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Starfall Restock Delay | February 2025
Hello everyone!
This isn’t something we’d normally write a blog post about, but since it affects our scheduled restock, we figured it best to explain what’s going on.
Update (February 14th, 2025): As of February 14th, 2025 de minimis exemptions have been continued. Business as usual until further notice!
tldr;
- Trump is acting too fast, putting stress on the existing customs systems.
- The e-commerce industry is responsible for tens of millions of de minimis shipments crossing the border annually.
- Without de minimis exemptions, millions more shipments must be processed at the border.
- Major congestion is occurring at the US border because they were unprepared to handle more stringent customs processing on millions of “de minimis” shipments
- De minimis means “lacking significance or importance” and refers to any import valued under $800.
- We’ve chosen to delay the restock to minimize the risks of lost packages, unfair customs charges, and poor customer experience.
Carmico hasn’t immediately felt the effects of border issues yet, but many of our peers have. There are also reports of millions of packages being held at the border awaiting customs processing. Many packages are being seized at the border or returned to the sender, impacting consumer experience and also imposing additional costs upon businesses.
In a desperate effort to reduce congestion, the border refused millions of packages of Chinese origin this week. This isn’t just about recently imposed tariffs—tariffs on imported goods have been in place for decades—the backlog at the border is specifically caused by the cancellation of the “de minimis” clause which allows imports under $800 to be allowed into the country without processing taxes (tariffs and duties) and minimal inspection.
De minimis is adapted from a Latin phrase and is used to describe things that lack significance or importance. Our goods are not insignificant, the term is simply used to describe small imports that have a minor impact on the greater economy. It also serves as a tool to reduce border congestion. Since there are so many small, “insignificant” packages crossing the border on a daily basis, processing every one of them with the same scrutiny required for higher-value shipments requires intense resources and time.
This is exactly why we’re seeing congestion at the border and why we’ve chosen to delay the restock. There’s a lot of uncertainty right now. Trump reinstated de minimis today to help clear congestion at the border which could mean no tariffs for you during the delayed restock (a silver lining). It’s unclear when he will cancel de minimis again, but we want to be certain that border services are stable before a big launch.
We planned to explain everything in detail but thought it better for you to get it from the sources that know the ins and outs. Browse the resources below for the bigger picture:
- A series of posts from a dedicated cross-border shipper experiencing the effects firsthand and working tirelessly for solutions.
- A brief timeline and summary of the ‘De Minimis’ exemption.
- How the de minimis repeal has impacted supply chains and why Trump chose to pause it.
Why We Are Delaying Instead of Rushing the Restock
We’ve opted to delay the restock after carefully weighing all options and considering the long-term implications.
Here’s why the delay is necessary:
- Customs and Compliance Issues: Customs procedures can be lengthy and are often unpredictable, especially during times of high congestion. Trying to expedite shipments could lead to errors, potential non-compliance with regulations, and even fines. The delay gives us the time we need to ensure all shipments clear customs properly and meet regulatory requirements.
- Ensuring a Smooth Customer Experience: As much as we want to have products available to you as soon as possible, we also want to avoid any confusion or frustration. Yes, if we launched tonight, you might have it sooner, but you also might have to deal with unfair border-related delays and costs.
- Potential Returns Issues: There are some uncertainties regarding the imposed HTS Code rework that may impact our returns and exchange process. We need time to speak with our industry contacts to make sure returns are unaffected.
- Reducing Margin for Error and Unnecessary Costs: Restocking tonight runs the risk that border services continue to reject packages. Packages have a higher chance of getting lost in transit and the ones that are returned to us will need to be reshipped. Reshipped packages would be paid for out of pocket by Carmico and would mean we’d be paying double: two labels for one package to ship twice.
- Volume: All of this ultimately comes down to volume. The store will remain open to US orders for the coming week under the assumption that there may be some disruptions to the experience. It’s better for us to have a small set of issues that we can dedicate to resolving than to open a sizable restock and have to deal with many issues all at once.
We know that many of you are eagerly awaiting the restock; we share your frustration. Restocking is our highest priority, but we must ensure that it arrives safely and in the best condition possible. Rushing shipments amid uncertain customs regulations is too high a risk to justify the reward.
The plan is to delay the restock until next Friday. In the interest of transparency, we can’t afford to delay this restock for too long. If US regulations are still uncertain by the end of next week, we may be forced to suspend shipments to the US until the clouds clear.
We will keep you informed if anything changes in the next week! Keep an eye on this blog and our socials for updates.
As always, thanks for your love, excitement, and support for Carmico.
The CarmiCrew