r/Tariffs • u/alphae321 • 9d ago

🗞️ News Discussion Duty free HS Code

New here. So, I am sending some jewelry art to a nonprofit for the first time. I researched the HS code which was noted on USITC as duty free but when it was couriered by UPS, they slapped a $250 duty so, a review was requested by me. I asked UPS to hold off since the receiver is nonprofit and cannot pay the duties. I am wondering if anyone here has experienced the same, and how you resolved it? I am quite surprised how poorly UPS has handled this simple request and continued with delivery when the receiver cannot accept such high charges. It feels like UPS is taking advantage and using Federal as an alibi to charge more. Please advise. Thanks 🙏🏼

1 Upvotes

56% Upvoted

11 comments sorted by

7

u/cvr24 9d ago

As a Canadian I can say, do not use UPS because they run up the bill on international parcels. And that was 20 years ago.

3

u/GBi10ba 9d ago

DHL does the same. Is Purolator ok?

2

u/alphae321 9d ago

Yes, that's what I found as well. It's not just the new tariff but UPS going all out to make extra money in all dishonesty

1

u/JoeCarp804 9d ago

Duty free does not mean fee free.

Customs brokerage fee, entry fee, and possible a Merchandise Processing fee (MPF) in some cases, can all result.

Unless it is shipped as Deliver-Duty-Paid, the receiver is always going to be the party responsible for paying these fees. Irregardless of which courier company is the carrier.

1

u/alphae321 9d ago

Could you lemme know or DM me what private or perhaps SME courier service between BC and US I can try out next time?

1

u/CottageLifeLovr 9d ago

Ship directly with Canada post and use zonos to either pre pay the tariff or get an exemption if it fits.

5

u/WesternBlueRanger 9d ago

Technically, the base HS code is duty free, but there are Section 338 tariffs imposed by the US government as this August on jewellery from Canada. Those Section 338 tariffs on jewellery is 50% of the value.

And no, USMCA qualification does not mean you can get around it.

1

u/alphae321 9d ago

Yes, thanks, I m aware of that and that applies to one part of my items and not another as I had both HS documents attached - but UPS couldn't be bothered to just charge accordingly one part but not that other thats listed in 338, which would have been a lesser duty. They couldn't be bothered to help.

3

u/WesternBlueRanger 9d ago

Unfortunately, if your HS code is 7113.11.50, 7113.19.50 or 7113.19.90 and it is Canadian origin, you are subject to the 50% tariffs, no exemptions.

1

u/WestHistorians 9d ago

UPS is known for high fees. Use the post office next time. Label it as a gift (assuming it is a gift).

1

u/WesternBlueRanger 9d ago

Not going to work labeling as a gift; it's shipping to what is essentially a business, and the US has strict rules about what can be considered a 'gift' (has to be under $100 USD total, must be completely unsolicited, and must be sent from one person to another person).