Us small exemption policy tightening, cross-border sellers how to cope?
Date：2024-11-15 15:43:00 View：
Recent changes in the political situation in the United States may have a profound impact on the cross-border e-commerce market. Trump's victory in the 2024 US election heralds an acceleration of new policies and regulations. Against this backdrop, the overhaul of the "small exemption" policy previously proposed by the Biden administration is likely to move forward more quickly under the new president. So how do cross-border sellers respond to this potential policy change?
One. What is a small exemption?
Reply：
The small exemption policy stems from the Trade Facilitation and Trade Enforcement Act signed into law by President Obama in 2016. The bill raises the "minimum clause" limit for exempting US imports from tariffs from $200 to $800. This means that each person can import up to $800 worth of goods per day without paying duties and taxes. The policy facilitates customs manifest clearance, Type 86 clearance, and Section 321 data pilot, making it possible for goods worth less than $800 to pass through customs in the United States with very low inspection rates.
Two.The new regulations revise the core content and its impact
1. Limit the volume of small exempted shipments: exclude some products subject to tariffs from the minimum exemptions, in particular the Section 301 tariffs covering about 40 percent of US imports, of which 70 percent of Chinese textiles and apparel will no longer enjoy the minimum exemptions.
2. New regulations and improved accountability: shippers are required to provide more data to improve transparency and accountability. This includes providing specific additional data, a 10-digit tariff classification number, information on the person applying for exemption, etc.
3. Strengthen security standards: Importers of consumer goods are required to submit Certificates of conformity (CoC) upon entry, especially for trace goods and sensitive products such as textiles and clothing. The move aims to focus on cracking down on illegal textile and clothing imports and strengthen supervision.
In response to adverse market factors such as the tightening of the small exemption policy in the United States, cross-border sellers need to take a two-pronged approach, focusing on improving the added value of products and strengthening risk warning and response capabilities.
First of all, it is key to enhance the added value of products through technological innovation and brand building. Technological innovation can not only make the product more superior in function, meet the diversified and personalized needs of consumers, but also optimize the production cost and improve the profit margin. At the same time, brand building can enhance consumers' cognition and trust in products, and enhance product premium ability. Under adverse factors such as tariff adjustments, high-value-added products are often more resistant to market risks and maintain profitability.
Second, it is equally important to establish a sound risk warning mechanism and pay close attention to policy developments and market changes. Cross-border sellers need to pay real-time attention to international trade policies, tariff adjustments, changes in market demand and other information in order to make timely adjustments. At the same time, formulate emergency plans, including adjusting the supply chain, optimizing inventory management, adjusting sales strategies, etc., in order to respond quickly in emergencies and reduce potential losses. This forward-thinking risk management strategy helps sellers remain robust in an uncertain market environment.
