Note: This topic is changing quickly and we’re going to be keeping this post up-to-date as best we can. Last update: April 14, 2025 at 7:27 AM ET.
The U.S. government has recently made some major changes to its trade policy. Most of this has been in the context of tariffs, which are taxes charged on imported goods.
Changes to U.S. trade policy have been coming at a steady clip since the second Trump administration began. But the recent changes coming as part of the April 2, 2025 announcement (dubbed “Liberation Day“) are different, both in terms of scope and speed of implementation.
Long story short, a 10% tariff is about to be applied across the board to all imported goods, regardless of origin. Many countries are on the hook for much larger tariffs, China notably included, and we have a full chart in image, table, and downloadable CSV format below.
Another big change coming is the removal of the de minimis exemption. This exemption allowed goods valued under $800 could to enter the U.S. duty-free—a rule that benefited thousands of eCommerce sellers and Kickstarter creators who rely on affordable overseas production. This is the exemption that made it possible for U.S. consumers to buy directly from China via Temu and Shien.
With that exemption about to be eliminated, even small shipments will be subject to customs charges. Costs are likely to go up and international sourcing is going to become trickier for businesses that rely on it.
For eCommerce brands and Kickstarter creators, these changes are going to have a large impact. As mentioned just a moment ago, sourcing from abroad is now more expensive, and the financial hit is likely to be especially tough on startups and small businesses operating on tight margins.
Still, in the face of big policy changes like these, it’s important to keep a cool head and gather information. That’s why in this post, we’ll cover key takeaways, a full breakdown of the tariffs, and FAQs on how the tariffs will affect eCommerce and Kickstarter brands—and what you can do about it.
Shipping orders and worried about tariffs? Contact Fulfillrite to learn more about our tariffs assistance service.
Summary of Updates Since Original April 2, 2025 Announcement (Updated April 21, 2025 3:27 PM ET):
We originally published this blog post on April 4, following the initial announcement of tariffs on April 2. Since then, we have updated it several times to document changes as they occur.
You can find our analysis of the initial announcement as well as our updates from April 4 to April 21 below, with the most recent updates on top. For now, here are the main things you need to know about tariffs as they stand as of April 21:
- Semiconductors and Electronics: President Trump issued a memorandum clarifying that semiconductors are officially exempt from the new reciprocal tariffs imposed under Executive Order 14257 and its subsequent amendments. This exemption includes products classified under various headings and subheadings of Chapters 84 and 85 of the Harmonized Tariff Schedule of the United States, covering items like smartphones, laptops, and other electronics.
- Tariffs on China: Imports from China are subject to a cumulative tariff of 145%, comprising a 125% reciprocal tariff and an additional 20% tariff related to fentanyl-related policies.
- 90-Day Tariff Pause: The U.S. has announced a 90-day postponement of the anticipated tariffs originally scheduled to take effect on April 14, 2025, for most countries, excluding China. During this period, a baseline 10% tariff remains in effect for imports from these countries.
- Increased Duties: Effective May 2, 2025, postal items shipped from China or Hong Kong will face a 90% ad valorem tariff or a specific duty of $75 per item, whichever is higher. This amount will increase to $150 per item after June 1, 2025.
- Cost Increases: The elevated tariffs on Chinese imports are expected to lead to higher prices for consumers, particularly for goods commonly purchased through e-commerce platforms.
-
Supply Chain Adjustments: Businesses reliant on Chinese manufacturing may need to explore alternative supply chains or absorb increased costs, potentially affecting product availability and pricing.
Updates as of April 21, 2025 (3:27 PM ET):
- DHL Express is suspending the delivery of business-to-consumer goods to the U.S. valued at more than $800. This is due to complications associated with collecting the required tariffs for these items.
- The new tariffs are creating novel issues with customs bonds. This is complex, so here are some notes to understand:
- A customs bond is a financial guarantee that ensures importers will pay all required duties, taxes, and fees when bringing goods into the U.S.
- Having this bond protects U.S. Customs and Border Protection (CBP) in case the importer fails to pay.
- If you’re bringing goods into the U.S., now is the time to reevaluate your bond coverage and prep for what’s ahead.
- Importers with standard $50K bonds are now hitting limits fast.
Updates as of April 15, 2025 (7:25 AM ET):
President Trump issued a memorandum clarifying that semiconductors are officially exempt from the new reciprocal tariffs imposed under Executive Order 14257 and its subsequent amendments. Specific semiconductor products listed by Harmonized Tariff Schedule codes will not be subject to additional duties, and any tariffs already collected on these items since April 5, 2025, will be refunded. The memo also authorizes key officials to use powers under the International Emergency Economic Powers Act to implement the executive orders in line with this clarification.
Updates as of April 14, 2025 (7:27 AM ET):
According to our shipping partner Asendia, “as an update to our previous communications, we want to inform you that the U.S. government has announced a 90-day postponement of the anticipated tariffs originally scheduled to take effect on April 14, 2025. In response, the European Union has also delayed the implementation of its corresponding tariffs. This temporary reprieve offers additional time for businesses to prepare, and we will continue monitoring the situation closely.”
Please note that the tariffs on China are still in effect, at a total rate of 145%. That’s 125% for the Reciprocoal Tariff plus 20% for the IEEPA tariff from February 2025.
Update as of April 10, 2025 (3:36 PM ET):
This section is taken verbatim from a newsletter sent to us by DHL.
- Temporary Pause on Additional Tariff Increases: Good news! The reciprocal duty rate increases announced on April 2, to be effective April 9, have been paused for 90 days for 75 countries, including Canada and Mexico. These tariffs were on goods imported into the U.S.
- Ongoing 10% Tariff: The 10% tariff that went into effect on April 5 will remain in place for all countries shipping inbound to the U.S.
- China’s Retaliatory Tariff: In response to the evolving situation, China has implemented an 84% tariff on goods manufactured in the U.S. entering their market.
- U.S. Retaliation to China’s Tariff: The U.S. has responded by imposing an immediate 125% tariff on all goods manufactured in China entering the U.S.
- EU Retaliatory Tariffs: The EU had planned to implement retaliatory tariffs in stages, with some set to go into effect on April 15, others on May 15, and additional tariffs on December 1. However, these tariffs have also been paused for 90 days. The EU Commission has not yet provided a list of the goods affected.
- Postal Channel Updates: For those utilizing postal channels, note that the applicable duty rate for all postal items shipped from China or Hong Kong will increase to a 90% ad valorem tariff on the value of postal items effective May 2; or a specific duty of $75 per postal item will apply for goods entering from May 2 until June 1. After June 1, this amount will increase to $150 per postal item.
Updates as of April 9, 2025 (2:37 PM ET):
- President Trump has temporarily paused the Reciprocal Tariffs. That does not mean tariffs have been cancelled altogether, but rather much of the initial tariff information is now out of date.
- “Trump didn’t back off fully, keeping 10% baseline tariffs in place while increasing tariffs on China to 125%” according to reporting by Axios.
Update as of April 9, 2025 (7:00 AM ET):
- The Reciprocal Tariff for products from China has increased from 34% to 84%. This brings the total tariff levied on China to 104%, effective today, April 9, 2025.
- Steel and aluminum products are still exempt from tariffs. However, there is some remaining ambiguity for products partly made out of steel or aluminum, and importers will need to decide whether to apply the exemption for these products.
- Articles exempt as part of Annex II are still exempt. Using email updates sent to us by GWL Corp. as our source, this includes “articles of copper, pharmaceuticals, semiconductors, lumber articles, critical minerals, and energy and energy products.”
Update as of April 8, 2025:
- “[Treasury Secretary] Scott Bessent says up to 70 nations want to negotiate over Trump’s tariffs” according to an article published late yesterday in Fox Business.
- A dozen House Republicans mull defying Trump on tariff bill” according to Axios. Currently, the House of Representatives is narrowly split between 220 Republicans and 213 Democrats. Republicans have control of the House, but only narrowly. It takes 218 to pass a bill, but in order for this to happen, the buy-in of Speaker of the House, Mike Johnson, would be required. Reporting at Politico suggests that at the present time, this seems unlikely.
- International carriers including DHL and FedEx are beginning to collect tariffs as part of the customs clearance process. Surprised customers have reported receiving invoices for purchases made prior to the announcement of the tariffs.
Update as of April 7, 2025:
- After the initial conference, Annex I, II, and III were released with more information. The information found in Annex I contained a full list of countries affected by tariffs, which you can find below.
- Annex II showed that certain products are exempted from the Reciprocal Tariff. A full list of exempted products can be found on the White House website. The list is a very long one, but in general, the products included tend to skew toward natural resources, energy, chemicals, industrial compounds, metals and alloys, wood, and certain component parts of advanced manufacturing and electronics like diodes, transistors, and circuits.
- Annex III provides additional details for importers. You can also find that here on the White House website.
Analysis of Initial Reciprocal Tariffs Announcement
Quick Takeaways for Ecommerce & Kickstarter Brand Owners (Last Updated April 4)
- In February 2025, President Donald Trump signed executive orders imposing a 25% tariff on imports from Mexico and Canada, and a 10% tariff on imports from China. The stated goal of the administration was to reduce issues caused by illegal immigration and drug trafficking. A lower 10% tariff was applied to energy resources from Canada.
- On April 2, 2025, dubbed “Liberation Day,” the administration announced a 10% universal tariff on all imports, starting on Saturday, April 5, 2025. About 60 countries will see tariffs above 10%. The stated goal of the administration is to remediate unfair trade practices. In one notable example, China will be subject to a total tariff of 54%.
- Effective May 2, 2025, the U.S. revoked the de minimis exemption for imports from China and Hong Kong. This exemption allowed packages valued under $800 to enter the U.S. duty-free. Going forward, imports will be subject to a 30% duty or a $25 per item fee, whichever is higher, with the per-item fee set to increase to $50 after June 1.
- These tariff changes have significant implications for eCommerce platforms and Kickstarter campaigns that rely on low-cost imports from China and Hong Kong. Consumers may experience higher prices and longer shipping times as a result.
A Full Breakdown of the U.S. Reciprocal Tariffs Announced on April 2 (Currently Paused as of April 15)
To help you make good choices when it comes to sourcing and purchases, we’ve provided a full breakdown of the new U.S. tariffs. These charts are accurate as of April 2, 2025 and are actively in flux.
For your convenience, we have also included a full breakdown in table form as well. You can also download this as an Excel spreadsheet.
| Country | Tariff to U.S. | U.S. Tariff |
|---|---|---|
| Afghanistan | 49% | 10% |
| Albania | 10% | 10% |
| Algeria | 59% | 30% |
| Andorra | 10% | 10% |
| Angola | 63% | 32% |
| Antigua & Barbuda | 10% | 10% |
| Argentina | 10% | 10% |
| Armenia | 10% | 10% |
| Aruba | 10% | 10% |
| Australia | 10% | 10% |
| Austria | 39% | 20% |
| Azerbaijan | 10% | 10% |
| Bahamas | 10% | 10% |
| Bahrain | 10% | 10% |
| Bangladesh | 74% | 37% |
| Barbados | 10% | 10% |
| Belarus | 100% | 50% |
| Belgium | 39% | 20% |
| Belize | 10% | 10% |
| Benin | 10% | 10% |
| Bermuda | 10% | 10% |
| Bolivia | 20% | 10% |
| Bosnia & Herzegovina | 70% | 35% |
| Botswana | 74% | 37% |
| Brazil | 10% | 10% |
| Brunei | 47% | 24% |
| Bulgaria | 39% | 20% |
| Burkina Faso | 10% | 10% |
| Burundi | 10% | 10% |
| Cambodia | 97% | 49% |
| Cameroon | 22% | 11% |
| Canada | 10% | 10% |
| Cayman Islands | 10% | 10% |
| Chile | 10% | 10% |
| China | 67% | 34% |
| Colombia | 10% | 10% |
| Comoros | 10% | 10% |
| Costa Rica | 17% | 10% |
| Côte d'Ivoire | 41% | 21% |
| Croatia | 39% | 20% |
| Curaçao | 10% | 10% |
| Cyprus | 39% | 20% |
| Czech Republic | 39% | 20% |
| Denmark | 39% | 20% |
| Djibouti | 10% | 10% |
| Dominica | 10% | 10% |
| Dominican Republic | 10% | 10% |
| East Timor (Timor-Leste) | 10% | 10% |
| Ecuador | 12% | 10% |
| Egypt | 10% | 10% |
| El Salvador | 10% | 10% |
| Equatorial Guinea | 25% | 13% |
| Eritrea | 10% | 10% |
| Estonia | 39% | 20% |
| Eswatini (Swaziland) | 10% | 10% |
| Ethiopia | 10% | 10% |
| Falkland Islands | 82% | 41% |
| Fiji | 63% | 32% |
| Finland | 39% | 20% |
| France | 39% | 20% |
| French Guiana | 10% | 10% |
| French Polynesia | 10% | 10% |
| Gabon | 10% | 10% |
| Gambia | 10% | 10% |
| Georgia | 10% | 10% |
| Germany | 39% | 20% |
| Ghana | 17% | 10% |
| Gibraltar | 10% | 10% |
| Greece | 39% | 20% |
| Greenland | 39% | 20% |
| Grenada | 10% | 10% |
| Guadeloupe | 10% | 10% |
| Guam | 10% | 10% |
| Guatemala | 10% | 10% |
| Guinea | 10% | 10% |
| Guinea-Bissau | 10% | 10% |
| Guyana | 76% | 38% |
| Haiti | 10% | 10% |
| Honduras | 10% | 10% |
| Hungary | 39% | 20% |
| Iceland | 10% | 10% |
| India | 52% | 26% |
| Indonesia | 64% | 32% |
| Iran | 10% | 10% |
| Iraq | 78% | 39% |
| Ireland | 39% | 20% |
| Israel | 33% | 17% |
| Italy | 39% | 20% |
| Jamaica | 10% | 10% |
| Japan | 46% | 24% |
| Jordan | 40% | 20% |
| Kazakhstan | 54% | 27% |
| Kenya | 10% | 10% |
| Kiribati | 10% | 10% |
| Korea, North (DPRK) | 100% | 50% |
| Korea, South | 10% | 10% |
| Kosovo | 10% | 10% |
| Kuwait | 10% | 10% |
| Kyrgyzstan | 10% | 10% |
| Laos | 95% | 48% |
| Latvia | 39% | 20% |
| Lebanon | 10% | 10% |
| Lesotho | 99% | 50% |
| Liberia | 10% | 10% |
| Libya | 61% | 31% |
| Liechtenstein | 73% | 37% |
| Lithuania | 39% | 20% |
| Luxembourg | 39% | 20% |
| Madagascar | 93% | 47% |
| Malawi | 34% | 17% |
| Malaysia | 47% | 24% |
| Maldives | 10% | 10% |
| Mali | 10% | 10% |
| Malta | 39% | 20% |
| Marshall Islands | 10% | 10% |
| Martinique | 10% | 10% |
| Mauritania | 10% | 10% |
| Mauritius | 80% | 40% |
| Mexico | 10% | 10% |
| Micronesia | 10% | 10% |
| Moldova | 61% | 31% |
| Monaco | 10% | 10% |
| Mongolia | 10% | 10% |
| Montenegro | 10% | 10% |
| Morocco | 10% | 10% |
| Mozambique | 31% | 16% |
| Myanmar (Burma) | 88% | 44% |
| Namibia | 42% | 21% |
| Nauru | 59% | 30% |
| Nepal | 10% | 10% |
| Netherlands | 39% | 20% |
| New Zealand | 20% | 10% |
| Nicaragua | 36% | 18% |
| Niger | 10% | 10% |
| Nigeria | 27% | 14% |
| North Macedonia | 10% | 10% |
| Norway | 10% | 10% |
| Oman | 10% | 10% |
| Pakistan | 60% | 30% |
| Palau | 10% | 10% |
| Panama | 10% | 10% |
| Papua New Guinea | 10% | 10% |
| Paraguay | 10% | 10% |
| Peru | 10% | 10% |
| Philippines | 58% | 29% |
| Poland | 39% | 20% |
| Portugal | 39% | 20% |
| Qatar | 10% | 10% |
| Republic of the Congo | 10% | 10% |
| Romania | 39% | 20% |
| Russia | 97% | 49% |
| Rwanda | 10% | 10% |
| Saint Kitts & Nevis | 10% | 10% |
| Saint Lucia | 10% | 10% |
| Saint Vincent & Grenadines | 10% | 10% |
| Samoa | 10% | 10% |
| San Marino | 10% | 10% |
| Saudi Arabia | 10% | 10% |
| Senegal | 10% | 10% |
| Serbia | 10% | 10% |
| Seychelles | 10% | 10% |
| Sierra Leone | 10% | 10% |
| Singapore | 10% | 10% |
| Slovakia | 39% | 20% |
| Slovenia | 39% | 20% |
| Solomon Islands | 10% | 10% |
| Somalia | 10% | 10% |
| South Africa | 64% | 32% |
| South Sudan | 10% | 10% |
| Spain | 39% | 20% |
| Sri Lanka | 74% | 37% |
| Sudan | 10% | 10% |
| Suriname | 10% | 10% |
| Sweden | 39% | 20% |
| Switzerland | 64% | 32% |
| Syria | 10% | 10% |
| São Tomé and Príncipe | 10% | 10% |
| Taiwan | 39% | 20% |
| Tajikistan | 10% | 10% |
| Tanzania | 10% | 10% |
| Thailand | 90% | 45% |
| Togo | 10% | 10% |
| Tonga | 10% | 10% |
| Trinidad and Tobago | 10% | 10% |
| Tunisia | 10% | 10% |
| Turkey | 34% | 17% |
| Turkmenistan | 10% | 10% |
| Tuvalu | 10% | 10% |
| Uganda | 10% | 10% |
| Ukraine | 10% | 10% |
| United Arab Emirates | 10% | 10% |
| United Kingdom | 39% | 20% |
| Uruguay | 10% | 10% |
| Uzbekistan | 10% | 10% |
| Vanuatu | 10% | 10% |
| Venezuela | 88% | 44% |
| Vietnam | 72% | 36% |
| Yemen | 10% | 10% |
| Zambia | 10% | 10% |
| Zimbabwe | 10% | 10% |
How will the US tariffs affect eCommerce / Kickstarter brands?
New tariff rules are likely going to hit eCommerce and Kickstarter brands hard. Perhaps no brands will struggle more than those that depend on affordable manufacturing in China. One of the biggest changes is the end of the de minimis exemption for packages coming from China and Hong Kong.
This exemption used to let packages under $800 into the U.S. without paying any duty. But starting May 2, 2025, those same shipments will be charged a 30% duty or a $25 fee per item—whichever is more. And that per-item fee goes up to $50 after June 1.
For brands used to buying in small batches or shipping direct from overseas, this is a serious shift. Margins will get tighter, and pricing may have to go up. Businesses will need to take a hard look at their sourcing plans. That might mean moving production to another country, negotiating with suppliers, or even bringing some manufacturing back to the U.S. to avoid the extra fees.
Will the US tariffs increase the cost of items?
Yes—both for businesses and for customers. With the end of the de minimis exemption, a lot of the inexpensive goods that used to slip through duty-free will now face extra charges. That hits companies like Shein and Temu particularly hard, but smaller brands on Shopify and Kickstarter are affected too.
If you’re running a business, your costs just went up. If you’re a customer, you’ll probably notice prices rising, especially on things that used to be shipped cheaply from overseas. It may also take longer to receive some products, as new customs processing and added paperwork slow things down.
Will the US tariffs eliminate the de minimis expemption?
Yes, and it’s a done deal. Starting May 2, 2025, the U.S. will no longer let packages from China and Hong Kong skip duties just because they’re under $800 in value. Instead, they’ll be taxed at 30% or charged a $25 per-item fee—whichever is higher. That per-item fee rises to $50 after June 1.
This move is part of a broader effort to respond to unfair trade practices and curb the flood of ultra-cheap goods entering the U.S. market. It’s especially targeted at fast-shipping platforms and manufacturers that have taken advantage of the old system.
Will eCommerce and Kickstarter businesses still be able to buy foreign goods?
Yes, they can—but it’s going to cost more. These new tariffs don’t ban imports from China or anywhere else, but they make them more expensive to bring in. For some businesses, that’s a manageable increase. For others, it could mean changing suppliers entirely.
If you’re sourcing from China or Hong Kong, now’s the time to revisit your supply chain. Some brands may switch to manufacturers in countries not affected by the new rules, while others might explore U.S.-based options. Either way, staying profitable will likely require rethinking your approach.
What will happen to Kickstarter campaigns that are currently being manufactured in or shipped from China and other countries?
Kickstarter projects that are currently in production or about to ship from China could run into trouble. If the budget didn’t account for these new tariffs, creators may find themselves short on funds—especially if they promised free shipping or locked in low prices early on.
Delays are also possible. It may take longer to get through customs, and rising costs could force campaign creators to look for new suppliers or renegotiate fulfillment terms. If you’re in this boat, the best move is to be transparent with backers. Let them know what’s happening, what it means for the timeline, and what steps you’re taking to keep things on track.
What can eCommerce / Kickstarter brands do about US tariffs?
The new tariffs are here, and they’re not going away anytime soon. If your business relies on overseas manufacturing—especially in China—you’ll need to adapt quickly. Here are a few practical ways brands can respond and stay ahead of the curve:
#1: Diversify your suppliers.
If you’re only sourcing from one country, especially one hit hard by tariffs like China, you’re in a vulnerable spot. Now’s the time to start looking at other options.
Some businesses are shifting to suppliers in countries with better trade deals. Others are even exploring domestic manufacturing—even if it’s a bit more expensive—to avoid surprise fees and delays.
The key here isn’t necessarily moving everything at once. Even diversifying part of your supply chain can give you more flexibility and make your business more resilient to future changes.
#2: Be open and honest with your customers or backers.
If you’re raising prices or running into shipping delays, explain why. Don’t sugarcoat it—just be honest. People are more understanding when they know the facts. Backers on Kickstarter, in particular, want to feel like they’re part of the process, not just left in the dark.
A short email or update can go a long way. Let your customers know you’re dealing with new tariffs, and walk them through what that means for your timeline or pricing. Transparency builds trust—and in tough times, trust is everything.
#3: Start financially planning for tariff impacts.
If you haven’t already, start planning for how these tariffs could affect your bottom line. Take a close look at your pricing, your margins, and where you might be able to trim costs. It might be time to raise prices slightly, cut down on packaging expenses, or streamline shipping.
If you’re unsure where to start, use budgeting tools or talk with a financial advisor who understands international trade. The more you plan now, the less likely you’ll be caught off guard later.
