What is customs duty and how does it differ from a tariff?

Customs duty is a tax collected by government authorities on goods entering a country. It generates revenue and protects domestic industries. A tariff is the published rate schedule that determines how much duty is charged on specific product categories. In practice the terms are often used interchangeably, but technically a tariff is the rate, and duty is the amount you pay. Both are determined by HS code, declared value, and country of origin. With Swap Global, duties are calculated automatically and displayed at checkout so customers see the full cost upfront.