Clothing purchasing is seriously frustrated forced price increases: more than 50 yuan tax!

The Business News Agency reported on September 3 that according to the latest data from the China Electronic Commerce Research Center, the transaction volume of the domestic overseas purchasing market reached 7.82 billion yuan by the end of June this year. However, a new customs regulation introduced on September 1 has significantly impacted this sector. Starting September 1, the customs duty exemption for overseas postal items was reduced from 500 yuan to just 50 yuan. This change has had a major effect on the apparel purchasing market, particularly for those who rely on importing clothes from abroad. The General Administration of Customs explained that under the "Customs Law," different rules apply to goods and articles. Items imported via postal services are considered "non-trade" and cannot be resold or leased once they enter China. Therefore, any clothing purchased overseas with the intent to sell is treated as commercial goods and must be taxed accordingly. According to the new policy, postal items valued over 50 yuan will be subject to full import tax. For items falling into the second-tier 20% tax bracket—such as textiles and clothing—the tax applies to the total value of the goods. If the purchase exceeds 50 yuan, the excess amount is taxed at 20%. This means that even small purchases now come with higher costs, which directly affects the profit margins of overseas purchasing businesses. Currently, there are three main channels through which overseas purchases are made: first, friends and family abroad buy and mail items back; second, consumers place orders directly from international shopping websites and use express delivery services; third, individuals such as flight attendants, tour guides, foreign employees, and international students act as personal couriers. These channels have traditionally allowed for lower costs and easier access to foreign goods. Under the new policy, the tax exemption limit for personal items brought in by travelers has also been adjusted. Residents can bring up to 5,000 yuan worth of goods, while non-residents are limited to 2,000 yuan. Certain items like cosmetics, alcohol, and 20 specific products are still subject to taxation regardless of the limit. This change has made it more difficult for individuals to import goods without paying additional fees. For online overseas purchasing businesses, the increase in tariffs on personally mailed items has led to higher retail prices, which could reduce demand and impact their profitability. Most overseas-purchased clothing is high-end, with even the cheapest items costing around 300 yuan. Before the policy change, the cost of a casual CK series shirt was about 270 yuan after taxes and shipping, allowing for a 10% profit margin of 27 yuan. After the tariff hike, the additional 44 yuan in taxes makes it nearly impossible to maintain the same profit level unless prices are raised. As a result, many overseas purchasing companies have either increased their prices or exited the market. In Chongqing, over 20 purchasing companies have reportedly paused operations since the policy took effect. On Taobao, the number of stores labeled as “overseas purchasing” has surged to 38,304, many of which are run by students or relatives abroad. These sellers are highly sensitive to customs regulations and some have already started clearing inventory before the policy change. However, due to the fast-changing fashion trends and seasonal nature of clothing, inventory management remains challenging. To cope with rising costs, many purchasing stores are now focusing on developing personal shipping channels to keep prices competitive. Some industry experts believe that this tariff adjustment marks the end of the era of high-profit overseas purchasing. While it may be harder for large-scale operations, smaller players like flight attendants and international students might still find opportunities in this evolving market.

Short Dress

Short Frock For Ladies,Short Frock,Short Dresses For Women,Short Sleeve Dress,floral dress

Taizhou Osley Garments Co.,Ltd , https://www.osleyapparel.com