.

Remember, any mistake on the origin country could lead to incorrect payments, penalties, or even seizure of goods. Always verify the country of origin before proceeding with the HS code. You’ll find it a priceless compass in your journey through duties, custom clearance, and compliance checks. Plan your import route wisely!

Step 2 - Find the HS Code of your product

Firstly, a Harmonized System Code (HS Code) is a standardized numeric method of classifying traded products. It's internationally recognized and used by customs authorities around the world to identify and apply tariffs to goods.

Now, finding your HS Code can be straightforward, often your supplier will know it as they're pretty clued up on what they're exporting and the related regulations.

However, if that isn't possible, don't worry - we've got you covered with an easy, step-by-step process:

1. Visit the linked Harmonized Tariff Schedule.
2. Enter the name of your product in the search bar.
3. Check the Heading/Subheading column.

That's where you'll find your product's HS Code!

Remember, being accurate with your HS Code is crucial. Incorrect usage can lead to shipment delays and even potential fines, so it's not a detail you want to overlook!

To make things easier, here's an infographic showing you how to read an HS code.

Step 3 - Calculate the Customs Value

So, you've got your products ready for shipping from China to Kazakhstan. Now you need to calculate the customs value. But what exactly is it? Well, it's not simply the price of your goods. The customs value calculates the Cost, Insurance, and Freight (CIF) value. This includes the cost of your goods, the price you paid for international shipping, and any insurance charges. All these summed up give you your customs value. For example, if your goods cost $1000, the shipping cost is $100 and insurance is valued at $50, your customs value will be $1150. This could be different from the actual worth of your products in the market. Bear in mind, understanding the customs value is crucial because it's the basis for determining customs duties when importing goods into Kazakhstan.

Step 4 - Figure out the applicable Import Tariff

Import Tariffs are the duties or taxes levied on goods when they are transported across international borders. In the case of importing goods from China to Kazakhstan, these tariffs are determined by the Kazakhstani government and are specific to the product being imported.

Now, you might wonder how to identify the tariff applicable to your product. Here's how you can do it:

1. Identify the HS Code of the product you are importing. Let's say, for example, your product is a laptop. The HS code for laptops is 847130 (just an example, always check the right HS code).
2. With the HS Code and the country of origin, you can inquire about the import tariffs from the relevant customs authority or through an authorized customs broker in Kazakhstan.

Let's implement this by way of an example. Suppose you wish to ship laptops (HS Code: 847130) from China to Kazakhstan. Let's assume that the import tariff in Kazakhstan for laptops is 15%. The Cost, Insurance, and Freight (CIF) value of the laptops let's say is USD 10,000. You calculate the import duties by applying the import tariff of 15% to the CIF value, i.e., USD 10,000 x 15% = USD 1,500 is the import duties you need to pay.

Remember, the percentages may vary, so always check with a reliable source to get accurate figures. Calculating the tariff upfront can save you from many surprises and help you budget effectively. That's part of the logistics magic - mastering these duties can make or break the success of your international shipping endeavour.

Step 5 - Consider other Import Duties and Taxes

When importing goods from China to Kazakhstan, your shipment will typically be subject to a standard tariff rate. However, it's crucial to take note of additional import duties that might apply, depending on the country of origin and your product's nature.

For instance, excise duty is a tax on products like alcohol or tobacco; if you're in this niche, you'll need to factor it into your costs. Anti-dumping taxes, on the other hand, are penalties imposed on cheap imports that could harm domestic industry, commonly seen in sectors like steel or chemical products.

Lastly - and perhaps most significantly - is the Value Added Tax (VAT). This tax rate differs by country and can substantially affect your import costs. In Kazakhstan, the standard VAT rate is 12% on the customs value, plus any tariff and excise (it's just an example, the rates might differ). To calculate this, you can use the following formula:

VAT = (Customs Value + Tariff + Excise) x VAT rate.

Remember, foreknowledge of these potential costs will help prevent unwanted surprises and ensure smoother business operations. Remember, these are just examples and the rates can vary.

Step 6 - Calculate the Customs Duties

To compute customs duties for goods entering Kazakhstan from China, understanding the formula is vital: (Customs Value + Cost of Transport + Insurance) x Duty Rate = Customs Duties. Here, the Customs Value is the price you paid for your goods, including any shipping or insurance charges. The Duty Rate is usually a percentage of the Customs Value, and it varies depending on the type of goods.

Take these examples:

1. Customs Value: $20,000, Duty Rate: 10%, no VAT. Calculate: ($20,000) x 10% = $2,000 in Customs Duties.

2. Customs Value: $30,000, Duty Rate: 15%, VAT: 12%. Calculate: ($30,000) x 15% = $4,500 in Customs Duties, and ($30,000 + $4,500) x 12% = $4,140 for VAT.

3. Customs Value: $40,000, Duty Rate: 20%, VAT: 12%, Anti-dumping duties: 10%, Excise duty: 5%. Calculate: ($40,000) x 20% = $8,000 in Customs Duties, ($40,000 + $8,000) x 12% = $5,760 for VAT, ($40,000) x 10% = $4,000 for Anti-dumping Duties, and ($40,000) x 5% = $2,000 for Excise duty.

Customs clearance can be tricky, but not with DocShipper. We ensure you're well-informed and not overcharged. For accurate calculations and seamless customs clearances worldwide, contact us for a free quote within 24 hours.

Bill of Lading

Shipping goods between China and Kazakhstan? Your first ally is the Bill of Lading (BOL). It's a contract, receipt, and ownership marker all in one. It's crucial at the point of customs clearance, as Kazakhstan Customs uses it to verify your shipment. For example, you won't transition the goods ownership without the BOL. Telex release? It quickens the process. Instead of waiting for a paper document, you receive an electronic version, speeding up cargo release. For air freight, there's the AWB (Air Waybill), which works similarly. These documents are not just paper – think of them as the key to your shipping container! Always ensure a correct and prompt issuance to avoid any delays.

Packing List

Mastering the art of international logistics means tackling the Packing List, a crucial document for moving goods between China and Kazakhstan. Picture this: you're the shipper, entrusted with cataloging every item in your cargo. Accuracy and precision? They're not just optional: it's your responsibility. Whether you're dispatching by sea or air, a correctly compiled Packing List is your key to seamless customs clearance. Imagine detailing a shipment of garments, each individual item needs to be counted and reported, from the silk scarves to the leather jackets. Skimming over the silk scarves count? That could lead to unnecessary delays and surprises for your cargo. That's the real power of a detailed Packing List – it keeps your shipment on schedule, and your business operations smooth. Remember, in logistics, it's often attention to the meticulous details that define success.

Commercial Invoice

Crafting your Commercial Invoice for shipping goods from China to Kazakhstan? This critical document is like your shipment's passport—it needs to accurately declare what you're transporting. Compiling a thoroughly detailed invoice eases the customs clearance process, helping avoid time-consuming hold-ups.

Key details required include your business's information, the consignee's details, a comprehensive description of the goods, prices, and HS codes. Misalignment between your invoice and other shipping documents like the Bill of Lading can spark delays, so double-check for consistency. Remember, it's not just about compliance—clear and transparent documentation can make your logistics chain smoother, faster, and more trouble-free. So, go the extra mile to get it right! Business in logistics is never just about the cargo—it's about the paperwork too!