DHL to the U.S.: “F* you f*kball…”
As of this weekend, DHL Express (a.k.a. the global logistics machine owned by Germany’s Deutsche Post), is suspending all business-to-consumer shipments to the U.S. that are worth more than $800. Not because they want to, but because America decided to light its own customs process on fire and call it policy.
(Source: Giphy)
In short, the U.S. recently nuked its customs threshold for informal entries. It used to be $2,500. Now it’s $800. Anything over that, and you’re required to go through formal customs processing, which is basically like upgrading from a TSA pat-down to a full cavity search (except with more paperwork and less dignity). So DHL took one look at the new rules, saw the writing on the wall and said “Ight, Imma head out.”
Now this isn’t permanent, allegedly. They’re calling it a “temporary measure” for now, so until then, if you’re a U.S. consumer trying to get a package over $800 from overseas… Well, kick rocks. On the other hand, business-to-business shipments are technically still alive, just moving with all the urgency of me getting off the couch after Easter dinner. Anything under $800 though? That’s still flowing, but for how long is anyone’s guess, especially once May hits and the U.S. pulls the plug on the de minimis exemption for packages from China and Hong Kong.
(Source: CNN)
Again, that’s the rule that lets you get cheap crap shipped to your door tariff-free (sup, Temu). But now, that’s gone. Starting May 2, those packages get slapped with either a 90% tariff or a flat $75 fee—whichever hurts more. So, probably both. And yet, right in the middle of it all is DHL. A company that, to be fair, has enough logistical firepower to keep global e-commerce humming, but not enough patience to deal with the new custom system.
(Source: Reuters)
So yeah, here we are. DHL’s walking away from high-value consumer shipments, international mail is a geopolitical casualty (read: Hongkong Post suspending sea and air mail to U.S.), and American consumers are left wondering why their $900 Shein haul is stuck in customs purgatory. Keep in mind, the de minimis imports absolutely exploded from $9.2 billion in 2016 to $54.5 billion in 2023 with nearly 60% of that coming from China. So as you can imagine cutting that off is like pulling the plug on an e-commerce life support machine.
Meanwhile, DHL’s trying to keep a straight face while helping customers “adapt” to the new rules. Meaning, if this is what a “booming economy” looks like, someone better tell the logistics industry… because right now, it’s just looking like collateral damage in a pissing match nobody asked for.
(Source: Giphy)
Of course, you can do what you will with this information, but at the end of the day… We all know Amazon is the only one winning with this at the end of the day. And honestly, is there really anything else more important than Amazon right now? Nah. Until next time, friends…
P.S. Oh, I’m sorry, I didn’t know you liked getting rekt. Let’s face it, retail investors get the short end of the stick all day everyday. It’s the smart money’s world, and we are just living in it–only useful when it comes to liquidity purposes in the market. Meaning, if you’re as pissed off as I was when I found out Milli Vanilli was lip syncing the whole time, then it’s time to go from investing blind, to investing smart. Luckily for you, the key is right here as a Stocks.News premium member. Click here to see exactly how our premium members are printing while others quake in the face of today’s market chaos.
Stocks.News holds positions in Amazon as mentioned in the article.
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