UK firms warn over US small parcel tax

Charlotte Edwards and Emer MoreauBusiness reporters, BBC News
Helen HickmanThe UK firms warn that new taxes on sending low -valuable parcels to the United States bring uncertainty and potential price increases for their businesses.
US President Donald Trump means that the parcels valued under the $ 800 (£ 592), which interrupts the exemption of “de minimis”, will be subject to tax on Friday.
The Federation of Small Enterprises has warned that it will increase costs and create new obstacles for small companies in the UK, trying to compete with larger brands.
Helen Hickman, who stopped sending wool to the US due to uncertainty about costs, said, “I knew this would be an absolute chaotic mess.” He said.
The Western Wales made about 30% of his sales to the United States, the hand -painted wool company in Carmarthshire, to the United States – but put them on waiting.
“I don’t know enough to say that I can send it normally, or he says. “There is no way to give the customer an open cost.”
“I didn’t want the products to be overloaded or return to me or lose, or he says.
Helen HickmanThe changes will face the same tariff ratio as the average of the packages valued below $ 800, for the UK, which is 10% – with other goods in origin countries.
Previously, the minimis exemption meant that goods of $ 800 or less could enter the US without paying a border tax.
US consumers exempted to buy cheap clothes and household goods from online trade sites such as Shein and Temu and from countries outside China.
However, as of Friday, a typical $ 100 order, depending on the final sales tax ratio adopted by US officials, may now be exposed to $ 30 to $ 50. “He says.
“Beyond that, brands will encounter extra fees to address duties and taxes from shipping providers,” he says.
At the beginning of this month, postal services around the world paused some deliveries to the US due to confusion around the new rules.
Royal Mail says that he works with US officials and international partners, so that his services will meet the minimis requirements in the new US when they come into force on Friday.
Jay Begum sells handmade wooden decorations and gifts through London -based small work nodes.
Since President Trump announced the tariffs earlier of the year, he had noticed slowing down in orders from the United States, because he generally made American customers more tense.
But now the minimal tax change has an even greater impact and he decided not to be sent to the United States at all.
It is an important hit, while constitutes approximately 20% of the country’s sales. “Now I only have a England market, or he says.
If Jay cannot start selling to the US again, he will have to put more money for marketing to increase local sales.
“It would be a lot to get back the sales I lost.”
“Small companies in the United Kingdom have already been shot by US tariffs, and a little more than two of them are standing there,” Tina McKenzie, the head of the policy of the Federation of Small Enterprises, is exporting there. “
The authority added: “The decision of the US administration to scrape the minimis threshold will increase costs and create new obstacles with the post carriers that temporarily suspend the delivery.”
Statistics published by HMRC show that approximately 28,000 small enterprises – companies with less than 49 employees in 2023 have exported to the United States.
‘I may have to find another job’
Sophie Arnold runs a small jewelry business, running a small vintage emporium in Edinburgh, and stopped sending to the United States when she heard that the exemption of $ 800 has ended.
He says it will have a negative impact on his job.
“America is our main market,” he adds.
Arnold thinks that the “big strikes” in the antique world may have financing to pay extra tasks, but smaller businesses like him will suffer.
“I may need to go back to an office or do other things and not run my job full -time,” he says.
The FSB says he wants the British government to provide more support.
Ms. McKenzie, a tax -exempt for ordinary income – from £ 1,000 to £ 3,000 £ increasing the increase in trade allowance “facilitating people to sell more, will help to cope with the extra costs of tariffs,” he said.
“Britain and the United States must have been working together to facilitate the access to customers in Atlantic. This means open, practical rules, the time to adapt and systems to act.”
BBC, England Treasury asked for a comment.
In April, the United Kingdom announced that he had reviewed his minimis rules.
Low valuable imports, £ 135 or less, are currently exempt from customs duties.





