Tariffs via UPS

[phil from seattle]

I got a package from China via UPS. Then a week later got a bill in the mail from UPS for the Tariff + disbursement fee.

On a $102.37 package (including shipping) there were 4 charges.  Three were tariffs (10%, 25% and 3.5%) plus a $14 disbursement fee. 

Any suggestions on how to avoid the $14 disbursement fee in the future?

[nctnico]

I got a package from China via UPS. Then a week later got a bill in the mail from UPS for the Tariff + disbursement fee.

On a $102.37 package (including shipping) there were 4 charges.  Three were tariffs (10%, 25% and 3.5%) plus a $14 disbursement fee. 

Any suggestions on how to avoid the $14 disbursement fee in the future?

Order from a company which can pre-pay the VAT / import charges when you order the product. Look for DDP (delivery duties paid). Works like a charm when ordering things into the EU but I don't know whether the US has a similar system in place.

[schmitt trigger]

With the tariffs, we are now all navigating uncharted waters.

[thm_w]

If you can't do DDP then you need to self clear, which is a pain in the ass, not worth it for $14. I don't know the process in USA, I assume its similar to canada where you tell the shipping company you will clear the package, and you deal with the paperwork and send it to them.

I believe someone mentioned Fedex has reduced or no fees if you have an account they can bill directly to, might be worth investigating.

https://www.cbp.gov/trade/basic-import-export/internet-purchases

[Smokey]

I've been using DHL for international shipping this year since the tariff stuff started and I haven't seen any new charges, apart from the normally higher DHL fees which actually don't seem to be much higher than before the tariff stuff.  Of all the shipping options, if I want to not worry about it, DHL wins. 

This was a couple years ago, but FedEx did that "send you a bill a week after you get the thing" thing.  I was not happy about that.

[bdunham7]

With the tariffs, we are now all navigating uncharted waters.

No, these waters are well charted but many in the US haven't travelled them.  The issue is that couriers like UPS and DHL just live for the chance to screw you with excessive fees for custom clearances, tariffs, anything they can think of.  The US "system" is probably going to be complete chaos and mayhem for the foreseeable future and these clowns are going to be gleefully cashing in.

[phil from seattle]

With the tariffs, we are now all navigating uncharted waters.

The US "system" is probably going to be complete chaos and mayhem for the foreseeable future and these clowns are going to be gleefully cashing in.

Seems about right, in keeping with the rest of the country these days.

[b177]

That is what I've been paying for china -> us with UPS from JLCPCB. $14 broker fee on top of the tarriffs (~40% of total invoice including the freight). Duty *usually* only on shipments valued under $800. I know the $800 exemption might change, but haven't seen it yet. UPS usually sends me an email 1-2 days before delivery and I pay with credit card on their website (payment link in the email).

Oddly, a recent shipment (well over $800) was $14 broker fee and only ~3% duty. Same HTS code and description as prior shipments that were charged 40%.

The $14 broker fee to UPS is peanuts compared to finding a 3rd party. But less oversight into the HTS code and duty. I think a 3rd party only makes sense if you need to have greater control/assurance that the %duty is correct, like if you are important a product with an exemption.

[Jeroen3]

You can avoid the administrative fee when it is ddp shipped, but this can be complicated for you right now.
If you are a business, you can also pay these directly to customs using the commercial invoice, however the amount of effort is probably not worth the 15$

[Smokey]

One thing I haven't tried to do this year is buy REALLY inexpensive boards with the cheapest shipping.
Well I just started that experiment from JLCPCB.  5 boards for $2.28 with $1.72 "Global Standard Direct Line" shipping for a total order of $4. 

No idea what to expect, but they just "shipped" so we will see soon.

[Rat_Patrol]

One thing I haven't tried to do this year is buy REALLY inexpensive boards with the cheapest shipping.
Well I just started that experiment from JLCPCB.  5 boards for $2.28 with $1.72 "Global Standard Direct Line" shipping for a total order of $4. 

No idea what to expect, but they just "shipped" so we will see soon.

Do please keep us updated.

[phil from seattle]

I also just ran a batch of PCBs through JLCPCB. Literally took 3 days from pushing the button to delivered - Mar 19 to Mar 22. I'm on a trip so they are waiting for me at home. I also did a PCBA same day and it has already shipped. I expect Tuesday or Weds so 5 or 6 days. It will probably take a week to get the tariff bill report in snail mail. Wish they could email it

[Jeroen3]

Is with tarrifs still cheaper than locally?

[newto]

UPS is especially egregious when it comes to tariffs and their brokerage fees.

In Canada you can self clear packages at a CBSA office (generally at airports), which lets you get the package without having to pay the added fees. Not sure if that's an option in other countries though.

[Doctorandus_P]

I got a package from China via UPS. Then a week later got a bill in the mail from UPS for the Tariff + disbursement fee.

On a $102.37 package (including shipping) there were 4 charges.  Three were tariffs (10%, 25% and 3.5%) plus a $14 disbursement fee. 

Any suggestions on how to avoid the $14 disbursement fee in the future?

Emigrate to some other country.

[tszaboo]

I got a package from China via UPS. Then a week later got a bill in the mail from UPS for the Tariff + disbursement fee.

On a $102.37 package (including shipping) there were 4 charges.  Three were tariffs (10%, 25% and 3.5%) plus a $14 disbursement fee. 

Any suggestions on how to avoid the $14 disbursement fee in the future?

Emigrate to some other country.

You think the exact same thing isn't going to happen here?
If you order with UPS shipping without DPP they are going to charge you similar fees, except our VAT is higher. And then they apply VAT to the shipping and processing fee as well.
The only way is regulation, governments need to force companies that they have to charge a fair, flat fee for import processing. It's all automated anyway. And every company has to charge the same amount.

[thm_w]

The only way is regulation, governments need to force companies that they have to charge a fair, flat fee for import processing. It's all automated anyway. And every company has to charge the same amount.

Agree, a cap of around $5-10 if you prepay online before delivery, or auto bill to an account.
The additional costs do come in to play if the shipping company has to: send out letters, collect payment at the door, etc. I think its fair if they want to charge some more for that but the default should be minimal and fully automated.

[phil from seattle]

I got a package from China via UPS. Then a week later got a bill in the mail from UPS for the Tariff + disbursement fee.

On a $102.37 package (including shipping) there were 4 charges.  Three were tariffs (10%, 25% and 3.5%) plus a $14 disbursement fee. 

Any suggestions on how to avoid the $14 disbursement fee in the future?

Emigrate to some other country.

Such a helpful guy

[NorthGuy]

The only way is regulation, governments need to force companies that they have to charge a fair, flat fee for import processing. It's all automated anyway. And every company has to charge the same amount.

Just abolish VAT. Will work much better.

[tszaboo]

The only way is regulation, governments need to force companies that they have to charge a fair, flat fee for import processing. It's all automated anyway. And every company has to charge the same amount.

Just abolish VAT. Will work much better.

Sure and then we'll just have you personally maintaining our roads.

[mikeselectricstuff]

Someone told me that if you have a UPS account, you don't get charged the handling fees - this may vary by country so YMMV

[Smokey]

The only way is regulation, governments need to force companies that they have to charge a fair, flat fee for import processing. It's all automated anyway. And every company has to charge the same amount.

Just abolish VAT. Will work much better.

Sure and then we'll just have you personally maintaining our roads.

Plenty of options for maintaining the roads!
https://patch.com/california/los-angeles/paving-pizza-dominos-helps-repair-potholes-burbank

[NorthGuy]

Just abolish VAT. Will work much better.

Sure and then we'll just have you personally maintaining our roads.

I don't know about that. Just south of border here, in Montana, they have zero sales tax. Their roads are fine.

[tszaboo]

Just abolish VAT. Will work much better.

Sure and then we'll just have you personally maintaining our roads.

I don't know about that. Just south of border here, in Montana, they have zero sales tax. Their roads are fine.

They have 1.35% property tax, here it's 0.057%. It might surprise you, but governments cost money.

[TimFox]

US States vary widely in their amounts for property, sales, income, fuel, and miscellaneous taxes.