I ordered a lock and some keys valued at about $400, and paid an extra $400 in duties because of this. It's insane.
There is a lot more direct consumer ordering from international vendors now than there was 20 years ago of course, for obvious reasons.
Note Aug 29th is also the end of the "de minimus" rules for import duties, where a shipment worth less than $800 was exempt from import taxes and duties. Some tariffs and other import taxes have always existed, but that's why you rarely saw them when ordering consumer goods internationally to the USA, if it was worth less than $800 they were skipped. That's going away, you'll be paying import taxes on every international shipment you order directly as a consumer, even if it's a $25 t-shirt -- exactly how you pay these, at what point they are calculated by who (even how to calculate them?), and who invoices you how and when as a consumer -- well that's what nobody including international shippers have figured out yet, which is what the OP is saying means they can't really ship internationally to consumers in the USA for the time being. it's gonna be a clusterfuck.
Turns out maybe there's a reason there aren't usually major changes to whole structure of import taxes made with only months notice, and tweaks and changes to them still being made only weeks/days before implementation, with no real implementation guidance provided?
Historically I buy a lot of high-end goods from the US on an annual basis, but after this incident I'll be actively avoiding doing so and the surprises that entails, until things get sane again.
In the latter two cases, it’s up to the domestic supply chain to decide how and and how much of those costs get passed on to consumers.
The “only” difference now is that the $800 limit no longer applies, so every shipment must include this information.
Which basically means end of Temu, Alibaba express, majority of Etsy sellers, etc.
I'll repeat this for those in the back:
TARIFFS ARE PAID BY THE CITIZENS OF THE COUNTRY DOING THE TARIFFS.
TARRIFFS ARE NOT PAID BY OTHER COUNTRIES.
This is excessive and illegal taxation without representation. Congratulations, party of low taxes, you now have socialist-like taxes without any of the socialist benefits.
Yes I technically paid the tariff.... Except really China lost money, the US gained money, and I paid the same because that's the price difference required for me to buy Chinese.
Will it always work out like this? Idk. But this is what they are referring to when saying the exporter will pay it in the end.
I believe there are other models now (e.g. where shipping companies bulk-import and customs clear shipments and then hand them off to USPS inside the US as domestic shipments), but the "direct parcel" USPS route going away for all formerly de-minimis-exempt parcels is still going to have a huge impact, without even considering import tariffs directly.
1: You don't add up and pay the tax board every month right? In fact this is the central theme to successfully collecting taxes, never collect them directly from the public if possable. That is a hard thankless task. It is much easier to steal them from the much more easily policed companies, before the public sees the money in the form of income tax or when they buy in the form of a sales tax. As a specific example remember the "use" tax, you were supposed to do just that, add up and pay the sales tax for things you bought out of your sales tax jurisdiction, this proved impossible to collect so with the massive increase in sales out of the tax jurisdiction(cough, amazon, cough) the courts ordered that each company had to now keep track of and pay the sales tax for every infernal piddling little sales tax area, a huge hassle for them, but that's not the states problem and it is much easier to enforce than having each person do it.
There's a video on YouTube now of a manufacturer that tried to onshore his grill scrubber product. Couldn't find the components, no matter how he tried, and ended up subsisting with Indian parts, probably laundered from China, with a complementary markup of course.
The way Americans talk about these tariffs show you don't know what it takes to build a strong manufacturing economy. For decades, China has suppressed their workers' wages, diluting their wealth to transfer it to Western buyers as cheap good. They've invested in scale, building factories worth hundreds of billions, which often don't make profits for years on end.
In America, every CEO has to show a stock bump by the end of the quarter of get tossed.
If you take the logic of tariffs to their natural conclusion, why not farm your own corn, raise your own beef, pick your cotton, etc. Specialization is the reason why we can enjoy abundance because things get made where it's cheapest and then get shipped to you. The average American waiting tables at a restaurant makes more than the Chinese working the manufacturing jobs you're trying to get back, and I'm supposed to feel sorry for them?
In summary, America doesn't know what it's doing. Those of us who come from countries who put excessive tariffs on everything, know that it never leads to local production, but serves as just another government revenue channel. But what do I know?
Unfortunately the US bolts will not be plentiful enough. They'll also have to import steel to meet new demand, increasing their price. So ultimately you'll still buy the Chinese product but it will now cost double the price -- $1.00 after tarrifs. Hence the price of everything that has a bolt will increase.
Does the US make the machines that make the bolts any more?
And what if you needed metric bolts?
"I Tried To Make Something In America (The Smarter Scrubber Experiment)" https://youtu.be/3ZTGwcHQfLY talks about the trouble he had finding US made bolts and I seem to remember he found out he'd been scammed and was sold Chinese bolts anyway? (Edit: Skip to around 17m35s)
I feel the same way about the US which is why I won’t spend money on media or software, and encourage others to follow a similar path.
As you insinuate, it’s just logical because the US has had enough money, way beyond my country you see.
Here's what gets me...
EVEN IF the exporter paid the tariff, do people really think they'd just eat that cost? Of course not. They'd raise the price on the importer who would then raise the price for the end consumer. In the end, it's the consumer who pays the tariff, whether it's nominally paid by the exporter or importer.
If only this specialization was focused on making good products instead of making 3% more money.
Why would you want that?
And any time they spend growing their own food is time they don't spend on some other economic activity they're obviously better at.
So yes, I will pay for my country's tariffs and you will pay for yours.
It's a bad scenario where things are more expensive and both manufacturers and customers get harmed. The only ones winning are, as always, intermediaries.
And the time? We do this in our spare time outside of full time jobs. But you're right, it does cut into our Netflix, tv, YouTube, Facebook time.