Latest news with #China-originated
Yahoo
23-05-2025
- Yahoo
U.S. officials say Chicago sting in February seized nearly $34M in illegal e-cigs
May 22 (UPI) -- Tens of millions of dollars worth of illegal e-cigarette products were seized in Chicago in a joint operation between the FDA and U.S. Customs and Border Protection, officials said Thursday. Officials say the sting in February that uncovered the China-originated packages was valued at about $33.8 million and were intended for distribution to multiple states. Investigators uncovered several illegal e-cig brands such as Snoopy Smoke, Raz and more. "We continue to see an increased number of shipments of vaping related products packaged and mislabeled to avoid detection," said Bret Koplow, acting director of the FDA's Center for Tobacco Products. The FDA and CBP sit on a joint federal task force focused on e-cigarette enforcement activity. "However, we have been successful at preventing these shipments from entering the U.S. supply chain," Koplow said, despite efforts to "conceal the true identity of these unauthorized e-cigarette products." February's seizure in Illinois was part of a joint federal operation to examine incoming U.S. shipments and prevent the entry of illegal e-cigarettes. "Seizures of illegal e-cigarettes keep products that haven't been authorized by the FDA out of the United States and out of the hands of our nation's youth," said FDA Commissioner Marty Makary. On Thursday, the FDA said many of the unauthorized shipments contained vague product descriptions with incorrect values in an "apparent attempt to evade duties." According to federal officials, most shipments violate the FDA's food, drug and cosmetic laws, while other products get confiscated due to intellectual property right violations on trademarked items. Additionally, they added that FDA officials sent import letters warning 24 tobacco importers. At the end of April, border agents busted a shipment of some 17,500 fake brand cigarettes from Vietnam valued at nearly $730,000 after pausing its arrival in Miami and intercepting it days later in Texas. Last year, U.S. Customs and Border Protection officers in Chicago made 121 seizures that contained more than 3.2 million banned electronic nicotine devices worth over $81 million, and the agency made a similar million-dollar seizure in June of illegal vape pens offloaded from China.
UPI
22-05-2025
- UPI
U.S. officials say Chicago sting in February seized nearly $34M in illegal e-cigs
The FDA and U.S. Customs and Border Protection teamed up for a joint operation that recovered tens of millions of dollars worth of illegal e-cigarette products seized in Chicago, officials said Thursday. FDA Commissioner Martin Makary (pictured in March in Washington, D.C.) said the effort helps keeps e-cigs "out of the hands of our nation's youth." File Photo by Bonnie Cash/UPI | License Photo May 22 (UPI) -- Tens of millions of dollars worth of illegal e-cigarette products were seized in Chicago in a joint operation between the FDA and U.S. Customs and Border Protection, officials said Thursday. Officials say the sting in February that uncovered the China-originated packages was valued at about $33.8 million and were intended for distribution to multiple states. Investigators uncovered several illegal e-cig brands such as Snoopy Smoke, Raz and more. "We continue to see an increased number of shipments of vaping related products packaged and mislabeled to avoid detection," said Bret Koplow, acting director of the FDA's Center for Tobacco Products. The FDA and CBP sit on a joint federal task force focused on e-cigarette enforcement activity. "However, we have been successful at preventing these shipments from entering the U.S. supply chain," Koplow said, despite efforts to "conceal the true identity of these unauthorized e-cigarette products." February's seizure in Illinois was part of a joint federal operation to examine incoming U.S. shipments and prevent the entry of illegal e-cigarettes. "Seizures of illegal e-cigarettes keep products that haven't been authorized by the FDA out of the United States and out of the hands of our nation's youth," said FDA Commissioner Marty Makary. On Thursday, the FDA said many of the unauthorized shipments contained vague product descriptions with incorrect values in an "apparent attempt to evade duties." According to federal officials, most shipments violate the FDA's food, drug and cosmetic laws, while other products get confiscated due to intellectual property right violations on trademarked items. Additionally, they added that FDA officials sent import letters warning 24 tobacco importers. At the end of April, border agents busted a shipment of some 17,500 fake brand cigarettes from Vietnam valued at nearly $730,000 after pausing its arrival in Miami and intercepting it days later in Texas. Last year, U.S. Customs and Border Protection officers in Chicago made 121 seizures that contained more than 3.2 million banned electronic nicotine devices worth over $81 million, and the agency made a similar million-dollar seizure in June of illegal vape pens offloaded from China.
Business of Fashion
15-05-2025
- Business
- Business of Fashion
Shein Lowers Prices to Lure Back US Shoppers After Tariff Cut
Shein Group Ltd. lowered US retail prices this week after the Trump administration temporarily cut duties on Chinese imports, as the online fashion retailer moves to win back consumers scared away by recent tariff-induced price hikes. The average cost of 98 products consistently tracked by Bloomberg News on Shein's website was $5.56 on Wednesday, down about 13 percent from a May 7 peak of $6.38. Shein also sent a price drop alert to US consumers Wednesday touting lowered prices across a range of styles, and promising that shoppers wouldn't be asked to pay any tariff-induced fees or additional costs at checkout. PDD Holdings Inc.-owned rival Temu adopted import surcharges for goods shipped directly from China in late April. The alert came as the US's 145 percent duty on most Chinese imports was temporarily cut to 30 percent after weeks of chaos for cross-border e-commerce retailers. The 'de minimis' tax on small parcels from China and Hong Kong was also lowered to 54 percent from 120 percent, a relief for e-commerce platforms like Shein and Temu that rely on direct shipments from China to keep prices low. Shein's observed US sales have been falling since the platform started raising prices April 25. Sales were 15 percent lower for the seven days ended May 4 compared to the same period a year ago, according to Bloomberg Second Measure, which analyses credit and debit card transactions. Temu's sales fell about 10 percent in the May 4 week from 2024. Transaction volumes in the US saw a similar drop. Consumer traffic showed the same downward trend on the two platforms after they raised prices last month. Average daily customer traffic for the 15 days after the price hike — through May 9 — was down more than 20 percent from the 15 days before the adjustments, according to Similarweb. Uncertainties remain around trade negotiations — and e-commerce retailers like Shein. Tariffs have only been lowered for 90 days, and are still higher than before Trump retook office. And China-originated online budget platforms remain some of the hardest hit retailers, with US giants Inc.'s observed sales up 8.1 percent and Walmart Inc.'s rising 4.6 percent the May 4 week, according to Bloomberg Second Measure. By Bloomberg News Learn more: US Tax Bill to End Duty-Free Imports of Cheap Foreign Goods The provision would put into law and expand an executive order that came into force earlier this month, halting the 'de minimis' exemption for Chinese imports worth less than $800.
Business Times
15-05-2025
- Business
- Business Times
Shein lowers prices to lure back US shoppers after tariff cut
[NEW YORK] Shein Group lowered US retail prices this week after the Trump administration temporarily cut duties on Chinese imports, as the online fashion retailer moves to win back consumers scared away by recent tariff-induced price hikes. The average cost of 98 products consistently tracked by Bloomberg News on Shein's website was US$5.56 on Wednesday (May 14), down about 13 per cent from a May 7 peak of US$6.38. Shein also sent a price drop alert to US consumers on Wednesday touting lowered prices across a range of styles, and promising that shoppers would not be asked to pay any tariff-induced fees or additional costs at checkout. PDD Holdings-owned rival Temu adopted import surcharges for goods shipped directly from China in late April. The alert came as the US's 145 per cent duty on most Chinese imports was temporarily cut to 30 per cent after weeks of chaos for cross-border e-commerce retailers. The 'de minimis' tax on small parcels from China and Hong Kong was also lowered to 54 per cent from 120 per cent, a relief for e-commerce platforms such as Shein and Temu that rely on direct shipments from China to keep prices low. Shein's observed US sales have been falling since the platform started raising prices Apr 25. Sales were 15 per cent lower for the seven days ended May 4 compared to the same period a year ago, according to Bloomberg Second Measure, which analyses credit and debit card transactions. Temu's sales fell about 10 per cent in the May four-week from 2024. Transaction volumes in the US saw a similar drop. Consumer traffic showed the same downward trend on the two platforms after they raised prices last month. Average daily customer traffic for the 15 days after the price hike – to May 9 – was down more than 20 per cent from the 15 days before the adjustments, according to Similarweb. Uncertainties remain around trade negotiations – and e-commerce retailers such as Shein. Tariffs have only been lowered for 90 days, and are still higher than before Trump retook office. And China-originated online budget platforms remain some of the hardest hit retailers, with US giants observed sales up 8.1 per cent and Walmart's rising 4.6 per cent the May 4 week, according to Bloomberg Second Measure. BLOOMBERG
Yahoo
18-04-2025
- Business
- Yahoo
DHL Freezes US-Bound High-Value Consumer Parcels Amid Customs Gridlock
DHL is experiencing so many delays at U.S. customs processing points that it is temporarily halting business-to-consumer (B2C) shipments into the country that exceed $800. The suspension is effective Monday. DHL has not indicated when it will lift the suspension. More from Sourcing Journal Trump's Tariff Crackdown Could Create Environment Rife With Customs Fraud FedEx, UPS Bring Back Fees for Chinese Imports Shein's IPO Valuation Hinges on Trump's De Minimis Ban on China The multiday delays are a result of a surge in formal customs clearances since April 5, when U.S. Customs and Border Protection (CBP) brought down the threshold requirement for a parcel to go through formal entry processing from $2,500 to $800. The change went into effect for shipments out of all countries. The logistics giant said it is handling the clearances 'around the clock' and 'working diligently to scale up and manage this increase.' Amid the drama of steep 145-percent tariffs President Donald Trump has slapped on China and the 10-percent baseline tariffs levied on dozens of other countries, as well as the closure of the de minimis provision for China-originated parcels starting May 2, the CBP's lowering of the formal entry threshold has largely stayed under the radar. Those changes, like Trump's sweeping tariffs, are being implemented under the powers granted by the International Emergency Economic Powers Act (IEEPA). Each shipment must now undergo individual formal clearance when entering the U.S. All formal entry shipments are subject to import customs duties based on the Harmonized Tariff Schedule, which may include general duty rates, Section 301 duties, and applicable IEEPA duties. Additional information and/or supporting documentation may be required for processing, including proof of the goods' country of origin. All formal entries must include the ultimate consignee's tax identification number, which can be either a social security number or an employer identification number. Prior to April 5, all packages with a declared value between $800 and $2,500 could be cleared using a simplified and expedited informal entry process. Informal entries usually require fewer documents like a commercial invoice, and no customs bond. Business-to-business (B2B) shipments valued at more than $800 will not be suspended, although they are still subject to delays, DHL warned. Shipments across B2B and B2C that are below $800—the value of compliance under the expiring de minimis threshold—will not be suspended. DHL's move is yet another consequence of the escalated trade war between the U.S. and China. The temporary policy change follows that of Hong Kong's postal office, which indefinitely suspended the shipment of low-value parcels into the U.S. on Wednesday due to the closure of de minimis and the added tax on each delivery. Packages that would have qualified for de minimis will be subject to a duty rate of up to 120 percent of their value or $100 per parcel beginning on May 2. This rate will rise again to $200 per parcel beginning on June 1. For H.K.-based senders that shipped out a package that had yet to leave for the U.S. via ocean carrier, Hongkong Post would arrange for a product return and refund starting April 22. The post office will suspend the acceptance of parcels delivered to the U.S. via air beginning April 27. 'The U.S. is unreasonable, bullying and imposing tariffs abusively,' Hongkong Post said in a Wednesday statement. 'The Hongkong Post will definitely not collect any so-called tariffs on behalf of the U.S. and will suspend the acceptance of postal items containing goods destined to the U.S.' Hongkong Post warned that Hong Kong residents should be prepared to pay 'exorbitant and unreasonable' fees due to the new tax. Mail that only contains documents will still be processed and sent to the U.S., the post office says. With the ban, Hong Kong residents and businesses will now have to pay couriers such as DHL, FedEx and UPS to deliver packages, further driving up costs for senders and consumers alike. UPS and FedEx have had their own way of dealing of the U.S.'s changes in trade policy with China, tacking on individual fees on shipments out of the country. UPS reinstated a 29 cents-per-pound 'surge fee' surcharge on all parcels from China, Hong Kong and Macau, reviving a charge used for two weeks in March. FedEx had its own demand surcharge that added 45 cents-per-pound for every import out of China, Hong Kong and the Philippines, which will be kept in place until the de minimis deadline of May 2. The extra FedEx cost includes a $1 minimum charge for each parcel shipment. Both companies levied more expensive variations of these fees from September to January as air shipments out of China were elevated for the peak holiday season.
