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

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

Determining your total cost when importing from Thailand to Kazakhstan involves understanding key import elements. The customs duties you'll incur are influenced by factors such as the country of origin, the HS Code, the Goods' Customs Value, and the Applicable Tariff Rate, along with other potential taxes and fees specific to your products. It's like piecing together a puzzle where each element contributes to the final picture. Your first move in this puzzle solving is pinpointing exactly where your goods originate - this is to say, the country where your items were actually manufactured or produced. Armed with this information, you can then unravel the complexities of estimating import duties and taxes.

Step 1 - Identify the Country of Origin

For successful shipping from Thailand to Kazakhstan, recognizing the country of origin is your first vital step. Here’s why:

1. It verifies product authenticity and ensures regulatory compliance.
2. It impacts the Harmonized System (HS) code that classifies your product.
3. It affects your product's customs duties since rates differ based on origin.
4. It identifies any existing trade agreements, which might lower your duty fees.
5. It highlights import restrictions to avoid unexpected shipment holdups.

Thailand and Kazakhstan share robust trade relationships, with several agreements to foster economic cooperation. For example, Thailand falls under the Eurasian Economic Union (EAEU) customs privileges, potentially lowering your import costs.

However, bear in mind Kazakhstan's unique restrictions. Some goods, like certain textiles and agricultural products, may face stricter regulatory control. Pay attention to these restrictions to sidestep import hassles and expedite your customs clearance process.

The takeaway? Know your product’s origin. It’s your gateway to a hassle-free, cost-effective shipping experience. Armed with this knowledge, you're all set to acquire the right HS code and sail smoothly through customs.

Step 2 - Find the HS Code of your product

The Harmonized System (HS) Code is a universally accepted classification system for goods, used by customs authorities around the world to identify products for the purpose of taxation and regulation. It's an essential part of your shipping process, ensuring your goods reach their destination without any hiccups.

If you're unsure of your product's HS Code, the easiest way to find it is by asking your supplier. They are likely well versed in the import regulations related to their products and should be able to provide the correct code.

However, if that's not an option for you, we've got you covered with a simple step-by-step process. First off, you can use an HS lookup tool, like the Harmonized Tariff Schedule. By entering the name of your product into the search bar, you can easily find the corresponding HS Code.

Next, you'll need to locate the 'Heading/Subheading' column. This is where you will find the specific HS Code for your product.

It's vital to note that accuracy in selecting the right HS Code is of paramount importance. Inaccurate or incorrect codes may result in delays in customs clearance and even potential fines. Navigating through HS Codes might be intricate but taking the time to ensure precision can save you a lot of trouble in the long run.

For your convenience, we've provided an infographic showing you how to read an HS code. Digesting this information visually is sure to simplify the process further!

Step 3 - Calculate the Customs Value

If you've ever puzzled over the term 'Customs Value', worry no more. Simply put, the customs value isn't exactly the price tag of your products. Instead, it's the combined sum of the goods' cost, insurance, and freight (CIF) when they reach the Kazakh border.

How do you get this value? Here it goes: Imagine you bought goods worth $10,000 from Thailand, paid $2000 for shipping, and another $500 for insurance. In this case, your Customs Value isn't $10,000 (the product price) but $10,000 + $2,000 + $500 = $12,500.

It's all about understanding the journey of your goods, the costs along the way, and summing them up accurately. If done right, Kazakh customs will be a smooth experience for you.

Step 4 - Figure out the applicable Import Tariff

An import tariff is essentially a tax on imported goods. When importing goods from Thailand to Kazakhstan, you are subject to the Common Customs Tariff.

You can find the applicable tariff rate for your specific product by following these steps:

1. Identify the Harmonized System (HS) code for your goods. For example, let's say you're importing two-wheeled bicycles (HS code 8712).
2. Visit the Thailand Customs Department's website.
3. Enter the HS code (e.g., 8712) and Thailand as the country of origin to see the duties and taxes applied to bicycles.

Let's assume the applicable tariff for bicycles is 12%. If your Cost, Insurance, and Freight (CIF) value is USD 10,000, your import duty would be calculated as:

Import Duty = (Tariff rate/100) CIF value
= (12/100) 10,000
= USD 1,200.

Therefore, you'd need to factor in this additional USD 1,200 expense when estimating your total import costs. It's key to plan for these costs ahead of time and work them into your pricing strategy to avoid any unexpected financial hits. This exercise will enable you to calculate the import duties accurately, thereby making the import process smoother and more predictable.

Step 5 - Consider other Import Duties and Taxes

Understanding the complexities of import duties and taxes is key to a smooth shipping process. Different from the standard tariff, there are specific duties that may apply depending on your product's nature and its country of origin.

Consider the excise duty, particularly relevant if your goods from Thailand to Kazakhstan fall under the category of tobacco, alcohol, or energy products. Excisable goods attract an additional percentage, typically depending on physical quantities, such as liters for alcohol.

Similarly, anti-dumping duties exist to protect local industries by levelling the playing field. If your goods are deemed to be sold significantly cheaper in Kazakhstan than in Thailand, an anti-dumping duty may apply.

Most importantly, you need to budget for Value Added Tax (VAT). Unlike other duties calculated on the customs value, VAT is applied to the sum of the customs value, the customs duty, and any excise duty.

Here's a simplified calculation:

Total VAT = (Customs Value + Customs Duty + Excise Duty) VAT rate

For illustrative purposes, let’s consider you're importing a batch of aluminum goods valued at $20,000. The customs duty is about 5% and excise duty doesn't apply. Kazakhstan currently has a standard VAT rate of 12%.

So, your VAT would be:

Total VAT = ($20,000 + $20,0005/100) 12 / 100 = $2,520

Remember, these figures are examples and rates may vary. Always check with local authorities for accurate rates.

Step 6 - Calculate the Customs Duties

Understanding the calculation of customs duties is crucial when shipping goods from Thailand to Kazakhstan. This cost depends on several values: the customs value, VAT, anti-dumping taxes, and occasionally Excise Duty.

1. Situation A: When customs duties apply but no VAT, you only need to calculate customs value (let's say $10,000) times the customs duty rate (say 5%). So, your customs duty would be $500.

2. Situation B: Importing goods requiring customs duties and VAT applies a two-step calculation. First, calculate the customs duty (as in Situation A). Then add the duties to the customs value and multiply it by the VAT (let’s say 12%). For a customs value of $10,000 and a 5% duty rate, it'll be $10,500 12%, giving a VAT of $1,260.

3. Situation C: For items attracting customs duties, VAT, anti-dumping taxes, and Excise Duty, first calculate the customs and VAT (as in Situation B). Then, compute the anti-dumping tax by multiplying the customs value by the stipulated anti-dumping rate (assume 10%), giving $1,000. Suppose the Excise Duty is 15%, then it will be $10,000 15% = $1,500. In total, you'll have customs duties + VAT + anti-dumping taxes + Excise Duty, which for this example equals $750 + $1,890 + $1,000 + $1,500 = $5,140 in total charges.

Remember, this process can be perplexing and it's crucial not to end up overcharged. Let us, at DocShipper, take care of your customs clearance process anywhere in the world. Request your free quote within 24 hours and forget the hassle.

Bill of Lading

Navigating shipping from Thailand to Kazakhstan? The Bill of Lading is crucial. This document establishes your ownership over the goods and paves the way for smooth customs clearance. Traditionally, it's a paper document, but many forwarders now use a telex (electronic) release, saving you the hassle of handling physical paperwork. It's similar to an Air Waybill (AWB) but for ocean freight. The upside? Proof of ownership switches instantaneously, no courier fees, and no lost documents! Don't ignore the fine print; ensure it matches your commercial invoice and packing list to a tee for a seamless transition of your goods from Bangkok to Astana. Remember, the devil―and the customs officer―is in the details!

Packing List

When shipping goods from Thailand to Kazakhstan, the Packing List becomes your best ally. It's like a resume for your shipment, detailing what's inside, how much it weighs, how it's packed and more. Customs officials rely heavily on this document, whether your goods travel by sea or air. Imagine your package is a set of Russian nesting dolls. The Packing List gives customs a peek inside, without needing to unpack everything. And accuracy? Crucial. Any discrepancies can cause delays, incurring unexpected costs. Your job as a shipper is to ensure this document is as precise as a Swiss watchmaker. Think of it as your passport to a smooth customs clearance process. In a nutshell, the Packing List might seem like just another piece of paperwork, but it plays an all-star role in your Thailand-Kazakhstan shipping story.

Commercial Invoice

A Commercial Invoice is your golden ticket to seamless shipping from Thailand to Kazakhstan. This key document, detailed with your commodity's total cost, quantity, and description, serves as an official record for customs authorities, acting as a passport for your goods to cross borders. Misalignment with your packing list or Bill of Lading can derail the entire process. So, ensure consistency across documents! Need an actionable tip? Specify your goods in both English and Kazakh or Thai to avoid confusion, as language barriers often pose customs challenges. And remember, even minor discrepancies may lead to delays or extra charges. So, precision is everything in your Commercial Invoice. It's not just paperwork; it's your customs clearance lifeline.