Discusses pricing formula and other fees, value-added tax (VAT), etc.
  • Exporters usually quote c.i.f.  Copenhagen prices to Danish importers.  The c.i.f.  price includes all U.S. domestic freight costs, ocean/air freight and insurance but not Danish import duty or VAT.  The rate of import duty typically ranges from 5 to 14% on industrial products.  Additionally, the importer must pay a 25% Value Added Tax (VAT) calculated on the sum of the landed (c.i.f.) cost plus the duty.  VAT is levied on a non-discriminatory basis to all products and most services sold in Denmark, whether imported or produced locally.  There are also heavy surcharges/taxes on a number of “luxury” consumer items, such as cigarettes and tobacco, alcoholic beverages, energy, including oil and gasoline, and automobiles.  Despite a 180% levy on the purchase price of an automobile, there are more than two million passenger cars on the Danish roads (roughly one for each household). 
  • The appropriate price for a product in the Danish market is often best determined through market research.  In Denmark, a number of private companies perform market research.  The U.S. Foreign Commercial Service Copenhagen can supply contact information on these companies. 

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.