Chinese companies underestimate the cost of goods for the duties of us – ft

This training disrupts the efforts of the United States to restore production to the country – one of Trump’s main activities. At the same time, it can temporarily reduce prices for American buyers.

Chinese manufacturers avoid American duties, which artificially overthrows the cost of goods that come to the United States. It reports about it Financial periods On Tuesday, May 6.

The suppliers of small American companies offer a DDP scheme (delivery along with duties), allowing us to “officially” obtain payment of duties, and in fact, fake the cost of the goods or their description.

This training gives you to significantly reduce the cost of imports for American companies, but in fact it is customary fraud, which is difficult to fight the US government. The scheme is especially popular with Chinese chemical manufacturers and packaging materials working in small businesses in the USA.

“We are increasingly seeing how Chinese factories offer to pay duties for American companies, and then sell goods at a price, which is less than the actual amount considering the fees,” said Ryan Petersen, CEO of the logistics platform Flexport.

Attorney Den Harris, who advises American companies to buy products in China, called it “a simple tariff prevention.” He added that even if federal prosecutors could be persecuted by American companies participating in the scheme, Chinese partners could be held responsible for justice.

Participants in the market admit: it creates uneven conditions. Aaron Rubin, owned a logistics company Shiphero and distributed distribution for martial arts 93 brandsIt is said that he received proposals for the full incidence of Chinese suppliers’ duties.

“They told me:” We will pay 100% of the duties. Not a single account will come to you, ”he said.

Rubin emphasizes that it puts honest imports in a disadvantage.

“I can’t pay 175% of duties, if only competitors can avoid them. My product becomes incomplete.”

Another American businessman who owned food making in California told FT that his Chinese supplier has directly suggested to change the cost of goods to accounts to reduce custom accruals.

“My choice is to either burn people or participate in fraud,” he said.

Separate Chinese companies have been recorded even as a foreigner who imports a record, making them formally responsible for the duties. The United States is one of the few countries where importers can register without continuous existence in the country, which pays a minimum of collateral. This is significantly complicated by the persecution of such companies through courts outside the United States.

Back in 2008, the government’s reporting indicated that the Ministry of Justice had almost no chance to successfully recover under the duties of foreign companies on foreign ships. The problem is that has been -reyised in the report Heritage Foundation “Project 2025”, which is the basis of some Trump team politicians. The document recommends forcing such imports to pay promises that exceed the custom rate or register possessions in the United States.

Kalery Milford, owned by an American company No tox lifeThat imported packaging from China, it was confirmed that suppliers also suggested to hide the true value of the goods. After the introduction of increased tariffs in February 2024, he asked how much the cost would increase. Most replied.

“The price will barely change, as we use the DDP and underestimate the cost of custom.”

Louisiana Senator Bill Cassidi, who has long called customs reform, says he is preparing a bill that should strengthen transparency in international supplies. He plans to submit a document this year.

In response to the request of the FT, the US Customs and Border Service (CBP) said he used all available tools, including the President’s new powers, and would introduce strict penalties provided by law.

Keep in mind that the PRC does not eliminate the public from the duties of 125% for some semiconductors performed in the United States. This is due to the fact that Beijing is trying to soften the blow of the trade war in the technological industry.

China warns countries from trade with the United States to the Beijing destruction

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