New tariffs and other changes could impact online sellers in the months and years ahead. Marianne Rowden is CEO of E-Merchants Trade Council, a global trade association for ecommerce entrepreneurs to support simplification of trade, tax and transportation policies. In today’s guest post for EcommerceBytes, she shares the top five trade issues for merchants in 2025.
There are changes being proposed that will directly impact online sellers. Some of these changes may impact your business model and or profit margin. Below are the top five (5) issues that sellers should use as a quick checklist to manage risks to sourcing, selling and shipping product profitably in 2025.
1) De Minimis: Duty-free imports for low-value shipments (under $800) may be ending or severely restricted, particularly from China. It is likely that more information will be required from the online seller to access a duty-free option, if available.)
ACTION: You should recalculate your products cost structure to determine how much additional cost is feasible at your current price and profit margin. How much additional cost are you willing to absorb? How much can you raise your price and be competitive?
2) Tariffs: President-elect Trump has threatened to impose a new set of tariffs – 10-20% for all countries, 25% for Canada and Mexico, 100% on BRIC countries (Brazil, China, Egypt, Ethiopia, India, Russia, South Africa, United Arab Emirates), and additional 10% on Chinese goods which are cumulative on top of the current 30% section 301 tariffs.
ACTION: Undertake a review of where you or your distributor sources inputs and components for your products. Look for “Made in” markings on packaging and the products you are buying.
3) East/Gulf Coast Port Strike: The goods that you import may be delayed by a strike. The International Longshoremen Association, who move shipping containers to/from ocean vessels and the United States Maritime Association who own the port equipment have a contract agreement that expires on January 15, 2025. If the parties do not reach an agreement, the longshoremen may walk off the docks and no cargo containers will be loaded or unloaded at the affected ports.
ACTION: Contact your logistics provider to determine whether any of your products are shipped by ocean and explore alternative modes of transport (e.g., air or truck) with associated costs.
Editor’s Note: Ms. Rowden alerted EcommerceBytes that, just prior to publication, the International Longshoremen’s Association (ILA) and United States Maritime Alliance (USMX) announced they had reached a tentative agreement on all items for a new six-year Master Contract, so stay tuned.
4) Mexican Tariffs: Sellers that import goods from Mexico may be participating in a program in Mexico (IMMEX) that allows for tax-free manufacturing, assembly or packaging for direct sale to U.S. shoppers. Changes in this law may add 19% duty in Mexico if they originate from a country that does not have a trade agreement with Mexico (e.g., China). Goods shipped from the U.S. to Mexico using express courier valued between $50 and $117 are subject to 17% duty.
ACTION: Sellers should confirm their supply chain including contacting their vendors and logistics provider to check whether their products are shipped using these programs and then assess if these additional costs apply to both imports from and exports to Mexico.
5) CPSC Certificate of Compliance: Sellers who make or import consumer goods like children’s products and clothing are regulated by the U.S. Consumer Product Safety Commission (CPSC). CPSC requires sellers to file an electronic Certificate of Compliance. The certificate must include: manufacturer (including importer) or private labeler issuing the certificate; third-party conformity assessment body on whose testing the certificate depends; date and place of manufacture; and date and place where the product was tested.
ACTION: Sellers should confirm with their customs broker or logistics provider whether their products are regulated by CPSC, including the requirements to trigger a filing requirement, who obtains conformity assessment, and who will be responsible for e-filing the Certificate of Compliance.
For more information, go to EMTC’s website at www.emtc.org and look for articles on all these topics in the News section of the website. If you have a question, email mrowden@emtc.org.
