The short answer
Knotted rugs are classified under HS 5701, woven rugs that are not tufted (including kelems and other flatweaves) under 5702, and tufted rugs under 5703. Each country then sets its own rate. Figures verified 23 October 2026 from the official tariffs: the US charges a general 4.5% on wool knotted rugs plus 10% on Indian goods; the UK charges 0% on them, with 20% VAT. This is not customs advice.
Rates change, and the right line depends on the fibre and how the rug is made, so confirm the classification with a licensed customs broker before you price an order. Each section below links the official page so you can re-check it on the day you import.
Which line applies: knotted, woven or tufted
Heading 5701 covers carpets and floor coverings that are knotted, which is where hand-knotted rugs go. Heading 5702 covers woven floor coverings that are not tufted or flocked; its first subheading names kelem, schumacks, karamanie and similar hand-woven rugs, and other subheadings split pile from flat weaves and wool from other fibres. Heading 5703 covers tufted floor coverings, which is where hand-tufted rugs go.
Within each heading the fibre decides the subheading: wool or fine animal hair, man-made fibres, jute and so on. A wool and silk blend, or a jute and wool blend, needs its own check. Our glossary defines the headings and the constructions.
United States: the USITC HTS, verified 23 October 2026
The figures below are from the USITC HTS, 2026 Revision 21, released 9 October 2026 and fetched on 23 October 2026. The general rate is the column 1 rate for countries without a preference programme. On top of it, heading 9903.05.44 adds 10% to the duty in the applicable subheading for articles the product of India, with listed exceptions, for goods entered from 24 July 2026 under the Section 301 forced-labour action (CBP CSMS #69326983, 23 July 2026).
The Special column of the HTS lists the trade programmes that can reduce the general rate. Check whether any applies to your goods before relying on the general rate, and note that US duty treatment of Indian goods changed more than once in 2025 and 2026.
| HTS subheading | What it covers | General rate | Plus, for goods of Indian origin |
|---|---|---|---|
| 5701.10.90.00 | Knotted, of wool or fine animal hair (other than the alpaca-type hair lines) | 4.5% | 10% under 9903.05.44 |
| 5702.10.90 | Kelem, schumacks, karamanie and similar hand-woven rugs (other than certified hand-loomed and folklore products) | Free | 10% under 9903.05.44 |
| 5703.10.20.00 | Tufted, of wool, hand-hooked (tufts inserted by hand or with a hand tool) | 6% | 10% under 9903.05.44 |
| 5703.10.80.00 | Tufted, of wool, other | 6% | 10% under 9903.05.44 |
| 5702.39.10.00 | Woven pile, not made up, of jute | Free | 10% under 9903.05.44 |
United Kingdom: the UK Trade Tariff, verified 23 October 2026
The figures below are from the UK Trade Tariff (GOV.UK), fetched on 23 October 2026. Import VAT of 20% applies on top of any duty. The tariff also lists a tariff preference for India at 0.00% on these codes, in force from 15 July 2026 under the Customs (Tariff and Miscellaneous Amendments) Regulations 2026; a preference normally has to be claimed with proof of origin, and the Trade Tariff page for each code lists what it accepts.
| Commodity code | What it covers | Third-country duty | India preference | VAT |
|---|---|---|---|---|
| 5701109000 | Knotted, of wool or fine animal hair, other | 0.00% | 0.00% | 20% |
| 5702100000 | Kelem, schumacks, karamanie and similar hand-woven rugs | 2.00% | 0.00% | 20% |
| 5702910000 | Woven, not of pile construction, made up, of wool or fine animal hair | 8.00% | 0.00% | 20% |
| 5703100000 | Tufted, of wool or fine animal hair | 8.00% | 0.00% | 20% |
European Union: check EU TARIC
We could not fetch an EU rate for these codes with Indian origin: on 23 October 2026 the European Commission's TARIC database served the measures only through a deferred request by e-mail, so we state no EU figure rather than repeat one from memory. Look up the 10-digit code with origin India in EU TARIC, which shows the third-country duty, any preference and the documents needed to claim it. Import VAT is charged at the rate of the member state of import.
VAT, preferences and proof of origin
Duty and import VAT are separate charges. In the UK and EU, VAT is charged on the value of the goods plus duty and shipping costs at import, at the national rate. A preferential duty rate, where one exists, applies only when the goods meet the rules of origin and the importer holds the proof the scheme asks for, such as a statement on origin or a certificate of origin.
Raheem & Son supplies a Certificate of Origin, commercial invoice, packing list and phytosanitary documents where required (how to order). Tell us your market and the preference you intend to claim before production, so the paperwork matches.
Where to re-check, and who pays
Re-check the rate on the day of import in the USITC HTS, the UK Trade Tariff or EU TARIC; the dates on this page are the dates we checked, 23 October 2026. Who pays the duty depends on the Incoterm: under FOB, CIF or DAP the buyer pays import duty and taxes, and under DDP the seller does. See exporting rugs from India: ports, Incoterms and documentation, importing rugs into the US, UK and EU and our export and logistics page. For landed-cost planning, see how to source hand-knotted rugs from India.
This page is general information, not customs advice. Classification and the rate on the day of entry are for your licensed customs broker to confirm.
Frequently asked
What is the HS code for a hand-knotted rug?
Heading 5701, knotted carpets and floor coverings. A wool hand-knotted rug in the US falls under 5701.10.90.00 (general rate 4.5%, verified 23 October 2026) unless its pile is mainly alpaca-type hair; in the UK it is 5701109000 (0.00%).
What duty does the US charge on rugs from India?
The general HTS rate for the line (for example 4.5% on wool knotted rugs, 6% on wool tufted rugs, free on kelem-type hand-woven rugs) plus 10% under heading 9903.05.44 for goods of Indian origin entered from 24 July 2026, with exceptions. Verified 23 October 2026; not customs advice.
What duty does the UK charge on rugs from India?
On 23 October 2026 the UK Trade Tariff showed 0.00% third-country duty on wool knotted rugs (5701109000), 2.00% on kelem-type hand-woven rugs and 8.00% on wool tufted rugs, with a 0.00% India preference in force from 15 July 2026 for goods that meet the origin rules, and 20% import VAT.
What is the EU import duty on handmade rugs?
We do not state it, because the EU TARIC database could not be fetched for these codes on 23 October 2026. Look up the 10-digit code with origin India in EU TARIC on the day you import.
Who pays import duty on a rug order?
It depends on the Incoterm. Under FOB, CIF and DAP the buyer pays import duty and taxes; under DDP the seller does. Agree it on the proforma invoice.
By Raheem & Son Editorial Desk, 23 October 2026
Written with the production and export teams in Bhadohi, where Raheem & Son has made rugs since 1927. See about the house and how we manufacture. Read our editorial policy.
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