The Era of Tariffs on All Packages: A Shockwave for Etsy, eBay, and Shein! New Tariffs Hit Consumers with Up to 50% Additional Charges

Introduction——The "Invisible Plumbing" that Supported "Cheap" and "Fast" Has Closed

The long-standing "de minimis" rule in the United States—an exemption from tariffs on small imports under $800—ended globally on August 29, 2025. The end of this tax exemption affects not only ultra-low-cost direct sales like SHEIN and Temu but also small sellers on platforms like Etsy and eBay who source materials and parts from overseas, as well as sellers outside the U.S. The government's aim is to curb the influx of counterfeit goods and drugs and secure revenue. However, on the ground, the new rules of complex procedures and "prepaid tariffs" are causing delivery delays and order cancellations. The Washington PostReuters

What Has Changed: The Essence of the Rules

• Complete Suspension of Tax Exemption: Even under $800, tariffs are generally applied. Tariff rates vary by country and item (approximately 10-50%). For six months during the transition, a provisional measure allows a flat-rate tariff of $80-$200 to be chosen, but only for the postal route. WIREDThe Washington Post

• "Pre-Customs Payment" is Mandatory: Foreign postal and delivery service providers must calculate tariffs and taxes before sending to the U.S. and collect from the recipient before shipping. Providers unable to comply have temporarily suspended deliveries to the U.S. Reuters

• A Very Small Loophole: Gifts under $100 may still be exempt from taxes, but commercial use poses legal risks. WIREDABC News

The U.S. Customs and Border Protection (CBP) explained that after initially halting the rule for China and Hong Kong in May, it transitioned to a global halt on August 29 based on a presidential order. The objectives are to "block the influx of illegal items like fentanyl and counterfeit goods" and "restore fairness in transactions." The expected revenue is approximately $10 billion annually. U.S. Customs and Border Protection

Logistics "Instant Freeze"—Postal Services Worldwide Halt

The core of the system is the "mechanism to confirm and collect tariffs before shipping." However, not many providers can implement this immediately. Japan Post, DHL, Australia Post, and several European postal services have announced suspensions or restrictions on small parcels to the U.S. Smaller sellers who have relied on international mail are hit hardest. Reuters

The Washington Post reported that order cancellations and widespread delays are occurring, and it is expected to take time to stabilize. The Washington Post

Impact on Platforms: Etsy, eBay, SHEIN's "Calculations"

This regulatory change fundamentally alters the cost structure of cross-border e-commerce. Models that thrive on low prices and high volumes, with strengths in small, frequent shipments, face rapidly deteriorating profitability when fixed costs (flat-rate tariffs) are applied to each transaction. SHEIN/Temu pricing and both the overseas procurement and sales of Etsy/eBay are forced to be redesigned. The stock market reacted sensitively, with reports of **Etsy down 14%, eBay down 6%**. MarketWatch

On the other hand, the overall market impact is "price increases and extended delivery lead times." Analysts point out a behavioral change where consumers curb impulse purchases. WIRED

Data on the "De Minimis Era"

According to the U.S. CBP, de minimis declarations increased by 600% over 10 years, reaching **1.36 billion cases (about 4 million per day)** in fiscal 2024. The system was the "invisible infrastructure of cross-border e-commerce." ABC News

Conflicting Interests: The Righteousness of Policy and the Pain on the Ground

• Government Logic: Curbing the influx of drugs and counterfeit goods, fair tariff collection, and leveling the playing field for domestic industries—these public purposes are at the forefront. U.S. Customs and Border Protection

• Reality on the Ground: Small and medium sellers find it difficult to pass on the cost. If tariffs are applied to the import of materials and parts, the cost of finished products will also rise. Buyers will demand clear pre-payment to avoid **"unexpected additional charges."** The Washington Post

SNS Reactions—"Fairness for Whom?"

Since the announcement of the system, opinions have been boiling over on X and Reddit. Here are some representative voices (summary).

• "De minimis is not a loophole favoring China. It was the plumbing that supported everyday international commerce." (X) X (formerly Twitter)

• "80% of orders to the U.S. might evaporate. What should we do about handmade exports?" (Small seller in the UK, Reddit) RedditReason.com

• "**Shipments to the U.S. have been 'temporarily suspended.'** When will they resume?" (Etsy community) Reddit

• "Operations will stabilize in a few months. First, accurately identify HS codes and country of origin. Prepare the system during the flat-rate period." (Seller advice thread) Reddit

If one were to summarize the sentiment on social media, it would be a divided assessment: **"Small businesses suffer the most, but price normalization was necessary."**

What Shoppers (Buyers) Will Face

1. Total Cost Increase: In addition to the product price and shipping, prepaid tariffs and taxes are added. Even small transactions feel the burden of flat-rate costs, reducing cross-border impulse buying for cheapness. WIRED

2. Delivery Delays: Due to delays in system upgrades and awareness, lead times can extend up to 20 days. For important purposes, early arrangements are advisable. ABC News

3. Gift Opportunities: Gifts under $100 may be exempt from taxes. However, commercial use is not allowed. WIRED

"New Standard Equipment" Required for Sellers

• Strictness in HS Codes and Country of Origin: Errors can lead to excessive taxation and delays. Update product listings to align with each platform's tariff calculation tools and pre-collection functions. Etsy

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