At the moment, trade tensions between the U.S. and China remain uncertain. Neither side has shown any intention to ease the situation. After the tariff hikes in the first half of the year, things stabilized for a while. However instability returned when China announced controls on rare earths exports, and U.S. President Donald Trump quickly responded by threatening an additional 100% tariff on imports from China on October 10.
Although the new tariffs have not yet confirmed, the uncertainty has already affecting the economy and e-commerce sectors. How will this uncertainty impact sellers, including Betckey? Let’s take a closer look.
The trade war involves more than just tariffs -- it also brings a series of tightened policies. Let’s go over some of them.
US President Donald Trump canceled the de minimis exemption for small parcels, which took effect on August 29 th. This change is terrible for small businesses as well as US customers, who are forced to bear higher product prices.
One wave has not yet calmed, and another is rising. Two months later on October 10, Trump threatened to impose a 100% tariff, and Chinese and American businesses will have to start dealing with the chaotic situation again. Subsequently, the U.S. Treasury Secretary stated that the situation has eased and the tariff increase may not necessarily happen, with customs still charging normal fees. The tariff increase is only Trump’s personal idea.
Nevertheless, this has brought great uncertainty to China-U.S. trade.
Impact of the Turbulent Situation
The situation is currently in a state of turmoil and uncertainty. While it is unclear to what extent the tariff policies will be implemented, they have already affected the cross-border e-commerce sector and mainland U.S. business. The specific impacts includes:
New reporting Requirements by Amazon: Starting in October 2025, Amazon will report quarterly to Chinese tax authorities, providing detailed information of Chinese sellers, including their identity, transaction volumes, income commissions, and service fees. This regulation turns tax compliance from an optional matter into a mandatory requirement crucial for the survival of cross-border businesses. Companies that fail to companies that fail to comply risk bankruptcy. Betckey, as a big seller with its strong focus on compliance, is safe in this regard.
Rising shipping costs: Shipping costs from China to the U.S. are increasing due to two factors: the newly introduced port fees and the fear that the new tariffs set to take effect on November 1 st will be enforced. To prepare, many companies are sending more goods to the U.S. in advance, causing a shift in supply and demand that leads to higher shipping costs. Betckey has also increased our inventory of labels in the U.S. to be prepared for any eventuality.
Additionally, Storage fees are rising: Due to the uncertainty, businesses are opting to store more goods in overseas warehouses, leading to higher storage rates and longer holding times. This increase in storage fees further squeezes profits, adding to the financial strain on businesses. Businesses need to make proper decision about how much goods to store in advance.
Impact on Businesses
For U.S. businesses: The rise in prices has led some consumer groups to reduce their purchases of American-made products, which is affecting U.S. industries. The overall increase in costs is contributing to inflation.
For cross-border e-commerce in the label industry: The uncertainty surrounding additional tariffs is disrupting supply chains, causing delays in customs clearance. This, in turn, affects the stability of label supplies, potentially leading to tight inventory levels. Such disruptions could deliver a devastating blow to businesses that rely on consistent label availability.
How Betckey is Responding
The U.S. and China are still seeking dialogue. This week, U.S. Treasury Secretary Scott Bessent announced that he is expected to meet with Chinese Vice Premier He Lifeng in Malaysia, where they will negotiate over three key issues: soybeans, rare earths, and fentanyl. There is hope that both sides can reach a cooperative agreement.
Regarding the tariff situation, Betckey remains optimistic. Even if tariffs are indeed imposed starting in November, they are unlikely to last for long, as the purpose of the tariffs is not the end goal. Instead, they are being used as leverage to achieve a favorable outcome in rare earth negotiations.
Betckey will closely monitor the situation and stock enough goods in the U.S. in anticipation of the uncertainty. At the moment, we don’t raise prices to respond to the crisis, so buyers can rest assured.
Conclusion
In conclusion, while the uncertainty surrounding the tariffs poses challenges for businesses, Betckey remains committed to navigating this turbulent landscape with resilience. By staying vigilant and taking proactive steps, such as stocking up inventory in the U.S., we aim to ensure continued stability and reliable service for our customers. Rest assured, Betckey is prepared to adapt and remain your trusted partner, no matter the obstacles ahead. We are always here for you.
About Betckey
Betckey Premium Labels is a leading supplier of compatible direct thermal labels, committed to high-quality and eco-friendly products as well as competitive pricing. We offer better products than manufactured original at 70% less price. Now, our Amazon store ranks first in the US, Canada, and Western Europe with thousands of positive ratings. Visit betckey.com and get special discount when purchasing! Sign up now and we'll send you a special discount towards your purchase. By the way, welcome to follow our official @ Tik Tok and @ Youtube accounts to get Betckey’s latest news!
