Duty rates verified against the HTSUS · MPF at FY2026 · the duty stack
A Vietnamese quote almost always costs more per unit than a Chinese one — but China carries the 25% Section 301 tariff and Vietnam does not. So the real question is not "which FOB is lower" but "how much of a Vietnam premium does the tariff gap pay for?" Enter your quotes; this finds the break-even Vietnam price and who wins on landed cost.
Vietnam breaks even at
$7.57
per unit — up to 22.2% over China's $6.20 and still level on landed cost.
| China | Vietnam | |
|---|---|---|
| FOB / unit | $6.20 | $7.10 |
| Effective duty | 37.5% | 12.5% |
| Landed / unit | $8.84 | $8.31 |
Estimate only — not customs, tariff, or legal advice. The Vietnam rate holds only if the goods are genuinely of Vietnamese origin; mislabeled transshipment is penalized. Verify current rates before you file.
The break-even is one input, not the whole decision
The number above is where the tariff math tips — not where the sourcing decision lands. It does not price the things that often matter more:
- Manufacturing maturity and quality consistency. China's electronics supply chain is deeper and more established; for complex or higher-spec builds, component availability, process control, and yield are frequently better.
- Capacity, tooling, and lead time. China typically offers more capacity, faster tooling, and shorter lead times; Vietnamese capacity in some categories is still ramping.
- Total cost of quality. A lower landed cost that ships more defects — or a longer lead time that stocks you out — can erase the tariff saving.
- Supply-chain resilience. Dual-origin is the point of "China + 1": it cuts single-country exposure without betting the line on one plant.
Kestner sources from qualified lines in both China and Vietnam, so you do not have to pick the country before you pick the supplier. We put the tariff math beside the quality, capacity, and lead-time picture, document the country of origin per unit either way, and can split or shift origin as the trade-off — or the tariff — moves. The tool tells you the price at which the decision flips; the call is still yours to make on the full picture.
How the break-even works
Both origins pay the same 12.5% Section 301 forced-labor duty, the MPF, and the MFN base; only China adds the existing 25% Section 301 layer. That gap is the entire premium a Vietnam quote can absorb. For a power adapter (Free base), China lands at goods × 1.375 and Vietnam at goods × 1.125 — so Vietnam breaks even at roughly 1.375 ⁄ 1.125 ≈ 22.2% over China, before freight. Freight and broker are added per entry and can move the line, which is why they are inputs. The origin rates come from the duty stack; the full per-unit breakdown is in the landed-cost calculator.
The tariff gap by product category
The Section 301 delta — the premium headroom before freight — is the China minus Vietnam effective rate.
| Category · HTS | China | Vietnam | §301 delta |
|---|---|---|---|
Power adapters & chargers 8504.40.85 | 37.5% | 12.5% | 25.0 pts |
USB-C, HDMI, AV & Ethernet cables 8544.42.90 | 40.1% | 15.1% | 25.0 pts |
Coaxial cable 8544.20.00 | 42.8% | 17.8% | 25.0 pts |
Optical fiber 8544.70.00 | 37.5% | 12.5% | 25.0 pts |
USB-C hubs & docks 8471.80.00 | 37.5% | 12.5% | 25.0 pts |
Sources
- China & Vietnam effective duty rates — verifiedthe duty stack
- CBP customs user fees (COBRA)19 CFR 24.23 · FY2026 adjustment
One partner, both origins.
The break-even moves with the tariff, the freight, and the quote — and the right origin can move with it. Kestner sources power and connectivity hardware from qualified lines in both China and Vietnam, documents the country of origin per unit, and can shift or split origin as your cost, quality, and lead-time priorities change. Dual-origin flexibility, from one US counterparty that stands behind the paper.