Reply To: First Brexit – now tariffs

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There have been posts from most of the UK indies about this now.  Most are either suspending orders to the US arriving after the 29th or are adding additional charges.  Here’s some more information about the process from Gripping Beast:

All shipments to USA that arrive 29th August onwards will need to arrive with customs and tariff charges already paid – the order will need to be sent on what is known as a DDP service (Delivered Duty Paid). This is a decision taken by the US, nothing to do with us or the courier and mail services. As a result, we have to pay the relevant charges as part of the shipping cost when we book the courier.

Nick Ayre at North Star Figures has confirmed this is the current advice from Royal Mail in the UK.

It should be noted that it isn’t just the tarrif 10% that US customers will pay but also the admin charges imposed by the courier services. Gripping Beast again:

This means that there will be soon an extra cost added to US orders (only) to cover these custom charges and any administration costs that the courier/mail services charge.

As I stated earlier in this discussion, my experience was that the % charges for implementing the tax were far in excess of the % value of the tax itself, given the relatively small value of these orders.  So alas it won’t just be a 10% uplift.  It is to be hoped that the new DDP process is more automated that the old systems were.  However, like any good commercial enterprise should, couriers will be trying to get as much money out of having to do this as possible.