Free sourcing total-cost model

Reshoring vs Import Total Cost Calculator

Go beyond overseas piece price. Add tariffs, freight, customs costs, lead-time inventory, carrying cost, quality loss and supplier overhead — then compare the true annual economics with domestic manufacturing.

Simple sourcing comparison

Build the imported and domestic cost stacks

True TCO Bridge

Annual demand & overseas purchase

Annual demand

units

Overseas unit price

FX / purchase-price buffer

Tariff / duty rate

User-entered. Verify current HTS classification and applicable duties.

Import logistics & border costs

International freight / unit

Domestic port / inland logistics / unit

Brokerage / customs / import fees

% purchase

Use an all-in user-entered rate for applicable fees; do not assume one universal CBP fee. Insurance / inspection / compliance / unit

Import lead time, inventory & quality

Import lead time

days

Import safety stock

days

Annual inventory carrying rate

Import defect / nonconformance rate

Cost / defective imported unit

Replacement, rework, expedited freight, inspection, line disruption, etc. Annual supplier management / travel / admin

Expected annual disruption / expedite reserve

Other annual import-specific cost

Domestic manufacturing alternative

Domestic unit price

Domestic freight / unit

Domestic lead time

days

Domestic safety stock

days

Domestic defect rate

Cost / defective domestic unit

Annual domestic supplier / support cost

Domestic capacity available

units/yr

Reshoring transition investment

Tooling / qualification / transfer

Annualized tooling / support after launch

Analysis horizon

years

Annual import-cost inflation

Annual domestic-cost inflation

TCO logicImport TCO includes buffered purchase cost, entered tariffs/fees, logistics, inventory carrying cost on lead-time + safety-stock inventory, quality loss and annual sourcing overhead. Domestic TCO includes unit price, freight, domestic inventory carrying cost, quality loss and annual domestic support. Working capital is shown separately from carrying cost so the inventory itself is not double-counted as annual expense.

Piece Price → True TCO Bridge

What the overseas quote leaves out

Annual cost stack

Lead-Time Working Capital Bridge

Inventory tied up by sourcing distance

Tariff × freight stress test

When does the sourcing decision flip?

Cells show annual reshoring advantage

Current tariff note

Do not hardcode yesterday's duty rate

Tariff treatment depends on HTS classification, origin, trade programs and additional duties that can change. This calculator deliberately uses a user-entered tariff rate and import-fee assumption. Verify the current classification and duty treatment in the U.S. International Trade Commission's current HTS and confirm import requirements with CBP or your customs professional.

Research context: NIST MEP — How U.S. Manufacturers Can Take Advantage of Reshoring; USITC Harmonized Tariff Schedule; U.S. Customs and Border Protection import-duty and fee guidance.

Advanced sourcing portfolio

Model eight products or sourcing lanes

Reshoring Priority Queue

Portfolio-wide assumptions

Annual inventory carrying rate

Import safety stock

days

Domestic safety stock

days

Import brokerage / customs fees

% purchase

Annual overseas supplier overhead

Annual domestic supplier overhead

Annual disruption / expedite reserve

One-time reshoring transition cost

8 products / sourcing lanes

SKU / productUnits / yrImport $ / unitTariffImport logistics / unitImport leadImport defectDomestic $ / unitDomestic logistics / unitDomestic leadDomestic defectDefect costDomestic capacity

Portfolio allocationShared overseas supplier overhead and disruption reserve are allocated across active SKUs by import purchase value. Shared domestic overhead is allocated by domestic purchase value. Tariff is entered per SKU. The portfolio model calculates each SKU's annual TCO, working-capital difference, domestic break-even unit price and capacity coverage before ranking reshoring candidates.

Reshoring Priority Queue

Products ranked by annual total-cost advantage

Positive = domestic TCO advantage

Rank	SKU / product	Import TCO / unit	Domestic TCO / unit	Annual reshoring advantage	Break-even domestic $ / unit	Break-even premium	Working capital release	Lead-time reduction	Capacity coverage	Signal

Portfolio Cost Stack

Where the import-vs-domestic gap comes from

Tariff Shock × Freight Shock

Portfolio annual reshoring advantage under sourcing volatility

Entered tariffs and import logistics scaled together

Lead-Time Inventory Sensitivity

How shorter import lead time changes the reshoring case

Import lead-time multiplier	Portfolio import TCO	Working capital released by domestic sourcing	Annual carrying-cost savings	Annual reshoring advantage

Scope

Total-cost comparison, not customs or sourcing advice

This tool does not determine HTS classification, customs value, country of origin, tariff applicability, antidumping/countervailing duties, trade-remedy exposure, tax treatment, supplier capability or domestic manufacturing feasibility. Verify current tariff treatment with authoritative sources and validate domestic tooling, capacity, quality, lead time and transition assumptions before making a sourcing decision.