Candles and home fragrance have long run on thin import margins, so even a low base duty plus current China-era surcharges can compress an already tight spread. Most of this category is small, low-priced, and shipped in volume, which means duty lands on hundreds of near-identical SKUs at once rather than on a few high-value units. When the stacked rate moves, the effect can be easy to miss per item but add up across a quarter.
Representative 2026 estimate stacking base MFN duty (USITC HTS 2026 Rev.10), Section 301 on China-origin goods (USTR), Section 232 on autos and steel/aluminum/copper articles (CRS IN12545), and the 10% Section 122 surcharge that expires 2026-07-24 and is under appeal (Skadden). Your exact per-SKU duty depends on the precise HS code, which MarginGuard resolves from the live HTS schedule once connected. Not legal or customs advice.
Thailand currently imports into the US under the reciprocal-tariff era, meaning a country-level reciprocal duty generally sits on top of the ordinary product-specific HTS/MFN rate set by each item's HS code. That reciprocal load is generally somewhat lower-stacked than what comparable goods face from China, where additional trade measures can pile on above the base duty — but it is still a real, added cost, not a tariff-free origin. For landed cost, this means a Thailand-sourced SKU usually carries a lighter total stack than its China equivalent, yet typically more than the headline base rate alone. The representative stacked rate for your specific category is shown in the rate box above, and your per-SKU rate depends on the exact HS code.
Thailand reads as a potential margin-relief alternative to China rather than a tariff escape hatch: for many categories the stacked rate tends to run somewhat below China's, so a like-for-like move may recover a few points of margin, but you would still pay base duty plus a reciprocal-era load on every unit. The caveats are threefold. First, the gap versus China is a moving target — reciprocal rates are set by policy and can be revised, so an advantage priced in today is not guaranteed for the next purchase order. Second, any relief generally depends on the goods genuinely originating in Thailand; simple transshipment or last-step finishing of Chinese components may not satisfy rules of origin and can carry compliance risk and higher-rate exposure. Third, any preferential-program eligibility depends on meeting that program's specific rules of origin, which turn on where the substantial work and inputs actually happen, not just the shipping country. As general guidance, treat Thailand as a possible partial hedge rather than a certainty: model the landed cost at the actual stacked rate for your HS code, and confirm origin details with your supplier and a qualified customs professional. This is general information, not customs or legal advice.
That's a single SKU. Across a full catalog the tariff hits every imported product differently depending on its cost and price — which is exactly why margin damage hides until a quarter closes light.
Paste your Shopify URL. In about ten seconds you'll see every SKU that dropped below your target margin after the current Thailand tariffs — and the exact price to charge to recover each one. Free, no login.
Scan your store free →Landed cost = unit cost × (1 + tariff rate). To get back to a target margin M, the recovery price is landed cost ÷ (1 − M). For a $28 candle set from Thailand at a 13% stacked rate, that means charging $22.15 to hold a 40% margin. Round to a clean price point and test it; the point is to stop selling underwater.
The base duty depends on where the product lands in the tariff schedule. Finished candles sit in HTS heading 3406 (candles, tapers and the like), which carries a low base rate; the exact figure depends on the precise HS code and is reflected in the representative rate box on this page. Home fragrance is not one heading: reed diffusers, room sprays, and scented oils often classify under Chapter 33 (essential oils and perfumery preparations, frequently heading 3307 for room deodorizers), while the wax articles and candles themselves sit in Chapter 34. What tends to move the real number is less the wax and more the country of origin and any China-era surcharges stacked on top of the base, so two visually identical candle sets can carry very different landed costs depending on where they were poured. Because the per-SKU rate hinges on the precise HS code, the classification call is what decides the duty.
A common trap in this category is petroleum wax candles from China: there is a long-standing US antidumping order on them, and if your candles are made primarily from petroleum (paraffin) wax and poured in China, a separate antidumping duty may apply on top of the base rate. Merchants who assume a candle is just a candle can be caught out by this on a routine entry. Soy, beeswax, and palm-based candles, and candles from other origins, generally sit outside that order, so the wax composition and country on your supplier spec sheet are not cosmetic details, they can decide whether an extra duty applies. Confirm the specifics of any given entry with a customs professional.
Because much of this category's exposure is the China-specific load (and, for paraffin candles, the antidumping order on top of it), shifting where the candle is actually poured tends to move the number more than reformulating the product. Vietnam, India, and other Southeast Asian sources commonly carry lower stacked rates for finished candles and diffusers, and switching the wax base away from petroleum paraffin may take a China-origin SKU out of antidumping exposure. Confirm with each new supplier exactly what the candle is made of and where every step happens, since country of origin for duty purposes generally turns on substantial transformation rather than just final packaging.
Why is the base duty on candles so low but my landed cost still jumped?
The base rate for finished candles in heading 3406 is low, so the base alone is usually not what hurts; the exact figure depends on the precise HS code and is shown in the representative rate box on this page. The increase typically comes from the China-era surcharges stacked on top of the base, and for paraffin candles from China, a possible antidumping duty as well. Your stacked rate depends on origin and the exact HS code.
Do reed diffusers and room sprays get taxed the same as candles?
Often no, because they usually classify outside the candle heading. Diffusers, scented oils, and room sprays frequently fall under Chapter 33 perfumery and room-deodorizer headings rather than the 3406 candle line, which can mean a different base duty. If you sell both candles and liquid fragrance, treat them as separate classifications rather than lumping them under one rate.
Is there really a special duty just on candles from China?
There is a long-standing US antidumping order on petroleum (paraffin) wax candles from China that can sit on top of the normal duty. Whether it applies turns on the wax composition and origin of your specific candles, so soy or beeswax candles, or candles poured outside China, are typically not covered. Confirm the wax type and country with your supplier, and the specifics with a customs professional, before assuming you are clear.
Is sourcing from Thailand cheaper on tariffs than China?
Often, but not always. Thailand's reciprocal-era stack generally tends to run somewhat lower than China's, where additional trade measures can apply above the base duty. Thailand is not duty-free, though: you would still pay the product's base HTS rate plus the reciprocal load. The size of the gap depends on your exact HS code, and the representative stacked rate for your category is shown in the rate box above. Treat any savings as real but partial, and model the actual landed cost rather than assuming a flat discount versus China. This is general guidance, not customs or legal advice.
Does moving my supplier to Thailand automatically lower my duties?
Generally only if the goods genuinely originate in Thailand. Customs typically looks at where the substantial manufacturing and inputs actually occur, not just where the container ships from. Routing largely-Chinese goods through Thailand for a final step (transshipment) generally does not change the country of origin and can carry compliance risk, including higher-rate exposure. Consider confirming with your supplier where the real production and key components come from before you price in any savings. This is general guidance, not customs or legal advice.
Can goods from Thailand qualify for a lower or preferential rate?
Possibly, but it is generally never automatic — any preferential treatment depends on meeting that program's specific rules of origin, which hinge on how much of the value and processing happens in Thailand. The reciprocal-era duty can also be revised by policy, so a favorable rate today may not hold for future orders. Consider verifying current eligibility and the live rate for your HS code before each purchase order, and budget margin around the actual stacked rate rather than a best-case assumption. This is general guidance, not customs or legal advice.
MarginGuard watches every imported SKU and alerts you the moment a tariff change pushes one below your target margin — with the exact recovery price.
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