The SteelNavy.Com Message Board: Re: Another e-mail re. US tarrifs, this time from an Irish model train manufacturer

I can only imagine that a shipper outside the US would use Delivered Duty Paid (DDP) thinking that the landed cost t the customer is more transparent, and that they won't have to deal with angry customers, or worse, customers returning product. Not sure it's the best choice for the buyer. In my career I almost never saw buyers in the US select DDP. They always preferred to work through their own broker who is acting in their best interest.

The video you shared really speaks to normal business transactions. Not really between folks like ourselves who are buying relatively small items for their own person use.

Mail vs Common Carrier/Courier are very different things. Common Carriers/Couriers are going to charge fees for clearances and handling money on your behalf. I've never dealt with fees using Mail services. Not sure what they are going to charge.

I'm only imagining big backlogs with mail services. They are not likely ready for what's about to happen to them.

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I agree. It is unusual. It has advantages. Here's a "little blurb" I found early on which helped me to understand it. The authors are encouraging sellers to use the method, but it explains it, and its advantages:

https://www.easyship.com/blog/explaining-the-customs-clearance-process?utm_campaign=2605817&utm_term=10435&utm_content=666308&utm_medium=affiliate&irclickid=RrGVpVzjnxycRtU0XiT%3AZTcrUkpxkbSIQwMd1Y0&irgwc=1&utm_source=Bidwise%20Media

My package from ebay from China seems to have come that way, though. Orange Connex's SpeedPak, which ebay in China uses, looks to offer the service so that US buyers do not need to be involved in the customs details. It is "good for business."

Contrast this with the notice from the Irish train company which Phil posted where they say they are sending it DDU, and it is up to the customer to pay when the shipping service collects.

So, I thought making the shipping companies pay the duties would require DDP. I could not conceive of a shipping company that would ship, then try to collect their money. It seemed logical to have all monies collected, then make the delivery. However, as I now see from the Irish train company's email, there are shipping companies who will do that. So, DDU it is, then. Looks like it could be DDP or DDU, and that--like almost everything else about this--is up to the shipping company.

You're right. DDU is far more common.

(I'm not really sure I want much more information from our government at this point, lol.)

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Deliver Duty Paid (DDP) is unusual. I've been searching and have found no indication from the US that DDP is required. I would sure like to see better information coming from our government.

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Again, you must read AND understand.

The Irish train company wrote this:
"Effective August 29, 2025, USPS will require all international shipments entering its network to have U.S. customs duties prepaid."

So, the post office in the US will NOT contact you. The USPS is not accepting items not prepaid. Therefore, a shipping company which will operate this way must be used.

As far as your 10% = $80 thing, please see my post above. $80 is the flat rate. A $25 purchase price item will not have an $80 automatic charge (unless the seller selects a transportation company that is using this method, in which case the seller will soon not sell much.) If the proper carrier is chosen, a $25 item will have a 10% charge.

You've a lot of experience, but you're falling back on that. Need to look at what is actually written.

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What's really changed is De Minimis is ending. If you bought something that was over $800 in value to this point you would pay duty/taxes on that item. So what can you expect...
Shipping by mail: There is no minimum so you will pay the tariff based on whatever the current tariff rate is with that country. UK Tariff baseline tariff is 10% so the tariff rate to you as buyer will be $80. The Post Office in the US (not shipper) will contact you to arrange for collection of tariff fees.
Shipping by Common Carrier (FedEx, UPS, DHL, etc.): I have friends who have already experience the change prior to the Aug 28 deadline. Common Carriers/Couriers are not government postal systems, even though they may have contracts to do so. You will be charged a "government fee" which is essentially a brokerage fee, and the tariff rate.

It's hard to say how this will impact the USPS. But it will certainly slow down the process.

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That is beautiful, Phil. Thank you. Clears up so many things.

I have but one puzzlement...

First, it states: "Taxes and tariffs remain your responsibility to pay, and the shipper will contact you to collect these costs prior to delivery." *Prior to delivery.*

Then, it states: "...and will collect any applicable import duties directly from the recipient upon delivery." *Upon delivery*

So, it sort of looks like the shipper will contact you about collection before delivery, then get the payment at delivery? In other words, when do I pay? Kind of looks like I pay at delivery, but could also be interpreted as having to pay the shipper beforehand and the wording was just a little garbled.

Other than that, you've solved pretty much all puzzlement I still had about how it all works.

A huge thank you!

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Another e-mail re. US tarrifs, this time from an Irish model train manufacturer.

VERY different. Please note the different approaches by some different delivery companies (!)

Important Update on Accurascale and IRM Shipments to the United States

We would like to inform you of an important change affecting shipments to the United States.

First and foremost, we fully understand that the current tariff situation with the U.S. remains fluid and subject to change. We want our U.S.-based customers to continue enjoying our models, and we encourage you to place and maintain pre-orders regardless of the current landscape. When your model comes into stock, you can assess the prevailing tariff conditions at that time and cancel your order if necessary.

For those who are not aware, the US government has suspended the ‘De Minimis’ tariff exemptions which covered many goods entering the US valued below $800 USD.

We do not collect any applicable taxes and tariffs when you place orders with us direct, and we do not intend to change this. Taxes and tariffs remain your responsibility to pay, and the shipper will contact you to collect these costs prior to delivery.

In the meantime, we have an important update regarding future shipping procedures:

Effective August 29, 2025, USPS will require all international shipments entering its network to have U.S. customs duties prepaid. Unfortunately, this new regulation places a significant administrative burden on both our team and our warehouse provider.

As a result, we will no longer be able to offer shipping via Royal Mail or FedEx International Connect (FIC), as both rely on the USPS network for final delivery.

Going forward, we will continue to ship to the United States using DHL and FedEx Express on a Delivered Duty Unpaid (DDU)basis. These carriers are equipped to manage customs clearance and will collect any applicable import duties directly from the recipient upon delivery .

Please note that these courier services are more expensive than Royal Mail. Therefore, shortly before your pre-ordered item arrives at our warehouse, we will contact you to confirm whether you would like to:

Proceed with shipping via DHL or FedEx at an additional cost; or

Cancel your order for a full refund.

We understand that this situation may be frustrating and truly appreciate your patience and understanding. While this change may be inconvenient, we believe it is in our customers’ best interest to wait for further updates, as regulatory decisions may still evolve in the coming months.

If you have any questions or concerns, please don’t hesitate to contact our customer service team.

The tariffs are what they are, we will just have to deal with them.