Trump Low-Key Cancelled a Loophole and Now Canadian Biz is Big Mad 💀
Trump killed a tariff exemption for small shipments and now Canadian businesses are scrambling. So, Trump pulled a sneaky one and killed this thing called "de minimis," which let small packages slide into the US without getting taxed. Now Canadian businesses are scrambling like they forgot their hom
TL:DR
So, Trump pulled a sneaky one and killed this thing called "de minimis," which let small packages slide into the US without getting taxed. Now Canadian businesses are scrambling like they forgot their homework was due. They gotta find ways to not get bent over by these new fees. It's a whole mess.
The Tea
Okay, fam, listen up. Apparently, back in the day, Trump was like, "Imma end this de minimis thing," which basically meant if you were shipping stuff worth less than $800 to the US, you were chillin' and didn't have to pay extra. Now, that's dead. 💀
So, what's the big deal? Well, tons of Canadian businesses, especially the small ones, were living for that exemption. Now they're stressing because they might have to pay duties (aka extra fees) on stuff they send to the US. Imagine tryna sell your handmade candles and suddenly Uncle Sam wants a cut. Not the vibe. 🙅♀️
These businesses are brainstorming solutions faster than you can say "supply chain issues." Some are thinking about renting warehouse space in the US. Others might have to raise their prices, which nobody wants. And some are trying to get certified under this agreement called CUSMA, which could maybe help them dodge the fees. It's all very "figure it out as you go."
Word on the street is, this whole thing started back in 1938 to avoid taxing tiny imports. Over time, the limit went up and up, hitting $800 in 2016. But now it's gone. Poof. 👋
Some people are saying this is all about stopping the flow of illegal stuff, like fentanyl, into the US. Others think it's just a bad move that's gonna hurt small businesses on both sides of the border. 🤷♀️
Oh, and here's a plot twist: there might be a legal challenge coming. If a court decides these tariffs are sus, the de minimis exemption could make a comeback. But for now, it's a waiting game.
Trade experts are predicting higher shipping costs, longer waits, and overall bad vibes for small businesses. Some countries have even pressed pause on shipping to the US while they try to figure out what's going on. Chaos, am I right?
Canada Post is about to be on it, apparently. They're gonna use some third party for processing all these fees and duties in order to make this a smooth transition. For the most part, products from Canada to the USA will be taxed at 35% now. Good news tho, documents and gifts under US$100 sent by individual Canadians will be exempt from the duty.
Abbreviations Glossary
| Abbreviation | Full Form |
|---|---|
| Low-key | Subtly, to a small extent. |
| Big Mad | Very angry. |
| 💀 | I'm dead / dying (from laughter or shock). |
| The Tea | Gossip; important information. |
| Fam | A close friend or group of friends; short for "family." |
| Chillin' | Relaxing, doing nothing. |
| Bent over | taken advantage of |
| Uncle Sam | The United States government. |
| Not the vibe | Negative or unwanted feeling or atmosphere. |
| Brainstorming | Thinking of ideas, problem solving. |
| Figure it out as you go | Act without a plan. |
| CUSMA | Canada-United States-Mexico Agreement. |
| Word on the street | Rumor, gossip. |
| Sus | Suspicious. |
| Pressed pause | To halt or discontinue something. |
| Chaos | complete disorder and confusion. |