Mom is hit with $372 tariff bill on top of $900 summer wardrobe refresh

Daily Mail​

13 hours ago

A mom just wanted new clothes for her upcoming vacation.
Krystal Wahnschaffe, 35, a Texas-based mom, said that she placed a $919 clothing order from a trendy shop, according to Business Insider.
But when the package showed up at her Dallas home, it came with something she hadn't expected: a $372 customs bill.
'That was frustrating, obviously,' she told the publication. 'If I'm going to be charged all this extra money — maybe that changes the calculus of what clothes I keep and what I don't keep.'
The unexpected fee came down to international trade rules — and a complicated web that has failed to clearly communicate who's responsible for paying the bill.
A big part of her confusion stems from the end of the so-called de minimis exemption, which previously allowed shipments under $800 to enter the US tariff-free — regardless of origin.
Before the rule change, foreign companies like Shein and Temu could produce goods overseas and ship them directly to US customers without charging import fees.
The hyper-efficient business model allowed those brands to undercut domestic retailers. Some US companies even blamed the exemption for driving them out of business.
But now, that exemption is gone. Brands that once relied on tariff-free pricing are starting to see some of those hidden costs surface.
In some cases, like Wahnschaffe's clothing order, shoppers are now entirely responsible for paying the bill.
Because Wahnschaffe's items were made in China and shipped during a period of peak tariffs, her order triggered high import duties — including a 125 percent tariff on a red sweater vest that originally cost around $60.
FedEx paid the import tax upfront to release the package, then handed Wahnschaffe the bill.
This won't happen for the majority of imported consumer goods.
Typically, products stop at a warehouse operated by a retailer, which pays the import fees and folds those costs into the price the customer sees at checkout.
But for the direct-to-consumer businesses that skip the US warehouse altogether, the bill is often going unpaid until the products arrive on a customer's doorstep.
The Texas mom isn't alone. Dozens of buyers have taken to social media, confused and angry about surprise charges on international orders.
Shoppers at standalone stores are less likely to see the massive one-time bills - but prices in stores will likely still increase from the levies
'Why are these companies not telling us that there is going to be an additional bill,' one creator said on TikTok.
Even professionals are surprised by the rules. Wirecutter, the product testing site run by The New York Times, recently investigated the issue by buying items from a variety of overseas sellers.
In one case, a $56 ukulele turned into a $158 charge after duties were applied.
Other items arrived without any additional fees. There was no clear explanation or advance notice about which products would be taxed and which wouldn't.
Chain retailers have offered much more consistent price increases since President Donald Trump launched the signature policy.
Customers have started to see pricing spike in some retailers — employees at Walmart and Target have been posting pictures online of massive bouts of price changes coming to their stores.
But online stores without a domestic footprint — particularly fast-fashion sellers and niche direct-to-consumer brands — often ship directly from overseas, leaving customers on the hook without warning.
Experts advise checking where a product is made, reading shipping policies carefully, and preparing for possible customs charges when ordering online.
Even trade pros aren't immune. Lawrence Friedman, a longtime trade attorney, told Wirecutter he recently got hit with a surprise duty on a small online order.
'This is my job, and I didn't even notice it was an imported watch band,' he said.