Online shoppers hit with massive tariff charges on their clothes -- 50% inflation -- Thanks Trump

Thrift stores are gonna be lit!

 

What's the problem? Lord Protector Musk said before the election that people would suffer some first with Trump's policies. I guess the people thought that Musk was just full of shit. (He is, of course, but not about that.)

 

Attn: Shein, Temu, Amazon, Wayfair shoppers. No more cheapie stuff.

Everyone should buy American, amirite?

 

No but I would recommend staying away from shein and temu

 

If they bought it from a traditional retailer they wouldn’t “see” the tariffs broken out, but the retailer does in their internal supply chain/purchasing system - and the higher COGS that hits their bottom line. Sounds like this store was based overseas, shipping direct to consumers and charging those customs duties up front, so this person could “see” how much tariffs affected their purchase. But if the retailer didn’t collect up front, then your item gets held at customs by a government bureaucrat until you pay to “release” it.

 

Don't order from China, besides that receipt looks fake

 

That would be Sir Musk to you

 

You ever heard of Walmart, Dollar General or family dollar? Most poor people don't order online.

 

The customers of these stores still ultimately pay the tariff through inflation and higher prices, it just isn’t broken down for them right on the checkout page. This tariff line would be more like what the purchasing managers at Walmart or Dollar General see (or really not just those major purveyors of Chinese junk, but all small businesses across America who try to source goods). It makes their inventory costs go up.

 

Who knew that a 25% tariff on something with a very high profit margin could drive a 50% price increase. Maybe people need to reconsider buying anything from those online retailers. This is not even considering that most items purchased online today were imported prior to the imposition of the tariffs.

 

Not from those retailers. Perhaps you could read the article next time (those retailers ship directly from China to a customer, so they couldn't ship prior to order).

It is funny that you suddenly came to the realization that companies sometimes take advantage of known price increases to raise profitability. I remember you being very opposed to that notion the last few years.

 

The seller didn’t enjoy a “price increase”. They still only receive the $300. The govt took the rest. Clothes typically are high margin low cost items, which is what many stores need to stay in business. Nobody cares about some Chinese storefront, but the U.S. resellers will see the impact. It will reduce their sales volume of high margin items which means less profitability, which will lead to reductions in staff, and some # of businesses no longer able to keep their doors open.

In that above example sales tax would have been $36. With fed tariffs her tax was $138. ITT we have “conservatives” (lol) trying to explain how nearly quadrupling taxes paid is actually a good thing. This is what Trump has done to you.

 

They'll never admit it, but MAGA loves this.

 

We dont make clothes in the US and never will so I am curious what the tariff is designed to do for clothing? Other than shift government funding to the working class.

 

Most of those “changes” have less to do with the tariff increase than they do the de minimus exception.

If you’re buying cheap Chinese junk in a store, duties and import taxes were already getting paid on them when they came into the U.S., so the change is just how much additional tariff is being added.

But if you were ordering cheap Chinese junk online to be shipped directly from China to you (think Temu, AliExpress, DHGate, and retailers that were using those platforms as essentially drop-shippers), duties and import taxes previously weren’t being paid on them at all unless the value of your order was more than $800. With the de minimus exception going away, you’re the importer for those kinds of shipments and are suddenly responsible for making the duty and import tax payments on them yourself.