Discusses pricing formula and other fees, value-added tax (VAT), etc.
Last Published: 11/8/2019
Branding is an important factor in developing a pricing strategy, especially in the consumer goods sector. Distributor price margins average between 15 percent and 40 percent, depending in part upon whether the distributor controls a product’s marketing. Price breaks and discounts for large-volume purchases are common promotional incentives.

In Taiwan, a five percent value-added tax (VAT) is imposed on the sale of nearly all products and services. Imports are subject to VAT based upon their landed price, including duties and commodity taxes on certain products. Products including rubber tires, cement, non-alcoholic beverages, oil and gas, certain electrical appliances, flat glass, and motor vehicles are subject to commodity taxes that range from eight to 50 percent ad valorem or other specific tariffs. In addition to customs duties, all imports are assessed a commercial harbor service charge, which is based on cargo weight and net ship tonnage.

 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.