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lite.cnn.com - on gopher - inofficial
ARTICLE VIEW:
With a key tariff loophole gone, here’s what happens now to your
matcha, K-beauty and gadget orders
By Ramishah Maruf, CNN
Updated:
7:09 AM EDT, Fri August 29, 2025
Source: CNN
The Trump administration has just wreaked havoc on one of the greatest
coping mechanisms of our time: online shopping.
Many of the cheaper products that US customers like to buy used to fall
under the , which allowed items worth less than $800 to flow into the
United States duty-free. But on Friday, that trade perk expired.
The global economy thrives on trends. Matcha, the ceremonial drink that
is now a staple at every hipster coffee shop, comes from select
Japanese vendors. Beauty aficionados can’t get enough of sunscreens
and serums imported from South Korea. Let’s not get into China-made
Labubus (and Lafufus). And tinned fish? The best comes from Europe.
Many young people say they do not feel financially secure, so big
purchases like cars and homes tend to be out of reach. Instead, Gen Z
loves a small pick-me-up that could be as simple as a pastry, specialty
coffee or a cute plush. In July, Bank of America that 57% of Gen Z buy
themselves a small “treat” at least once a week, with 59% saying
it leads to overspending.
in the latest executive order, most goods shipped internationally will
now be subject to the tariffs of the country of origin – even the
cheap ones. Those new duties will be about $80 per item for a country
with a tariff rate less than 16%, $160 per item for a country of a
tariff rate between 16% and 25%, and $200 per item for a country with
a tariff rate above 25%. Some of that cost could be passed down to
consumers.
A around the world already suspended parcel shipments to the US ahead
of the de minimis expiration due to logistical challenges and tariff
uncertainty. International postal powerhouse also paused many of its
shipments to the US, joining other European carriers.
Here’s what to expect with your online orders this week.
What types of products are impacted?
The Trump administration for goods coming out of China in May amid the
US-China trade war. However, Friday’s action eliminated that trade
perk for every other nation.
That cuts off the approximately 4 million de minimis shipments US
Customs and Border Protection it processes a day, up from 2.8 million
last year. While fast fashion companies such as Shein and Temu have
been shoring up their US warehouses, more niche products that ship
directly from their countries of origin are more vulnerable to tariffs.
For example, Olive Young, the Sephora of K-beauty websites, announced a
15% customs duty on all orders going to the US starting August 27.
(That’s the US tariff rate on goods from South Korea.)
Others have stopped shipping altogether. Distributors of Japanese
matcha, such as and Marukyu Koyamaen, suspended US delivery early this
week until “further notice.”
“Because the costs and processes remain unclear at this time, we have
made the very difficult decision to pause all U.S. shipments starting
August 26, 2025, until we find a clear path forward,” Emeri, which is
based in Canada, said this month.
The company also claimed that the elimination of de minimis
particularly crushed small businesses.
I have a package on the way. What now?
Days before Friday, many postal services around the world announced
that they would suspend service. So Devin Knight, vice president of
transportation at third-party logistics company ShipMonk, said that if
you have a package on the way, check how it was shipped.
If it’s a courier company that already has a process to collect and
remit duties and taxes built into their networks, such as UPS, FedEx
and DHL Express, the package should arrive on time, he said.
But if a service has paused deliveries and the arrival date is well
after Friday, Knight said his best guidance would be “trying to get
it returned right away.”
That’s because if a service doesn’t find a way to remit that
payment, “it either gets returned at a cost or it gets disposed
of,” he said, adding that’s the worst-case scenario beyond a delay
in arrival.
Why has shipping been halted?
PostEurop, a trade group representing European postal services, said
that they received shipping guidance from US Customs and Border
Protection on August 15. This only gave them two weeks to completely
overhaul a complex shipping system, with many questions on duties still
unanswered.
Postal operators “simply want to avoid that mountains of backlogged
mail or packets are built (up) at the airports or upon arrival in the
US. So they have to be sure that they can put solutions in place which
are reliable, viable, sustainable and compliant to the new US rules,”
Botond Szebenym, PostEurop’s secretary general, said.
How can businesses deliver your packages now?
Notably, DHL said that shipping is still possible via DHL Express, but
will include the cost of the new tariffs. That’s because, as Knight
noted, DHL Express already has a system in place to get packages
cleared by customs.
With all the uncertainty, DHL Express “would be the one I’d
recommend you use to make sure it goes as well as possible,” Knight
told CNN. He added that carriers with similar capabilities are FedEx or
UPS.
DHL also said that people can still send low-cost gifts worth less than
$100 as a standard parcel.
What happens once shipping services all resume?
Online shopping probably won’t go back to the cheap and efficient way
it used to be, even once international carriers resume service to the
US.
Brands have already posted notices they will be applying customs duties
to US shoppers. That’s because they’ve had a sense this was coming
since February, when Trump his first round of tariffs, said Erin
Williamson, vice president of US customs brokerage at logistics company
GEODIS.
Customers can also expect longer shipping times from international
destinations due to the extra customs barriers, she said.
However, it’s not clear at this point how long it will take for each
postal service to resume service. That will depend on each country.
“Everybody is used to getting their package within five days,”
Williamson said. “In my opinion, that’s going to be impacted a
little bit.”
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