Tariff Discussion

[philtastic]

Figured it would be better to have a dedicated thread for tariff discussions, as it looks like the newly announced US tariffs are very wide-reaching, and will almost certainly lead to price increases on every line of action figures. And even though these are tariffs for products entering the US, I doubt we will be left unscathed in Canada.

Notably, China at 34% and Vietnam at a whopping 46%! The yellow column is the one to pay attention to. The other column is likely BS.

As always, there is no politics discussion allowed on this board. But we all know how we feel.

[philtastic]

Oh, and there is a base 10% tariff on all other countries not listed in the chart above, including Canada.

All things considered, we got off pretty easy...

[Timcrook]

Trump can't force Canada to place tariffs on China/Vietnam

[philtastic]

Originally Posted by Timcrook

Trump can't force Canada to place tariffs on China/Vietnam

No, but US companies will have to increase prices, which will affect Canada, too. We are still buying toys made mostly by American companies.

[ghostlurk29]

R.I.P. 5ktoys. I assume they use import loop-holes to keep their prices so low.

RIP Cross-border shopping in general, because everything in the states will be more expensive, and the CAD will drop in value too.

[nighthawk]

I'm just trying to figure out if they will charge tariffs if I ship Made in China figures to the US. Seems they eliminate the $800 rule for China and HK. Not sure if it meant for every product made in China or just shipments from. There.

[philtastic]

From what I understand, the $800 "de minimis" import exemption will be removed on most things entering the US at the start of May, and in June it will be removed entirely. Which means sites like Temu will likely implode. Their entire business model is built on that $800 limit.

[canprime]

Originally Posted by philtastic

From what I understand, the $800 "de minimis" import exemption will be removed on most things entering the US at the start of May, and in June it will be removed entirely. Which means sites like Temu will likely implode. Their entire business model is built on that $800 limit.

It will probably take a big chunk out of the site sponsors as well. If I remember correctly Amir (Toy Snowman) did a video recently where he mentioned he does have a good chunk of business from the US.

That would make sense with the "de minimis" rule since it would mean getting stuff from the site sponsors, as a US resident could be cheaper, or at least on par with US etailers. Especially with the free shipping that some site sponsors offer for big purchases.

Also it is now all but guaranteed we'll see significant price increases on toys. The list from yesterday included Vietnam at 46% (!!!???!!!).

So basically 50% more taxes on toys coming from Vietnam (to the US). Looks like all those moves made to get out of China manufacturing are now pretty worthless from a tariff perspective. Of course there are other reasons to get out of China for manufacturing.

If these stick for a long enough time we could be seeing $50Cnd (before tax) prices because the pressure will be one from Hasbro, etc. to get retailers to up MSRP no matter where they are located.

[philtastic]

At $50 CAD for a regular figure, the market will collapse. Even full-on addict collectors (like myself) will walk away.

But I don't think the tariffs will actually last that long, for a few reasons. First, Trump usually backs down after meeting resistance. Second, some countries will make deals out of fear. Third, there could be open rebellion in the streets. After all, the American Revolution was started because of tariffs on tea...

Fingers crossed.

[Canukle]

Originally Posted by philtastic

Oh, and there is a base 10% tariff on all other countries not listed in the chart above, including Canada.

My understanding was that Canada and Mexico were exempt from the base 10% tariff.

Instead, we have all the other tariffs in place from the whole Fentanyl thing still in place. And some additional ones on cars