Views: 0 Author: PROLEADER FLOORS Publish Time: 2022-12-14 Origin: Site
Vietnam vs China Tariff Advantage for SPC Flooring What US Importers Save
The tariff difference between China and Vietnam is the main reason US importers are shifting their SPC flooring sourcing. But the 25 percent tariff number does not mean 25 percent savings. Here is the real calculation.
The Numbers Behind the Tariff
SPC flooring from China faces Section 301 tariffs of 25 percent on top of the base duty rate. This means the total duty for Chinese SPC. The base duty rate of approximately 5.3 percent also applies.
SPC flooring from Vietnam faces only the base duty rate. Vietnam does not have Section 301 tariffs. The tariff advantage on paper is approximately 25 percent.
Why the Real Savings Are Lower
The 25 percent tariff advantage does not translate to 25 percent lower landed cost. Vietnam factories import raw materials from China including PVC resin, print film, wear layer paper, and packaging materials. These additional logistics costs reduce the net savings.
The FOB price from Vietnam is typically 3 to 8 percent higher than from China for equivalent products. Standard products have a smaller gap. Custom products have a larger gap.
Total landed cost from Vietnam is approximately 10 percent lower than from China. The exact savings per container depend on product thickness and loading quantity. Thicker products load fewer square meters per container, so the dollar savings vary. But the percentage advantage is consistent.
Lower Inspection Rate at US Customs
Chinese shipments face higher inspection rates under current US trade policy. Vietnamese shipments generally clear US customs faster. This reduces the risk of delays and additional inspection fees.
For importers who value predictable delivery timelines, the lower inspection rate is an important factor. Customs holds on Chinese shipments can add days or weeks to the delivery schedule.
Who Benefits Most
Importers who benefit most from the Vietnam tariff advantage are those importing 5 or more containers per year to the US. For these volumes the 10 percent landed cost savings justify the additional supply chain planning required.
Smaller importers may find the savings less compelling when factoring in the longer lead time and higher minimum communication overhead.
About PROLEADER
PROLEADER produces SPC flooring in both China and Vietnam. We provide landed cost calculations for both options so you can compare. Contact us for a quote from our Vietnam factory.
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