How does one determine a product's precise ‘estimated landed cost’ for importing goods into the US for FBA?
Determining a product's precise 'estimated landed cost' for importing goods into the US for FBA requires calculating all expenses incurred from the point of origin to when the goods are available for sale in Amazon's fulfillment centers. This calculation includes the following components: the purchase price of the goods from the supplier; shipping costs from the supplier's location to the port of departure; export costs at the origin country; international freight charges (sea or air); insurance costs to cover potential loss or damage during transit; import duties and taxes levied by US Customs and Border Protection (CBP), which vary based on the product's Harmonized System (HS) code; customs clearance fees charged by a customs broker for handling the import process; inland transportation costs from the US port to the Amazon fulfillment center; FBA prep fees if applicable; and any other associated costs such as inspection fees or warehousing charges. Accurately estimating each component and summing them provides the 'estimated landed cost', which is crucial for determining product profitability and pricing strategies.