US tariffs on Chinese goods will impact trade

US tariffs on Chinese goods, effective 4th February 2025, have triggered retaliation from China, adding uncertainty to global logistics. At the same time, regulatory changes to eCommerce imports and customs requirements are creating additional barriers for cross-border trade.

While last-minute negotiations resulted in a temporary reprieve for Canadian and Mexican imports, Chinese goods are now subject to an additional 10% tariff. In response, China has imposed tariffs of up to 15% on select US goods and introduced export controls on key industrial materials, including those critical to the solar energy sector.

The imposition of tariffs were already discussed during US President Donald Trump's inauguration speech.

Although tariffs on Canada and Mexico have been delayed for 30 days due to security commitments, shippers should remain cautious as negotiations continue. If an agreement is not reached by March, tariffs could be reinstated at short notice, impacting trade lanes for automotive components, electronics, and pharmaceuticals.

Beyond the US tariffs on Chinese goods, the US Customs and Border Protection (CBP) has introduced new rules that significantly impact eCommerce shipments and the suspension of the de-minimis exemption for Chinese goods means that low-value shipments, previously able to enter the US tax-free if valued under $800, will now be subject to duties.

Additionally, the new CBP filing requirements for low-value shipments will increase the administrative burden on online retailers. With over 1.4 billion packages expected to enter the US this year, these changes could lead to longer processing times, increased compliance costs, and potential disruptions in last-mile delivery services.

Despite these concerns, analysts suggest that the impact on consumer demand may be limited, as the average value of eCommerce purchases remains relatively low. While taxation and compliance requirements may raise logistics costs, major shifts in consumer behaviour would require further regulatory action.

As global trade policies shift and new tariffs reshape supply chains, proactive planning is more critical than ever. At Logicall, we leverage deep industry expertise and customs knowledge to help businesses navigate evolving trade barriers and regulatory changes.

Whether you need to mitigate the impact of tariffs, ensure compliance with new regulations, or adapt sourcing/export strategies, our tailored solutions keep your supply chain resilient and competitive.