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Tariffs on Chinese Goods Are Skirted by Some U.S. Shoppers

Submitted by jhartgen@abi.org on

Since 2016, up to $800 in foreign goods shipped to an individual shopper in the U.S. are exempt from tariffs that predated the recent trade wars. The exemption allows consumers to avoid the shipping charge or higher price that American retailers often apply to recover the tariff cost, the Wall Street Journal reported. It also gives an edge to Chinese sellers that ship directly to consumers in the U.S. — all the more so with the Trump administration’s trade action. U.S. shoppers can buy straight from China by seeking out a manufacturer who ships directly to their address or by searching digital storefronts at online marketplaces such as Amazon, AliExpress and eBay. Not all China-made items sold through such storefronts are tariff-free; some merchants import in bulk and store the items in U.S. warehouses to facilitate delivery to customers. Experts say the volume of direct shipments from China to U.S. consumers for purchases under $800 remains very small, but government data suggests that the category of goods is growing.

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