@Jonny any idea how all this will affect US customers ordering from you?
1 Like
Hi @Chico
We reached out to the Isle of Man Chambers of Commerce and they were very helpful. Below is the brief FAQ they sent us. Its early days yet, but it summarises what they know so far:
US Tariffs – Mini FAQ for Isle of Man Businesses
What’s happening?
From 5 April 2025, the US will apply a 10% baseline tariff on all imported goods – including from the UK and Isle of Man.
Who pays the tariff?
The US importer (your customer, fulfilment partner, or courier company) pays the tariff to US Customs.
What does this mean for my business?
Even though the tax is paid in the US, it can still impact your business:
- Your US customers may face higher costs, and
- That could lead to fewer orders, pressure on pricing, or switching to other suppliers.
Will delivery times be affected?
Possibly. Additional customs checks may slow things down at US entry points.
2 Likes
Sounds like a nightmare. Hopefully they will see the error of their ways pretty quickly.
1 Like
I am holding my council for now because I am honestly not qualified to know anything for sure.
But we will gather what info we can and work with the Isle of Man Chamber of Commerce to see if we can establish a settled opinion.
And ultimately we will see what happens tomorrow when the tariffs kick in. My guess (hope) is nothing because I can’t imagine US customs will have had time to prepare, assuming parcels are affected. We will see.
4 Likes
Thanks for the info, and that’s a good strategy. Usually everyone posting online the minute something changes becomes an overnight expert on said change, so I appreciate the “holding your council.” I’ll still buy the stuff even if it bumps up 10% because I know other stuff I buy will eventually drop in price. So at the very least I’m hoping it’s a wash when total in everything else I pay for - food, utilities, gasoline, etc.
4 Likes
It’s the de minimis law that will really be the issue rather than the tariffs themselves. Info is hard to come by, though. It has definitely gone into effect for China already, and I read on an import/export business site that it will soon go into effect for all countries the US tariffs… which includes all of Europe and the UK.
The law means that orders from abroad under $800 have not been subject to import taxes. If it’s revoked across the board, all purchases from abroad “will be subject to all applicable duties, as long as they did not enter the U.S. via the international postal network. If they do enter via the postal system, a duty rate of either 30% of their value or $25 per item will apply in lieu of any other fees. The $25 charge will increase to $50 per item after June 1. U.S. Customs and Border Protection may require postal packages to go through formal entry procedures, per the White House, in which case they will be subject to all applicable duties, taxes and fees.” (from this website.)
2 Likes
Good grief. Thanks for this.
Time to set up a drop-shipper in the US maybe?
If you are on the discord server, can you post into the announcements channel please.
1 Like
I’m not on the discord server. I should also clarify that I haven’t seen this news elsewhere yet, so I don’t know if there’s anything definitive yet. Fingers crossed it will be confined to China (though Americans can say goodbye to bargains from Temu, Shein, Ali Baba etc., not to mention buying Chinese good through Amazon and eBay).
1 Like
This just in from US Customs. It looks like you were right. At least for today.
Key topics to be aware of
All shipments (above the De Minimis value of $800) to the US will have a 10% tariff.
From April 9, 2025, higher tariffs will be applied to countries where the US has trade deficits.
IMPORTANT TO NOTE TARIFFS ARE BASED ON THE COUNTRY OF ORIGIN (COO) OF THE GOODS AND NOT THE ORIGIN SHIPPING COUNTRY.
Certain items are exempt from these tariffs, including:
Donations and personal items.
Steel, aluminium, and automobiles already under Section 232
Copper, pharmaceuticals, semiconductors, lumber, bullion, and specific minerals not found in the US.
Canada and Mexico will not face the new tariff because existing tariffs will remain.
3 Likes
Hm that makes it seem like the De Minimis thing is still in place, though. Meaning that Under $800 the tariff doesn’t apply?
1 Like
That is how I am reading it. The situation seems very fluid at the moment though.
2 Likes