37.5% duty charged on Ascilab speakers shipped to US [Resolved]

[MarkS]

I received my Ascilab C6B speakers a few weeks ago. I paid $1145 for them, including FedEx shipping.

Today I received a bill from FedEx for $429.38 for a 37.5% duty charge:

Mod Edit: Problem seems to be resolved. FedEx assumed the origin was China and hence the higher tariff. Company has provided proof of manufacturing in Korea so tariff will be reduced hopefully to 15%.

 

[mj30250]

 

[kyuu]

I received my Ascilab C6B speakers a few weeks ago. I paid $1145 for them, including FedEx shipping.

Today I received a bill from FedEx for $429.38 for a 37.5% duty charge:


View attachment 468927

Is that a bill or just an FYI thing? I've heard of others getting similar but that it wasn't something they had to actually remit to the carrier.

 

[DVDdoug]

BUMMER! Nasty surprise.

I'm not a lawyer but I don't see how they can charge you if you don't have and agreement or contract with them... You're just the recipient. Although, there may be "fine print" on the receipt when you signed for delivery. Or, maybe you agreed to the fine print when you purchased it...

 

[bachatero]

I'm not a lawyer but I don't see how they can charge you if you don't have and agreement or contract with them... You're just the recipient.

This is true, because FedEx (or UPS?) recently reported a massive operating loss due to unpaid tariff bills, because it's possible to default on them with few to no consequences

 

[Steven Holt]

This is awful, it's going to kill the company.

 

[bachatero]

This is awful, it's going to kill the company.

"There are no tariffs if you build inside the US"

 

[MarkS]

Is that a bill or just an FYI thing? I've heard of others getting similar but that it wasn't something they had to actually remit to the carrier.

It's an actual bill. There are instructions for various ways to pay.

 

[amirm]

Different carriers handle this differently. DHL will not deliver unless you pay in advance with threat of destruction or return to sender in 5 days and such. FedEx is mixed, sometimes demanding payment at delivery and other times, sending a bill after the fact. UPS has been sending me a bill just like OP.

 

[JSmith]

Today I received a bill from FedEx for $429.38 for a 37.5% duty charge:

I wouldn't pay it for now... if they chase it up just claim you never received the letter. I assume this was regular post and you didn't sign for that letter?


JSmith

 

[amirm]

The current tariff rate is 15%. OP must have been hit with the interim 35% before it was renegotiated down.

 

[DVDdoug]

"There are no tariffs if you build inside the US"

I think he's taking about Fed-Ex (etc.). It's not going to "kill them" but they may be hurt. Eventually, they'll have to adapt and get the recipient's approval before delivery. And there will be costs for returned shipments.

 

[Steven Holt]

"There are no tariffs if you build inside the US"

Look man, I'm tired I have a mild headache and I'm not gonna get into this with you I'll just say that the only speaker I know built in the US is Zu Audio and I'll be goddamned if I ever buy any of their shit I'll throw all my gear out first everything in our hobby is imported one way or the other THAT'S IT I'M OUT

 

[Guddu]

It's an actual bill. There are instructions for various ways to pay.

Seems like you are confident in saying this, but it’s worth checking and confirming with FedEx once

 

[amirm]

I'm not a lawyer but I don't see how they can charge you if you don't have and agreement or contract with them...

I am not a lawyer either. But you are the importer. By law you are the entity that has to pay.

 

[amirm]

Seems like you are confident in saying this, but it’s worth checking and confirming with FedEx once

I guarantee you that it is a true bill as I have paid a number of these in the past. Seeing how FedEx is not holding up the shipment like DHL does, I would not penalize them by not paying as then they would have to.

 

[Sokel]

There's something wrong there.
It says Chine and HK not KR.

Tariff for KR is 15% according to the calc:

 

[Sokel]

Look man, I'm tired I have a mild headache and I'm not gonna get into this with you I'll just say that the only speaker I know built in the US is Zu Audio and I'll be goddamned if I ever buy any of their shit I'll throw all my gear out first everything in our hobby is imported one way or the other THAT'S IT I'M OUT

Rockport, Aerial Acoustics (some of my favorites), etc.
More and more of course.

 

[MarkS]

The current tariff rate is 15%. OP must have been hit with the interim 35% before it was renegotiated down.

I thought it was at 15% at the time I ordered. Apparently I got the dates wrong.

Also, I thought tariffs were based on the manufacturer's cost, not the retail price (including shipping in this case).

I recently bought a watch from a small maker in Europe for $2500, and was charged a 10% duty by DSL on a stated manufacturer's cost of $2000. (And I had to pay before delivery: as @amirm says, this is DHL policy.)

 

[MarkS]

There's something wrong there.
It says China and HK not KR.

Good point!

Perhaps the speakers are manufactured in China, and this is a pass-through tariff?