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How to Ship from China to the US Virgin Islands: the 6% Duty, the Credit & CBP
The US Virgin Islands are the odd one out among the American insular possessions, and the distinction matters to anyone quoting a shipment there. Guam, American Samoa and the Northern Mariana Islands each run their own customs administration. The USVI does not exactly — and it does not use the federal tariff either. Under 19 CFR 7.2(c), the Secretary of the Treasury administers the customs laws of the US Virgin Islands through US Customs and Border Protection, but the importation of goods is governed by Virgin Islands law. Where there is no applicable Virgin Islands law, US law is used as a guide. Federal officers, territorial statute.
The second thing is the rate. The Virgin Islands Bureau of Internal Revenue describes customs duties as generally imposed at six percent ad valorem on goods manufactured in, or originating outside, the territorial sovereignty of the United States and brought into the Virgin Islands. And critically, the Virgin Islands Legislature has the authority to reduce those duties, and has exempted certain tourist and construction items.
The third is the mechanism that most first-time importers have never met: the credit. Foreign-origin goods arriving from within the US customs zone pay six percent less whatever duty was already paid to the United States. If the US duty already equals or exceeds six percent, the goods enter the USVI duty-free.
At a glance
Territory: unincorporated organised territory of the United States — St Thomas, St Croix, St John and Water Island; capital Charlotte Amalie · Status: outside the US customs territory (19 CFR 7.2) · Administered by: CBP on behalf of the Treasury, but governed by Virgin Islands law · Duty: generally 6% ad valorem on goods of non-US origin; the legislature may reduce it · Credit: 6% less any duty already paid to the United States · Excise: US-origin goods exempt from duty but liable to excise, 0–6% · ISF: filed 24 hours before departure from the last foreign port · Currency: US dollar
How your cargo moves: China to the US Virgin Islands
Eight steps from your supplier's door to yours. The last four are the ones shaped by local rules.
- Pickup from your supplierWe collect the goods anywhere in China and bring them to our consolidation point.
- Export clearanceChina customs declaration filed and released before the goods move to the port.
- Loading and departureContainer loaded, sealed and handed to the carrier at the Chinese port.
- Main carriageOcean, air or rail movement booked on the route agreed for your cargo.
- Arrival at the gatewayDischarge at the port or airport of entry, recorded on the carrier's manifest.
- Import clearanceCustoms declaration filed locally, with duty and tax assessed on the declared value.
- Customs releaseGoods released into free circulation once duty and tax are settled.
- Final deliveryOnward movement to your delivery address, warehouse or nominated depot.
Duty rates, VAT rates and clearance times move, and the figure that applies to your goods is the one set for your commodity code on the day of clearance. We check the current position against your code before your goods sail and confirm it to you in writing — ask for that check when you request a quote.
The only insular possession where CBP enforces local law
It is worth being precise, because the arrangement is unusual in both directions.
What CBP does. The Secretary of the Treasury administers the customs laws of the USVI through CBP. Officers may board and examine any vessel or aircraft arriving in the Virgin Islands from anywhere outside it, and may inspect persons, baggage, packages and cargo. In practice, the entry is filed with CBP.
What CBP does not do. Apply the federal tariff. The importation of goods into the USVI is governed by Virgin Islands law, and the tariff classification and duty rates applicable to goods imported into the USVI are established by the Virgin Islands legislature. Where no Virgin Islands law applies and no US law has been specifically made applicable, US law is used as a guide and complied with as nearly as possible.
The practical consequence. A broker who has only filed mainland US entries will recognise the forms and the officers, and may therefore assume the tariff works the same way. It does not. The duty is a territorial charge at a territorial rate, with territorial exemptions, and it is worth confirming the current treatment of your product rather than inferring it from the HTSUS.
Six percent ad valorem, and the credit for duty already paid
These two ideas belong together, because they are the same calculation seen from two directions.
Coming direct from outside
Customs duties are generally imposed at six percent ad valorem on goods manufactured or originating outside the territorial sovereignty of the United States and brought into the Virgin Islands. That is the headline rate on a China-origin consignment.
Coming via the US customs zone
Articles of foreign origin imported into the USVI from within the US Customs Zone are subject to a duty equal to six percent of value, less any duty already paid to the United States. If the US duty already equals or exceeds six percent, entry is duty-free. Published trade guidance gives the example: five percent paid at US entry, one percent charged in the USVI.
Why this changes the routing conversation. If your consignment will enter the United States first and then move to the USVI, the duty already paid at US entry is creditable against the six percent. That is worth modelling before you choose a routing, because a routing that looks longer on the map can be cheaper at the border. Ask your broker to run both.
Goods of US origin escape duty but not excise
US-origin items shipped to the USVI are exempt from duties but subject to an excise tax ranging from zero to six percent, with some items taxed higher and alcoholic beverages charged at a flat rate based on volume rather than value. That distinction is worth stating to any buyer who assumes "US origin" means "nothing to pay".
There is also a VAT-like layer on the business side. The gross receipts tax is a tax on total receipts from conducting business in the Virgin Islands, with no reduction for cost of goods sold or other expenses. Published figures put it at five percent, with a nine-thousand-dollar-per-month exemption for smaller businesses. It lands on the buyer's ledger rather than at the port, but it belongs in the landed-cost model if the goods are being resold.
The excise schedule is specific, and often not a percentage
This is where the USVI departs most sharply from a conventional tariff. Much of the excise schedule is specific rather than ad valorem — a flat amount per case, per carton or per gallon — which means it does not scale with your invoice value and cannot be estimated as a percentage.
| Line | Excise treatment most commonly cited |
|---|---|
| Drugs, medicine and clothing | 2% |
| Carbonated drinks | 3% plus a flat amount per case |
| Tyres | 5% |
| Vehicles, firearms, ammunition and bicycles | 10% |
| Beer | Flat amount per case, with a higher figure for foreign beer than for US beer |
| Liquor, rum and spirits | Flat amount per case |
| Cigarettes | Flat amount per carton |
| Other items, catch-all | 4% |
| Gasoline, fossil fuel and diesel | Flat amount per gallon, applied once per gallon |
Exemptions exist too. Published guidance lists most foodstuffs, coal, fuel oil, animal feed, commercial fertilizers, and goods imported for re-export as exempt from excise tax. If your buyer is importing to re-export, that exemption is worth claiming properly rather than assuming.
The legislature has already exempted some things
Unlike a federal tariff schedule, which an importer reads and applies, the USVI tariff is something the local legislature has been actively editing. The Bureau of Internal Revenue notes the legislature's authority to reduce duties and records that it has exempted certain tourist and construction items from all customs duties, with other exemptions applying including some stemming from Danish law.
For a Chinese exporter this is an opportunity rather than a footnote. Two of the categories that move into the USVI in volume — tourism fit-out and construction materials — are exactly the categories named. If your consignment is hotel furniture, fixtures, or building material, ask whether the line is exempt before you assume the six percent applies. It is a fair question, it is cheap to ask, and on a large consignment it is worth real money.
ISF is the deadline that catches people out
The Importer Security Filing is the single most common cause of a penalty on this lane, and it is a deadline rather than a form.
- The rule. For ocean shipments originating outside the US customs territory — that is, from a foreign country to the USVI — the ISF must be filed at least twenty-four hours before the vessel departs the last foreign port.
- The penalty. Late or inaccurate filings carry penalties of up to five thousand US dollars per violation.
- Who files. The origin agent is responsible for timely filing. Confirm in writing who is filing it before the booking is confirmed, because "someone will" is not a control.
- The reverse direction. Published guidance notes ISF is not required for mainland-to-USVI ocean shipments; AMS and ISF filings apply to movements from the USVI to the mainland, where goods are treated as imports subject to HTSUS duties unless an exception applies.
Set the 24-hour rule as a production milestone, not a shipping one. The clock runs from the vessel's departure at the last foreign port. If your documentation is still being finalised when the ship is loading, you are already late. Build the data cut-off into the production schedule.
St Croix, St Thomas and St John are three different jobs
The territory has four named islands and three of them matter commercially: St Thomas, with the capital at Charlotte Amalie; St Croix; and St John. Each has its own port of entry and its own airport, and movement between them is a separate leg with its own schedule.
Practically, that means a quotation addressed to "the US Virgin Islands" is not a quotation. You need to know which island, which port the carrier actually serves, and whether an inter-island leg is included. If one order serves buyers on more than one island, plan the split at the first port of entry rather than shipping twice, and mark packages by destination island so they can be separated without unpacking everything.
Wood packaging, and the rest of the federal layer
No federal tariff does not mean no federal regulation. Product rules attach to the category, not to the customs territory.
Food, drugs and cosmetics
FDA requirements apply, including prior notice for food imports. Food contact articles, cosmetics, dietary supplements and medical devices each carry their own registration and labelling obligations.
Plant and animal products
USDA and APHIS rules apply, including to the packaging. All wood packaging materials — pallets, crates, dunnage — must comply with ISPM 15 and bear the treatment mark. Unmarked timber is a finding, not a paperwork query.
Alcohol, tobacco and firearms
Federal licensing applies, and locally the penalties are severe: published guidance cites Virgin Islands law requiring anyone entering with firearms or ammunition to declare them immediately on arrival at any port of entry, with very heavy penalties for failure to do so.
Examination
CBP and other agencies may order physical examination at any time. Published guidance puts examination costs at roughly two hundred to seventeen hundred US dollars or more for full container load shipments, and all examination costs are the importer's responsibility.
From the factory gate to a St. Thomas address
| Stage | What happens | What decides it |
|---|---|---|
| Product and rate check | Confirm whether the line is dutiable at 6%, exempt as a tourist or construction item, or subject to excise | The product — do this first, because the answer changes the price |
| Routing decision | Direct, or via the US customs zone with the duty credit | Which produces the lower border charge, not just the shorter transit |
| Packing and marking | Export packing, ISPM 15 timber, marked by island | Whether the spec was set at order time |
| ISF filing | Filed at least 24 hours before departure from the last foreign port | Having the data before the vessel loads, not while it loads |
| China export clearance | Declaration filed, goods released | Documents complete before the truck is booked |
| Arrival and entry | Entry filed with CBP as administrator of Virgin Islands customs law | Whether the permits and declarations were prepared in advance |
| Assessment and release | Duty or excise assessed, examination if selected, goods released | The product category and the accuracy of the declaration |
| Inter-island leg | Onward movement to the second or third island where required | A separate schedule, independent of the ocean carrier |
What to confirm before you quote a US Virgin Islands buyer
- Is the line dutiable at six percent, or exempt? Tourist and construction items have been exempted.
- Is the cargo entering via the US customs zone? If so, the duty already paid is creditable.
- Who files the ISF, and when? Name them, diarise the 24-hour deadline.
- Which island, and which port does the carrier serve? Not "the USVI".
- Is there an inter-island leg, and who pays it? Quote it separately.
- Is the wooden packaging ISPM 15 marked? Check before sealing.
- Is the product FDA-, USDA- or federally licensed? Assume yes and check.
- Has the buyer budgeted for examination costs? They are the importer's responsibility.
Why importers use Goodhope on this lane
Six things that are different about working with us on China to the US Virgin Islands shipments.
Work out the duty credit before the container ships
Tell us what you are shipping, the HS codes if you have them, the packed dimensions and gross weight, the pickup city in China and the delivery island. We will confirm which port the carrier actually serves on St Thomas, St Croix or St John, tell you whether routing via the US customs zone produces a lower border charge once the duty credit is applied, flag the ISF deadline and who is filing it, check the wooden packaging requirement with you, and quote the sea leg, the air alternative and any inter-island movement separately. Where a question is one for a USVI broker rather than for us — the current exemption list, the excise line for your product — we will say so plainly.
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Frequently asked questions
Are the US Virgin Islands inside the customs territory of the United States?
No. The USVI is outside it under 19 CFR 7.2. Mainland-to-USVI shipments are not domestic movements and require a customs declaration; USVI-to-mainland shipments face HTSUS duties. Rates for goods imported into the USVI are set by the Virgin Islands legislature.
Who administers customs in the US Virgin Islands?
CBP administers the customs laws of the USVI on behalf of the Secretary of the Treasury, but importation is governed by Virgin Islands law. Where no Virgin Islands law applies, US law is used as a guide. Federal officers enforcing a territorial statute.
What is the import duty rate in the US Virgin Islands?
Generally six percent ad valorem on goods originating outside the territorial sovereignty of the United States. The Virgin Islands Legislature may reduce duties and has exempted certain tourist and construction items.
How does the credit for duty already paid to the United States work?
Six percent of value less any duty already paid to the United States. If the US duty already equals or exceeds six percent, entry is duty-free. Five percent paid at US entry means one percent charged in the USVI.
Do goods of US origin pay duty in the USVI?
US-origin items are exempt from duty but subject to excise tax of zero to six percent, with cigarettes higher and alcohol at a flat rate by volume. Non-US-origin goods pay the difference between six percent and any US duty already paid.
Is there an Importer Security Filing requirement?
Yes for ocean shipments from a foreign country to the USVI — filed at least twenty-four hours before departure from the last foreign port, with penalties up to five thousand US dollars per violation. Not required for mainland-to-USVI movements.
Which ports and airports does cargo use in the USVI?
St Thomas, St Croix, St John and Water Island, with the capital at Charlotte Amalie. Each main island has its own port of entry and airport, and inter-island movement is a separate leg.
Do federal product regulations still apply?
Yes. FDA rules for food and drugs, USDA and APHIS rules for plant and animal products, federal licensing for alcohol, tobacco and firearms, and ISPM 15 for all wood packaging.
What documents does a USVI import need?
Commercial invoice, packing list, bill of lading or airway bill, the customs declaration filed with CBP, and any product permit. For household goods, CBP Form CF-3299, a supplemental declaration, a detailed valued inventory in English, and visa or residency proof where duty-free entry is claimed.
Are there examination costs?
Yes, and they fall on the importer. Published guidance puts examination costs at roughly two hundred to seventeen hundred US dollars or more for full container load shipments.