How To Price A European Brand
For US Retail (2026 Guide)
To price a European brand for US retail, start from your landed cost in the US (product cost, freight, US duty and customs fees, US warehousing), then work forward to a wholesale price that lets the retailer apply its usual markup, and check the resulting US shelf price against comparable brands. US retailers usually sell at about 2 to 2.5 times the wholesale price, so if your landed cost is too high, the shelf price ends up too high. Since July 24, 2026 most EU goods pay at least 10% total US duty, so build that in from the start.
Why European Prices Don't Translate Directly
European consumer prices include VAT, often around 20%. US shelf prices are shown before sales tax. Sales tax is added at checkout and varies by state and city. Compare your EU price without VAT, not with it.
Simply converting your euro price at today's exchange rate ignores duty, freight, US fulfilment and the retailer's margin. US shoppers compare against US and international brands already on the shelf. Your price needs to make sense next to them, whether you sell fashion, beauty, home, jewellery or footwear.
Step 1: Work Out Your US Landed Cost
Start with the cost of getting stock ready to sell in the US. Then allow for delivery and returns where you pay them.
- Product cost, ex works: the price at the factory before shipping.
- Freight and insurance to the US.
- US import duty.
- US customs fees: Merchandise Processing Fee, plus Harbor Maintenance Fee for sea freight.
- Customs broker fees.
- US warehousing, receiving and pick and pack.
- US delivery and returns.
US duty is calculated on the customs value. For US imports, this is normally the transaction value of the goods. International freight and insurance are generally not included.
The Merchandise Processing Fee (MPF) on formal entries is 0.3464% of the value, with a minimum of $34.58 and a maximum of $670.86 per entry. These are the US fiscal year 2027 amounts, in effect since October 1, 2026. The minimum fee is one reason a bulk shipment can cost less per unit to clear than many small parcels.
The Harbor Maintenance Fee (HMF) is 0.125% of the value for goods arriving by sea.
Step 2: Know Your US Duty Rate
Since July 24, 2026 a Section 301 tariff sets a floor of 10% total duty for most goods from the EU. If a product's normal US duty, the most-favoured-nation (MFN) rate, is already 10% or more, no extra Section 301 duty is added. If it is lower, the Section 301 duty tops it up to 10%.
Many clothing and footwear lines already have normal duty rates above 10%, so they pay their normal rate. Many cosmetics and home products have low normal rates, so they usually end up at 10%.
Some goods are exempt from the Section 301 tariff, including items already under Section 232 duties and certain listed products. Steel, aluminium and some other categories carry separate Section 232 duties.
Duty depends on the 10-digit US tariff (HTS) code and country of origin, not on where you ship from. Check your exact codes with a customs broker. Rules have changed several times since 2025. IEEPA tariffs ended February 24, 2026, and a temporary 10% surcharge ran until July 24, 2026. Recheck before you set a price list.
For individual customer orders sent from Europe, read our guide to shipping after the $800 duty-free allowance ended.
Step 3: Set A Wholesale Price That Leaves Room For The Retailer
In fashion and accessories, US retailers commonly price at about 2 to 2.5 times wholesale. Keystone means 2 times wholesale. Premium and luxury categories often go higher. Ask each retailer for its expected margin before you commit.
On a retailer's marketplace, for example Nordstrom or Bloomingdale's, which run curated marketplaces, you set the selling price and the retailer takes a commission instead of buying stock. Commission rates are set in each retailer's agreement and are not published. Plan your margin with the actual numbers you are offered.
Most US retailers expect you not to undercut them on your own US website. Keep one US price across channels.
A Worked Example
Illustrative numbers only.
These figures are made up to show the method. Each amount is per unit, for a dress made in the EU. The 10% duty is an example, not a confirmed rate for dresses. Your exact HTS code may carry a higher rate.
| Item | Cost |
| Product cost (converted to USD) | $40.00 |
| Sea freight and insurance share | $2.00 |
| US duty, example 10% of $40 customs value | $4.00 |
| MPF and HMF share | $0.50 |
| Broker, receiving, storage, pick and pack share | $3.50 |
| Landed cost | $50.00 |
| Wholesale price (2x landed) | $100.00 |
| US shelf price at 2.5x wholesale | $250.00 |
If comparable dresses on the same retailer sell for $180 to $220, $250 is too high. The brand needs to cut cost through bigger shipments, a lower freight share or a different product mix, or accept a lower wholesale margin. US delivery and returns costs also need to be included where the brand pays them, for example on marketplaces.
Common Pricing Mistakes
- Converting the EU retail price including VAT.
- Forgetting duty and customs fees, or using the wrong tariff code.
- Pricing below the retailer's expected margin.
- Ignoring the cost of US returns, which are common in fashion and footwear.
- Different prices on your own site and on retailers.
- Not building a buffer for exchange rate moves between EUR and USD.
How HORIZON.HUB Helps
HORIZON.HUB acts as the US seller of record on retailer accounts, while your products are always sold under your own brand name. You arrange shipping your stock to the US. We can act as importer of record, or work through a simple consignment agreement, and we support you through customs. Once stock arrives, we store it in our Florida warehouse, ship orders, handle US returns, prepare your product data and run your retailer accounts. We can also help you build a US price list that works for the channels you are targeting.
See our US market entry strategy, marketplace onboarding and logistics and fulfilment services.
Related Services
Frequently Asked Questions
How much higher should my US price be than my EU price?
There is no fixed rule. Start from landed cost and the retailer's margin, compare with similar brands on the shelf, and remember EU prices include VAT while US prices do not include sales tax.
What US duty will my products pay?
Since July 24, 2026 most EU goods pay at least 10% in total. Products whose normal US rate is above 10%, which includes many clothing and footwear lines, pay that normal rate. Check your 10-digit HTS code.
What is the Merchandise Processing Fee?
A US customs fee on formal entries: 0.3464% of the value, minimum $34.58, maximum $670.86 per entry since October 1, 2026.
Should I show prices in dollars?
Yes. US retailers and shoppers expect US dollar prices, and retailers set their retail prices in dollars.
Do I collect US sales tax when I sell through a retailer?
When the retailer sells to the customer, or runs the marketplace, the retailer or marketplace generally collects sales tax at checkout. Check your own position with a US tax adviser.
Talk It Through With Us
Every brand starts from a different place. Book a call and we will look at your categories, your prices and your stock, and tell you plainly what we would do.
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