Stallion's Update on Tariffs.
Summary: La discusión gira en torno a las nuevas reglas de envío transfronterizo de EE. UU. que eliminan la exención de minimis de la Sección 321 para productos fabricados en China y enviados desde Canadá, lo que requiere entrada formal y tarifas del 10-30%. john_koenig99 compartió la notificación de Stallion Express sobre los cambios, y varios participantes discutieron sobre los desafíos de cumplimiento y el impacto en sus negocios. dinomitesales se preguntó sobre la posibilidad de que algunos mintieran sobre el país de origen, mientras que otros, como recped y sin-n-dex, comentaron sobre la responsabilidad de los costos de las tarifas y la necesidad de proporcionar documentación adecuada. Los participantes también discutieron sobre las opciones de DDP y DDU y el impacto potencial en las ventas en plataformas como eBay. La discusión refleja una preocupación compartida por las complicaciones adicionales y la gestión de las expectativas del cliente en este nuevo régimen tarifario.
Just got this from Stallion:
As of today, February 4, 2025, significant changes to U.S. cross-border shipping rules have taken effect, impacting eCommerce shipments from Canada to the U.S. Specifically, under the latest executive order, the Section 321 de minimis exemption (shipments under $800) has been terminated for goods with a country of origin of China, even if they are shipped from Canada. We have gotten confirmation directly from the CBP.
What This Means for Your Shipments
Made-in-China products (including Hong Kong) now require formal entry, which means all such shipments must go through customs clearance and will be subject to 10-30% duties and tariffs.
For shipments we received on February 3 and 4, we are actively working with our partnered broker to clear all affected shipments via formal entry. Duties and taxes will be levied on these shipments and will be passed on to your account.
Expect a 1-2 day delay for shipments received on these dates as they go through the new customs clearance process.
Action Required
If you've shipped with us this week, and if your shipments are sourced from a country other than China or Hong Kong, please reply to this email with proof of country of origin (such as a commercial invoice or manufacturer documentation). If verified, we may still be able to clear your shipments tariff-free.
Going forward, since made-in-China goods now require formal entry, we are swiftly developing a new feature on our platform that will allow you to declare the country of origin of your shipments and provide necessary customs details (such as HTS codes) for clearance. More information will be shared as soon as this feature is released.
We understand this is a major shift for cross-border eCommerce, and we are committed to ensuring a smooth transition for our clients. If you have any immediate concerns or need assistance, please reach out to our team.
Thank you for your patience and trust as we navigate these changes together.
Best regards,
The Stallion Express Team
itolduandso
·1 year agoLittle bit of everything and he waits for the fruit hanging the lowest to swallow it with his big plumpy mouth. In case US turns becomes like Russia and Canada becomes US 51st wheel, I am aware I could be put into jail for making comments like these.
intimewithmusic
·1 year agoThank you!
motomike_canada
·1 year agoresponse from ChitChats for comparison:
itolduandso
·1 year agoOkay, so that is good news then.
So it looks like the option will be available for seller to pay tariffs ... but they mean import tax, or do they mean US sales tax, because that is different.
Nevertheless, the damage will be done. The option for seller to pay tariff works for own shop. But selling on ebay, wouldn't affect, damage is done, buyers will refrain from buyer anything from any Canadian shipper, regardless. What do I put there in description. First thing on top on Large CAPITAL letters in red color saying that "DO NOT WORRY, SELLER PAYS ALL TARIFF, ALL DUTIES, ALL SALES TAX, ALL SHIPPING. .AND FREE LUNCH TOO".
As I say, damage done, unless Ebay implements the feature to allow seller to pay the import tariff.
Ebay having now to worry about sales revenue going down, they better plan to do this.
sin-n-dex
·1 year agoI got the same note, it's sounding like the shipper will be the one paying the tariff to get it across.
C.
recped
·1 year agoOf course, duties are always assessed at point of entry.
sin-n-dex
·1 year agoTrue, but if you order something that is shipped with Canada Post, they attach a duty notice and you pay at the post office.
C.
motomike_canada
·1 year agoExactly, whenever I shipped something over the de minimus, buyer paid duties and federal taxes on entry where applicable.
Stallion billing to seller account is a bit cheeky, they just want to push the parcels thru as quickly as possible for their own sake.
recped
·1 year agoCan I assume those are shipments via the Postal system?
It would work the same way if you shipped via UPS Canada or FedEx Canada because they are the carrier on both sides of the border.
Stallion (plus all the others) are the carrier to the border and for a short distance on the US side. At that point the packages are turned over to USPS or UPS, those carriers are not going to collect payments from recipients on shipments that are totally within the US.
Stallion must pay the duties at the border and they have no way to collect that money from the ultimate recipient.
This is how import duties have always worked in virtually all countries.
Many exporters ship DDP which means the duties have been paid in advance, the exporter/seller calculates the duty and adds that to the price of the goods (sometimes included and sometimes as an additional line item).
When I was supplying retailers in the US (1980/90), my pricing was an all inclusive, goods, shipping, import duty and fees all included in the price. The shippers I used would clear the shipments and bill all those costs back to me.
In the international shipping world that is know as "Free Domicile" or "DDP" (Delivered Duty Paid). I received two notifications today from merchants that sell Chinese made goods to customers in Canada and the US, they are going the DDP route and will be charging the duty/fees upfront to their US buyers.
If there are any sellers dealing with goods made in China, I hope you understand that the Trump Tariffs, 10% on goods from China is in ADDITION to the already in place tariffs. One of the sellers who deal in clothing are telling buyers that the duty rate for underwear will be the existing duty of 42% plus the new 10%, they appear to be absorbing any brokerage fees they may incur.
If Stallion / Chit Chats etc are able to secure a good deal with a US Customs Broker the fees MIGHT be low enough for them to absorb that cost. Unfortunately Stallion is not the manufacturer, distributor or retailer, the margins on shipping are very slim, there is no way Stallion could cover even a $5 brokerage fee on a package they might only be making a dollar in gross profit.
itolduandso
·1 year agoApparently there will be something for Stallion and or Chitchats:
For products that originate from China/Hong Kong our Development team is actively working on solutions that include both DDP (Seller pays duties and taxes) and DDU (Buyer pays duties and taxes) options.
https://community.ebay.ca/t5/Seller-Central/Stallion-s-Update-on-Tariffs/m-p/517269#M159054
What would motivate UPS/USPS/Fedex to work along with Stallion/Chitchats to have these 2 options, that's what surprises me too.
itolduandso
·1 year agoUnless and until Ebay can display the estimated tariffs to the US buyer, why would a US buyer buy something without knowing how much will pay duties when delivery comes. But I hope this won't be another cash grab for ebay if they may only show duties calculated if I purchase ebay shipping labels from Ebay, leaving the seller that use 3rd party shippers like Stallion or Chitchats dealing with it after the sale is done.
motomike_canada
·1 year agoAh yes good point, my mistake.
-- interestingly, I used to cross 2x per week to Michigan when I lived near a border to ship from the USPS. I'd have a manifested commercial entry filled and submitted to CBP in the commercial lane, but I don't remember ever paying duties, and this was before the $800 de minimus. . even on $1000 set of wheels... etc. ah the good ol days.
tryubik-useonlyasdirected
·1 year agoI'd also wonder on the legality of this...
At established couriers you choose who pays at time of purchasing post and eBay policy, as well as typical business practice, is that the buyer does (unless stated otherwise, i suppose), is it not?
intimewithmusic
·1 year agoThe Good Old Days
In the 80's if customs had questions about either the paperwork, the country of origin or the HN they would phone our brick & mortar store and ask. The only other communication we had was fax. Most issues were quickly resolved on the phone or by faxing correct paperwork. If an item had no COO mark on it sometime they would keep and destroy it. If the phone number had been omitted from the commercial invoice they would hold the item.
When it came to moving musicians and crews across the border it was much more difficult as you can imagine. It was very tense. You could be standing on a festival stage with one act to go and get a call from the headliner or other person that was detained at the border. If it was someone expendable they would be abandoned. If it was the headliner or critical employee in could lead to a helicopter ride. Most stage managers had contacts at the popular border crossings who they dealt with repeatedly leading to smoother crossings.
itolduandso
·1 year agoAnd i would welcome the option to decide if I pay the tariff myself or let the buyer pay it. Unfortunately it's likely going to be the second option. When shipping to EU, I don't have the option to pay VAT taxes for buyers in EU. Sometimes I would want to do it because of the psychological disruption in creates for the buyer. It's inconveniencing the purchase experience. Of course I increase my pricing to include the tariff (if I can, otherwise, I would swallow the tariff anyhow if I am competing with US sellers).
But I doubt this system would become like that because it would require coordinated approach like with the EU, they have introduced the IOSS system and it works, there were hickups but it works fine. I doubt US did give much s... about making things easy for the seller buying outside of the country. That's exactly the oposite of what Trump wants now.
dinomitesales
·1 year agoI wonder how these cross-border shippers (and, well, the entire US CBP in general) are going to handle people who just lie about the country of origin. No one has the time, resources, or manpower to be opening every package to inspect it for country of origin.
recped
·1 year agoThey would start by passing on any fines incurred and at the same time suspending those accounts from using their services.
US customs have done random examinations of shipments by cross-border couriers in the past. I expect this will be more common going forward.
I dropped off a few US bound packages today at Stallion, I have provided them with the information they have requested.
I speculate that they will go over the information and decide which packages remain eligible for the Section 321 exemption and process those as normal. Any that don't qualify or might not qualify will be prosessed via formal entries and incure duty. Besides passing on the duty there may be associated fees, it's not clear what those might be.
The elimination of Section 321 for products from China should not be a suprise to anyone, it's dates back to the Biden administration and would likely have come into effect some time this year regardless who won the 2024 Election (it was a bipartisan ruling).
itolduandso
·1 year agoYes, and that's the end of me shipping back massagers over Stallion. I was always able to squeeze that in by playing around with text in descriptiojn but now they will check every package I guess based on the listing on Ebay and manually deny saying it's a medical device.
sin-n-dex
·1 year agoStallion's email today said if we shipped something yesterday or today and it's NOT from China, they want proof. I can't prove country of origin from a purchasing invoice since I scour junk bins of coins and tokens to find stuff to sell. I sent them a copy of the eBay sales record with the buyer's info on it that backs up the value of the item and what it is (in this case it's a token from Canada).
I'm a little concerned about the shipping I need to do tonight, on whether or not it will clear. Stallion said they're working on a new feature to get items from China and Hong Kong to clear via formal entry through their site (which sounds like the shipper will be paying the tariffs).
C.
lotzofuniquegoodies
·1 year agoAnyone else think that DT was trying to break cross-border shopping? Or just an accidental casuality?
itolduandso
·1 year agoAren't there already penalties for misrepresenting items? There are already but not enforced. Do I want risk getting slapped with 1000's of dollars penalty? No.
Same goes with shipping phones and batteries. They don't open every package or scan x-ray to detect battery .. yet.. but if you ship battery, you may get fined and those fines are hefty.