Well, the tariffs are here. More than 70 percent of the products that wholesalers and retailers sell on Amazon are produced in China, according to a survey conducted by Jungle Scout and published by the ECDB. So, looks like cost for the majority of sellers are going up substantially. Per WSJ: China will be hit with a new 34% tariff, adding to previous duties, like the 20% tariff Trump imposed over fentanyl. That means the base tariff rate on Chinese imports will be 54%, before adding pre-existing levies. Have you started changing prices yet?
Not talked about much: "Trump on Wednesday signed an executive order eliminating the so-called de minimis provision for low-value parcels from China, effective May 2. Under U.S. tax law, the de minimis provision allows companies to avoid import taxes and customs inspections on international shipments with a retail value of $800 or less."
89 million de minimis packages came in from China in January. So, say the tariffs cuts that flood of packages in half, DHS still has to deal with a tsunami of packages to collect tariffs on which they never had to do before. Are there details on a plan to handle this? If so, please share.
The new de minimis rules may help some USA based sellers whos items are low cost and compete with cheap Chinese goods off of Temu et.al. Seems most of us in the USA can expect long delays on import clearances. Are stock outs therefore looming, and is it another reason to raise prices to conserve what inventory we all have already landed in the USA?
Thoughts?
