Internationalization can follow several paths that differ in how much a firm invests and how much control it wants to keep. The most immediate route is exporting, either directly, when the company manages foreign sales itself, or indirectly through intermediaries. To these traditional options we can add digital exporting via e-commerce platforms and international marketplaces, which let firms reach foreign buyers even without a physical footprint.
Another family of strategies focuses on building a commercial presence in the destination market without producing there. Companies can work with agents and distributors, open their own stores or showrooms, or rely on contracts such as franchising and distribution agreements. These choices raise the level of market involvement step by step while keeping the resource commitment relatively contained.
Going further, firms can start producing abroad. That might mean outsourcing or contract manufacturing, or more structured arrangements such as production licensing, joint ventures with local partners, foreign direct investment, and acquisitions. These options give tighter control but call for larger capital outlays. At a mature stage, companies often plug into global industrial clusters, open R&D centers overseas, and sign technology partnerships, moves that connect them to international innovation networks and support long-run competitiveness.
This article looks specifically at the tax implications of the export strategy that textile SMEs can use to strengthen their presence in the U.S. market. We limit the scope to exporting, because setting up production or a permanent commercial structure in the United States is less common for SMEs in Italy for a variety of practical reasons.
On the tariff side, textile exports from Italy to the United States follow the HTSUS (Harmonized Tariff Schedule of the United States), chapters 50–63. Rates depend on the exact product. As ballpark figures:
Beyond the product’s “base” duty, U.S. customs typically adds two recurring charges. The first is the Merchandise Processing Fee (MPF). For formal entries, it’s 0.3464% of the customs value, but it can’t go below $33.58 or above $651.50 in the current fiscal year. So, if you ship $5,000 by air, the raw percentage would be $17.32, yet you still pay the $33.58 minimum. If you ship $20,000 by sea, the math says $69.28, which falls between the floor and the cap, so you pay $69.28. And at $2,000,000, the percentage would be $6,928, but the $651.50 maximum applies.
The second charge is the Harbor Maintenance Fee (HMF), which only applies to ocean shipments at 0.125% of value, with no floor or cap. Using the same examples, a $20,000 ocean shipment adds $25.00 of HMF, and a $2,000,000 shipment adds $2,500. Air, road, and rail shipments don’t pay HMF.
Whether a shipment is cleared as a formal or informal entry affects how the MPF is calculated. Informal entries are generally used for lower-value shipments, roughly up to $2,500, with exceptions. They’re simpler, usually don’t require a bond, and the MPF is a small flat fee rather than a percentage.
Formal entries are the full process, mandatory above certain thresholds or whenever customs requires it, and here the MPF uses the 0.3464% rate with the $33.58/$651.50 bounds, and a customs bond is typically needed.
Concretely:
1. an air shipment of $1,900 often qualifies as an informal entry and pays just a small flat MPF with no HMF
2. a $5,000 ocean shipment is a formal entry and pays the $33.58 MPF minimum plus $6.25 of HMF
3. a $2,000,000 ocean shipment hits the $651.50 MPF cap and $2,500 in HMF
One last note: textile goods must also comply with U.S. labeling and safety rules and be supported by standard import documentation, topics outside this article’s scope.
Even with these duties and fees, the U.S. remains a must-have market for Italian textiles. Its size, purchasing power, and taste for premium products make it especially attractive. The U.S. absorbs meaningful volumes in upper-mid and luxury segments where Made in Italy enjoys strong brand equity and more defensible margins. It also helps Italian firms diversify geographically beyond the EU and more volatile markets.
Demand is resilient across apparel, home, and contract/hospitality, while relationships with retailers and department stores, and the depth of local e-commerce, allow scale without duplicating production capacity. And when the dollar is strong, USD revenues can offset part of the added costs, supporting competitiveness.
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