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Old 02-24-2015, 10:26 AM   #1
Apex Motorsports
 
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Exclamation Crossborder trade issues.

In April I will be taking a trip to DC for another round of meetings on Capital Hill concerning small business issues. This time the focus is on international trade as Congress prepares to take up Trade Promotion Authority (TPA) legislation this summer. That legislation basically lays out the rules and agenda that our negotiators have to follow while negotiating the Trans Pacific Partnership Agreement (TPP) that is about to get underway.

The reason that I bring it up with you guys is that Canada is also involved in the TPP which means right now you guys have an opportunity to influence something that many of you are not happy with; the de minimus threshold. The de minimus threshold is the minimum value of the goods transiting the border below which no duties or taxes are collected. For reference, here are the de minimus thresholds for the US and other countries we ship to regularly.

US- $200 USD
UK- 150 Euro, $198 USD
New Zealand- 400 NZD, $322 USD
Germany- 150 Euro, $198 USD
France- 150 Euro, $198 USD
Australia- 1000 AUD, $918 USD


As you may or may not be aware:

Canada- 20 CAD, $19 USD


As you can see, the Canadian de minimus threshold is a little outside the norm. Since Apex Motorsports does a considerable amount of shipping to you guys the Canadian de minimus is important to us because we know it is important to you guys. My #1 goal during the upcoming meets is to highlight the disparity between the Canadian de minimus threshold and other countries that are involved in the TPP negotiations so that we can apply pressure for change. However, only Canada can make the change.

Now is the time to speak up if this is an important issue to you. Call, write, email and let Ottawa know how you feel.
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Old 02-24-2015, 10:34 AM   #2
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One of the big issues up here is UPS. Is there away that US retailers could be educated to fill out the the UPS paperwork so were not hit with the UPS brokage fee. Which I must say is total BS and a money grab by UPS.



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Old 02-24-2015, 10:36 AM   #3
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Hmmm.
I never thought about this, to be honest.

However, Chase, if you are in DC, hit me up for a beer. Seriously.
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Old 02-24-2015, 10:37 AM   #4
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One of the big issues up here is UPS. Is there away that US retailers could be educated to fill out the the UPS paperwork so were not hit with the UPS brokage fee. Which I must say is total BS and a money grab by UPS.



That is a totally different issue. UPS is a business trying to make more money. If there is a legal way to do the paperwork that would help you guys I don't see why anyone would be opposed to that. However, that is why we use USPS/Canada Post when we ship to you guys.
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Old 02-24-2015, 10:46 AM   #5
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That is a totally different issue. UPS is a business trying to make more money. If there is a legal way to do the paperwork that would help you guys I don't see why anyone would be opposed to that. However, that is why we use USPS/Canada Post when we ship to you guys.
That's good on you for doing that, as it is as simple as stating "auto parts" and the $$$ value on the green USPS slip. Tax is tax and nobody up here should snibble about paying the tax on the mail order parts.

I'm lucky cause I have a US shipping address and generally the threshold at the crossing is $200, so under that they send you on your way, over that they send you direct to the casher with your invoice to pay the tax. Never do they charge a duty.


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Old 02-24-2015, 10:50 AM   #6
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Further on the UPS issue is the un-educated person who orders from the US and gets stung with the brokerage fee is not likely to order again. That'a a pretty Big Issue to the US retailer I'd say.

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Old 02-24-2015, 11:15 AM   #7
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Further on the UPS issue is the un-educated person who orders from the US and gets stung with the brokerage fee is not likely to order again. That'a a pretty Big Issue to the US retailer I'd say.

I completely agree. We have raised the issue of their high fees with them but at the end of the day there is only so much you can do. They are not a government entity, they are a huge publicly traded corporation that has shareholders to keep happy. In our case, we do our best to protect our customers from getting stung by not using UPS for international shipping.
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Old 02-24-2015, 11:21 AM   #8
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I completely agree. We have raised the issue of their high fees with them but at the end of the day there is only so much you can do. They are not a government entity, they are a huge publicly traded corporation that has shareholders to keep happy. In our case, we do our best to protect our customers from getting stung by not using UPS for international shipping.
So the shipper can't do the paperwork for UPS to avoid the brokage fee? It's a exclusive money grab by UPS?

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Old 02-24-2015, 11:29 AM   #9
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So the shipper can't do the paperwork for UPS to avoid the brokage fee? It's a exclusive money grab by UPS?

There is not any paperwork you can fill out to avoid it that I am aware of. We have always supplied full customs paperwork with our international shipments. It is just the fees UPS charges.
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Old 02-24-2015, 11:41 AM   #10
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There is not any paperwork you can fill out to avoid it that I am aware of. We have always supplied full customs paperwork with our international shipments. It is just the fees UPS charges.
THX for answering my question.


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Old 02-24-2015, 11:46 AM   #11
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This is why I always ask from anyone I order parts from in the USA if they can ship via USPS. Usually there is no brokerage fee, and if there is it's usually very minimal.
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Old 02-24-2015, 05:29 PM   #12
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Thanks for taking the initiative to try and tackle this issue Apex!

With the Canadian dollar at $0.75 US, ordering parts from US vendors hurts even more right now.
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Old 02-24-2015, 05:33 PM   #13
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Quote:
Originally Posted by Merc View Post
One of the big issues up here is UPS. Is there away that US retailers could be educated to fill out the the UPS paperwork so were not hit with the UPS brokage fee. Which I must say is total BS and a money grab by UPS.




Merc, UPS brokerage fees all depend on the deal that's been worked out between the vendor and UPS.

A few years ago I ordered five 17x8 aluminum wheels and five 285/70/17 BFG KM2 tires for my Jeep from Tire Rack in the US and I was charged a grand total of $40.00 for brokerage fees.

Total weight for this shipment was just under 500 lbs. with a final value (taxes and shipping included) of $3,000.00 CDN.
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Old 02-24-2015, 06:18 PM   #14
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This is why I always ask from anyone I order parts from in the USA if they can ship via USPS. Usually there is no brokerage fee, and if there is it's usually very minimal.
^^this!!!

USPS is the only way to go!! Fedex isnt much better than UPS BTW!!
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