Tariffs and other other discussions.

[12VoltInstalls]

they pay this extra cost and it cuts into their profit. So naturally they raise the price that they sell the good for

Most often smaller things (packages) are sold with the applicable duties and tariffs included in the price or shipping. Free shipping isn’t free…
The interesting thing about price increases is that if demand stays steady (aka all else being equal) companies often adjust pricing to include ancillary costs or duties and use their “standard” markup percentage. So if a $500 item gets a 25% tariff the overall increase in cost is their cost times 1.25 times their markup depending on how their supply chain fulfills through an ‘agent’ or distribution center or other importation service company. This ADDS to the profit of the offshore seller if they believe the market will tolerate the additional slice of money.
Directly ‘mailed’ from china to the consumer without an agent or importer usually requires the purchaser to pay the duty and docking fees directly, but most single-item offshore shippers of ‘smaller’ items will have a mechanism in place through agents or import brokers to ‘shield’ consumers from paying duties directly.
It’s all fun and games until someone starts printing new money.

But 238% anti dumping duty- wow

 

[chill633]

I just ordered some custom boards from PCBWay, headquartered in Hong Kong with production in Shenzhen, China. On checkout I got this popup (attached picture). I selected DHL as the shipper with PCBWay dealing with the customs bits in advance.

 

[JWLV]

But 238% anti dumping duty- wow

I wonder how they came up with 238%? Why not 225? Or 230? Or 250?

 

[SparkyJJO]

I wonder how they came up with 238%? Why not 225? Or 230? Or 250?

Hulk Smash Keyboard.

 

[Mattb4]

Things that come and go. I remember how great it was to buy stuff off the 'net without being charged Sales Tax. Gone now. The cheap goods shipped free from China seems to be another thing destined to fade now that Tariffs are here. Probably also lose other free shipping like from Amazon (over $35 order) in years to come. Been great to have all the little advantages. Couple that with money back charge cards (I never keep a balance and no annual fees) and it has been easy to get by on a minimal income.

Gather ye rosebuds why ye may.

 

[JWLV]

Things that come and go. I remember how great it was to buy stuff off the 'net without being charged Sales Tax. Gone now. The cheap goods shipped free from China seems to be another thing destined to fade now that Tariffs are here. Probably also lose other free shipping like from Amazon (over $35 order) in years to come. Been great to have all the little advantages. Couple that with money back charge cards (I never keep a balance and no annual fees) and it has been easy to get by on a minimal income.

Gather ye rosebuds why ye may.

Hotel rooms without a resort fee.
Free parking.
I am starting to see a few places that have stopped offering free refills on sodas.
And yes, some Starbucks do charge for a cup of water, even if you bought something else.

 

[PVGeezer]

The responsible party for payment of customs duties, shipping, insurance, etc is defined by standardized international commercial terms (the Incoterms). If you make your purchase DDP (deliver duty paid) then the seller is responsible for all costs to get the shipment to the delivery point specified, including customs duties/tariffs.

Of course, that doesn't mean that you aren't paying the additional tariff, it just means that the cost is included in the price. As volatile as international trade is right now I would advise using DDP terms when making any significant international purchase at this point. At least that way you as the purchaser are not at risk if things change while you're awaiting your purchase.

 

[JJJJ]

A little too early to tell how things will be impacted. The sites I have looked at so far a a bit vague on possible amounts. Reason I started this thread. Hoping for feedback from members as things start rolling in.

However if there is a significant impact, the I suspect purchases will drop off a bit regardless of the vendor. One of my vendors is already posting that they still have inventory unaffected by the change.

 

[JJJJ]

Maybe there will be a reprieve? Depends upon what is considered low value I guess:

Trump pauses tariffs on millions of low-value packages from China

President Donald Trump has paused the imposition of tariffs on small-value packages arriving from China.

apnews.com

 

[Coydon]

Maybe there will be a reprieve? Depends upon what is considered low value I guess:

Trump pauses tariffs on millions of low-value packages from China

President Donald Trump has paused the imposition of tariffs on small-value packages arriving from China.

apnews.com

One site i was shopping a few days ago said you could order up to $800 of goods without incurring risk of the new import penalties. Don't remember where they were based out of though.

 

[JJJJ]

Just curious. Has anyone had a recent shipment arrive that was impacted by the tariff? If so what was your experience?

 

[Heatpumpman]

I just made my first Digi-Key purchase, for some relays. There was a tariff fee on the invoice. That was a first for me, is that a normal thing with them? We all had plenty of warning that this was coming and the sad part is, it may not work (the tariffs affecting trade deficits or giving American made products a leg up). American corporations are charging double in a lot of cases for products, and even with the tariffs, you may come out cheaper buying direct.

 

[quantum`]

One site i was shopping a few days ago said you could order up to $800 of goods without incurring risk of the new import penalties. Don't remember where they were based out of though.

That's how it has been for years. Then Trump rescinded that, but quickly reversed his decision when he found it is unenforceable by the USPS. Fentanyl will again freely flow...

Goods $0-$800 duty-free (for the moment), and $600-$2,500 you can use an 'informal process', assuming it's not anti-dumping classed products (solar, electronics, cars, etc), Ulghur forced labor products (polysilicone, etc), steel, aluminum, or other sanctioned products, or from one of four southeast Asian nations which Chinese companies had piped through to evade tariffs.

Check with a Customs Import Specialist for the bad news. Everything is classed according to the Harmonized Tariff Schedule. You can email them directly and they are responsive.

Just curious. Has anyone had a recent shipment arrive that was impacted by the tariff? If so what was your experience?

Yes, see my thread on Importing from Red China. I volunteered to be the one who lost everything due to the new $50k bond to cover any future tariff increases, which you must pay the broker $1k/year for 5 years, and collateralize with cash.

 

[Hedges]

A few years ago I was sent a gizmo (gas analyzer including vacuum pumps and quadrupole ion filter with electronics) for evaluation purposes, by an employer. Declared at $10,000, customs contacted me and I had to obtain a Federal Employer ID number and register as an importer.

Later the California State Board of Confiscation contacted me to collect their Use Tax (equivalent to sales tax.)
The employer was able to provide documentation that this was previously purchased and used, so I avoided the tax because this was their own existing property, and they retained ownership of it.

Records documenting what you have imported should help keep you honest when answering that question on your state tax return, "Did you buy anything without paying sales tax?"

 

[S Davis]

Just wait you haven’t seen anything yet, I am getting notifications from my HVAC suppliers that from this point on bids on equipment or materials will not be honored past or present and all costs on all orders will be passed directly on to the HVAC contractors. Need plumbing or heating repairs, building a new house, good luck getting bids when we don’t know what our costs will be.

 

[quantum`]

I was perfectly happy to pay return costs for the pallet of panels, but they would not let me. That's some bull-shit.

 

[robby]

I just made my first Digi-Key purchase, for some relays. There was a tariff fee on the invoice. That was a first for me, is that a normal thing with them? We all had plenty of warning that this was coming and the sad part is, it may not work (the tariffs affecting trade deficits or giving American made products a leg up). American corporations are charging double in a lot of cases for products, and even with the tariffs, you may come out cheaper buying direct.

Your post almost slid under the radar.
The Fact that DigiKey listed the Tariff as a Separate fee shows that there is some push back happening by US companies.
If more companies start showing the Tariff fee as a line item expense on their receipts, like they do Sales Tax,
then it's going to be some really interesting days ahead.

 

[robby]

No one has answered the OP's actual question.

Say you order something on Alibaba. Some sellers are the actual factory, but Alibaba is swarming with middlemen. Often they have a better price than the factory. But never, never pay outside the Alibaba Trade Assurance program. They may ask you for a wire transfer, western union, etc, but never do that no matter how nicey-nice they are. If you ask them for an Alibaba invoice and they send you a pdf invoice... drop them. You must pay through the Alibaba system or risk it all. Ostensibly the reputation system there is supposed to be your assurance, but that can be and is rigged.

So you pay and the exporter makes the order to the factory. The Alibaba messaging system is the ONLY way you should communicate with them -- they may ask for your email and whatnot, but don't give it to them (unless you enjoy spam) and stick with the messaging system. The factory trucks it to the nearest port, where it's loaded into a container and a ship. Usually takes 20-25 days to get to the Port of Tacoma near where I live. Before shipping you designate a licensed Customs Broker here, to the exporter, so they can file the VITAL ISF -- you don't file the ISF it's a $10k fine. The exporter usually files the ISF; make sure they do. Stay in touch with your broker and forward to them all docs like the Bill of Lading, Invoice, Packing List, and Notice of Arrival.

Your Customs Broker categorizes the item using the Harmonized Schedule of items and current laws, and charges you the appropriate fees, based on the invoice from the exporters. (Many exporters are 'flexible' in this regard) If you're unsure, you can email and ask an Import Specialist , who for electronics will refer you to an Electronics Specialist to categorize and tell you the Ugly Truth. You pay all the fees and tariffs to the Customs Broker and they pay Customs and take their fee. The goods are released by Customs and in my case are drayed to a bonded warehouse at the Port of Seattle, where I then pick them up. (Civilians are not allowed into the actual Port area for security and safety reasons) If you don't pick it up within a couple days you are charged storage fees.

And then you live happily ever after.

You are right because I have spent time in countries that use the same system and it's ridiculous.
We can thank the Brits for spreading this across the Globe. Even a Tea Bag has Customs Duty on it
There is no way Trump is going to implement this system without a Tax threshold level. I suspect he may Move the "de minimus" down instead of eliminating it. Even $100 threshold gets rid of 70% of the overall paper work and customs work load.

 

[hogback]

I just bought something from digikey the other day and they added a tariff charge at checkout.

 

[DPC]

With the recent tariff on goods from China, it raises a simple question.

Everything I read suggests that it paid by the importer and this in essence could raise the price.

My question is, what if we place the order? Are we sent a bill by customs? How is this handled?

Unless you can go directly to port of entry and fill in your own paper work its best to use a broker and buy insurance on your cargo in case of issues.

 

[S Davis]

Lots of little things that can mess you up, I had a shipment of aquaculture equipment that shipped into the port of Seattle, thought it was shipped DDP but was not.
As soon as your shipment hits the customs warehouse you are charged per day storage until it clears and is through customs. They tried me on a old number and never got through, I knew it was supposed to arrive that week so called and it had been sitting in the customs warehouse racking up storage fees of $190.00 per day. Four days so far and then the shipping officer tells me I have to use a broker for customs clearance. This was on a Thursday at 4:15pm and by the way the customs office has moved off airport grounds and is now 20 minutes away in good traffic.

I ended up have to get a broker set up, background check, credit check and a bond for the shipment, still ended up a better deal but I had another $950.00 in port duties and fees.

 

[quantum`]

You are right because I have spent time in countries that use the same system and it's ridiculous.
We can thank the Brits for spreading this across the Globe. Even a Tea Bag has Customs Duty on it
There is no way Trump is going to implement this system without a Tax threshold level. I suspect he may Move the "de minimus" down instead of eliminating it. Even $100 threshold gets rid of 70% of the overall paper work and customs work load.

It appears to me that the end-game is shutting down most of the federal government, leaving practically everything up to the states. How will the states fund this? Without uniform reasonable regulation there would be 50 (51?) different sets of regulations. Like 50 different countries.

I view this with a mixture of horror and delight. Burn it all down and end the unauditable DoD, impudent IRS, snooping FBI, and so on. See the unanticipated consequences and entertaining fireworks. This might make it easier for Blue States to secede and let Red States make their own Thunderdome as bad as they are able. Put up high walls so when Red Staters realize what they've done they can't get in to soil our nest.

Bad part of shutting down the federal govt IMHO would be the stoppage of Science.

 

[CommandoJoe]

I ordered (and received) a charge controller from Alibaba a couple weeks ago and no tariff...

 

[Hedges]

It appears to me that the end-game is shutting down most of the federal government, leaving practically everything up to the states. How will the states fund this?

Presently my high-tax state California collections 9% income tax, and the Federal government collects 39%.
If we shrink federal government back to the size necessary for it to carry out it's constitutionally required obligations, with nothing to do that which is "reserved for the states, or the people", then I think the people can fund their states to do what states should do.

Without uniform reasonable regulation there would be 50 (51?) different sets of regulations. Like 50 different countries.

They could certainly chose to adopt things like the NEC, and similar for other areas. Unless they want to staff up regulation writers. That will be up to their voters.

 

[SparkyJJO]

just throwing that out there, the king thing went over like a lead balloon so maybe he will try a different title next )

It was a frickin joke... woosh though.