Incoming U.S. Gov’t 25% Tariff Proposal on ALL Canadian Products

[wilsonharborsales]

The incoming U.S. administration has announced today that they will sign an executive order on January 20th that will add a 25% import fee on all goods entering the U.S. from Canada. Under the proposed law, there will be no exemptions for consumer goods.

[recped]

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@cottagewoman wrote:
Repealing de minimis takes an act of Congress.

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It does but there have been lots of discussion about doing away with the De Minimis exception. The subject has come up a lot because of Shein and Temu and the way they ship individual (below $800) orders by the planeload and avoid paying any duties.

If the De Minimis exception was removed it would affect companies like Stallion or ChitChats that essentially do the same thing.

Unlike in 2016/17 when there were a number of Trumps cabinet that opposed many of Trumps ideas this time around they be hardly any that won't automatically go along with anything Trump proposes.

On the other hand, control of both the House and Senate is so slim that getting anything requiring Congressional approval passed may be difficult if not impossible.  

Keep in mind that during the campaign Trump was proposing 100% tarrifs and more than once suggested rates of 200 - 300%. There were thousands of things Trump floated in his first term that never happened, to some extent this is just more of the same.

[sin-n-dex]

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@mandicrafts wrote:

The US deminimus is $800 USD. So anything UNDER $800 is good to go. So even if this unlikely tariff scenario were to happen, it wouldn't affect anything under $800 US value for regular American people buying from outside of the US.
Also, they don't have enough customs workers to enforce EVERY package to be evaluated and charged. Much like the Canadian customs people, and why it is entirely random whether we are charged taxes/duty for items over $20CAD. There simply are not enough workers to enforce.

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Biden Administration was proposing eliminating/reducing de minimis, I found this article:

https://www.whitehouse.gov/briefing-room/statements-releases/2024/09/13/fact-sheet-biden-harris-admi...

So if this actually passes (which would probably be with the Trump Administration since I don't think they'll pass it before Trump takes power), then we'd be subject to tariffs selling from Canada as well.

C.

[sin-n-dex]

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@lotsa.luck wrote:

And don't forget, if US government charges buyers 25% and ebay collects it, ebay will add their 13.25% FVF on the amount of the tariff collected. 

Or if US government charges sellers 25% and ebay collects it, ebay will add their 13.25% FVF on the amount of the tariff collected.

They already do charge the full FVF on all sales tax they collect from buyers as a service charge for the collection and remitance of tax.

A tariff of any amount will be a nightmare for ebay buyers and sellers not to mention ordinary citizens of all nations. Perhaps even bad for ebay!

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Lots of us use Stallion Express and Chit Chats to get our de minimis packages across the border. That might be the end of these two shipping services if de minimis goes away.

C.

[sin-n-dex]

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@fh991586 wrote:

If stupid wants to add 25% tariff, he can also remove that $800 provision. Nothing is official nor off-limit, so we can't tell what will really happen...

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Read my post. Biden is already working on it.

C.

[sin-n-dex]

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@recped wrote:

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@cottagewoman wrote:
Repealing de minimis takes an act of Congress.

---

It does but there have been lots of discussion about doing away with the De Minimis exception. The subject has come up a lot because of Shein and Temu and the way they ship individual (below $800) orders by the planeload and avoid paying any duties.

If the De Minimis exception was removed it would affect companies like Stallion or ChitChats that essentially do the same thing.

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I just posted something about this a few minutes ago... I use Stallion Express (and sometimes Chit Chats) to ship my packages cross border. They are allowed to do it because of the de minimis exemption.

If Stallion Express and Chit Chats goes away, I will have to switch back to Canada Post which would mean mainly less visibility on the .com site (where I am allowed to put my US shipping location since that's where tracking starts with USPS, eBay confirmed this is allowed if the item ships from the US). Secondly people will be wary of buying from Canada because of duties and taxes in this scenario.

Um, how many agents are they going to have to employ to tax all the packages that used to be exempt under de minimis?

C.

[cottagewoman]

As per lots of research on the de minimis changes by the Biden administration including a message exchange with a Canadian import/export lawyer, the de minimis changes proposed are intended for section 301 tariff goods shipping from China - not an abolishment of de minimis as stated before this takes an act of Congress.

[nhl_automotive]

Ebay's already thinking about eliminating selling fees like they did in Europe. This will make it a certainty or they'll go out of business, at least in Canada. I think the Canada Post strike might push them to do it.

[byto253]

I read it ths same way.  The wording seem to indicate a need to fine tune, not wholesale eliminate it.   I think eliminating it totally would not be popular in the US.   You may see something such as 1 shipment per shipper can claim it - which would mess up chitchats and stallion. 

"This regulatory action will propose to require specific, additional data for de minimis shipments – including the 10-digit tariff classification number and the person claiming the de minimis exemption – which will improve targeting of de minimis shipments and facilitate expedited clearance of lawful de minimis shipments." 

[visual-sound]

Eveyone getting their panties in a knot! I'll take a wait and see position on tarriffs that won't apply to most EBay sales. My US sales have been down ever since CP cracked down on media mail rates anyway. Frankly, I'm more concerned about the postal strike. Thanks Posties for eliminating this years Christmas sales bump. 

[fh991586]

I read your link posted AFTER my comment, and it's not the same game at all. Have you read it? There's a difference in tone that goes a long way.

[lotzofuniquegoodies]

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@nhl_automotive wrote:

Ebay's already thinking about eliminating selling fees like they did in Europe. This will make it a certainty or they'll go out of business, at least in Canada. I think the Canada Post strike might push them to do it.

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@nhl_automotive 

For anyone interested in a bit of reading material here are the links for selling fee structures for the UK and Germany. Find it interesting how much things can vary region to region or even between Canada and the USA.

https://www.ebay.co.uk/help/selling/fees-credits-invoices/fees-private-sellers?id=4822

https://www.ebay.de/help/selling/fees-credits-invoices/gebhren-fr-private-verkufer?

id=4822&st=3&pos=1&query=Geb%C3%BChren%20f%C3%BCr%20private%20Verk%C3%A4ufer&intent=selling%20fees&l...

eBay has made some changes to its fees in Europe, including:

• Final value fee

  As of March 1, 2023, eBay removed the final value fee for private sellers on ebay.de who are based in the European Economic Area. This change also applies to items that were already listed. However, the international selling fee on ebay.de remains at 3%. 
• Selling fees in the UK

  Starting October 1, 2024, it will be free for UK-based private sellers to sell on eBay, with the exception of vehicles. Sellers can list up to 300 items per month for free, and will pay 35p per listing after that. 
• Buy it now option

  As of March 2, 2023, the Buy it now option is free on eBay.co.uk. This option allows buyers to purchase an item before an auction-style listing ends for a set price.

[reallynicestamps]

As is often the case I am confused.

The "private" seller in the UK"can list up to 300 items per month for free, and will pay 35p per listing after that. "

How does that differ from a non-Store seller here who can list up to 250 items monthly and pays 35c per listing after that?
Where does the Selling Fee of 13.5% come in?
Will that now be charged directly to the Buyer?

Add to your UK purchase 13.5% buying fee, £ 5.00 shipping, 17% VAT -- yah, no.

Mercari decided to go with Buyer fees instead of Seller fees earlier this year.

How many weeks did that last?

[rdemaree]

From what I am gathering- IF the 25% tariffs were to go forward its likely most of us would be spared since we sell/ ship overwhelmingly items below $800 according to De Minimus? 

[recped]

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@rdemaree wrote:

From what I am gathering- IF the 25% tariffs were to go forward its likely most of us would be spared since we sell/ ship overwhelmingly items below $800 according to De Minimus? 

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That is true, the only potential issue is that there have been some moves in the US to eliminate the De Minimus exemption (suggested by the Biden Administration). That is something that could happen at some point and apply to all imports or just imports from specific countries.

One thing to keep in mind, Trump talks a lot, Trump threatens a lot. It's questionable if this threat will ever happen or if it does what it would apply to or how long it would last.

I'm all for being prepared but there is a lot of unnecessary freaking out at the moment.

[mrdutch1001]

I for one, am not doing this "unnecessary freaking out ".

I strongly believe in "one day at a time"

[marnotom!]

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@recped wrote:

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One thing to keep in mind, Trump talks a lot, Trump threatens a lot. It's questionable if this threat will ever happen or if it does what it would apply to or how long it would last.

I'm all for being prepared but there is a lot of unnecessary freaking out at the moment.

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I have to agree.  As I'm pretty sure I've posted elsewhere, this is the new version of Trump's wall.  The wall and now the conception of an idea of the tariffs got him the attention he craves and tapped into a misguided wellspring of support in the process.  The wall with Mexico was less than one-quarter completed during his tenure in office and there doesn't seem to be any talk about resurrecting it, from what I can see.  There's just vague posturings about improving security.  The tariffs, should they be enacted, will likely fizzle or even flame out once it's determined how much damage they're doing to the US economy.

[lotzofuniquegoodies]

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@marnotom! wrote:

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@recped wrote:

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One thing to keep in mind, Trump talks a lot, Trump threatens a lot. It's questionable if this threat will ever happen or if it does what it would apply to or how long it would last.

I'm all for being prepared but there is a lot of unnecessary freaking out at the moment.

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I have to agree.  As I'm pretty sure I've posted elsewhere, this is the new version of Trump's wall.  The wall and now the conception of an idea of the tariffs got him the attention he craves and tapped into a misguided wellspring of support in the process.  The wall with Mexico was less than one-quarter completed during his tenure in office and there doesn't seem to be any talk about resurrecting it, from what I can see.  There's just vague posturings about improving security.  The tariffs, should they be enacted, will likely fizzle or even flame out once it's determined how much damage they're doing to the US economy.

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@marnotom! 

With the wall he said Mexico would pay for it. With 25% tariffs everyone would pay for it in some shape or form. Added costs or reduced sales. 

[tellephoto]

Do not worry; with Trudeau in charge of Canada, we can become the 51st state in the USA.

[mrdutch1001]

Trump has indicated on more than one occasion that Canada IS the 51st state ...and I highly doubt Trudeau is the one to agree with that!

As to the topic of tariffs, no one knows what the end result will be as no matter what tariffs are placed on ANY country, it is also a blow to the USA economy! It is the USA businesses and the American population that will also suffer from any tarriffs

[bruceclarkemexico]

I suspect you are correct.  Trump likes to throw a lot of spaghetti at the wall to see what sticks.  He doesn't give a **bleep** what Canadians or Mexicans think - but if his US supporters start complaining because Mexican produce and Canadian gas/oil cost 25% more, he's likely to drop the idea quickly.