The Current Risks of Ordering Overseas: Manufacturer-Direct, 3rd Party Sellers, and Drop Shippers

Why This Matters Now

If you’re tempted by low prices from overseas sellers—whether ordering directly from a manufacturer, through a 3rd party seller on Amazon, or from a drop shipper—you need to understand the current reality: U.S. import laws have changed.

These changes make overseas orders far riskier than before, and most sellers don’t disclose the risks up front. What looks like a cheaper option often ends up costing more, taking longer, or never arriving at all.


1. The End of De Minimis

The long-standing de minimis exemption—which once allowed shipments under $800 to pass through customs without tariffs—has been removed:

  • For China and Hong Kong, it ended in May 2025.
  • For all other countries, it is scheduled to end on August 29, 2025*.

This means shipments that previously slipped through are now much more likely to be fully processed and inspected, no matter the value.


2. HS Code Stacking and New Tariffs

New trade law changes introduced new tariff codes and the practice of HS code stacking.

  • Instead of one tariff, a single shipment can now be hit with multiple tariffs at once.
  • In practice, this can mean three, four, or even five tariffs stacked onto one product.
  • The final cost can quickly exceed the original product price.

3. Why Errors Are So Common

Customs and Border Protection (CBP) processes millions of packages every day. They are understaffed, and U.S. tariff laws are complex and frequently changing.

This creates a perfect storm where errors are extremely common:

  • Goods are misclassified.
  • Values are incorrectly assessed.
  • Tariffs and fines are applied improperly.

And once a shipment is flagged, these problems are very hard to undo.


4. What Happens When a Package Gets Flagged

In the past, small packages often went through without issue. That’s no longer the case.

  • Shipments that used to pass unnoticed are now far more likely to be stopped for inspection and revaluation.
  • CBP can assign its own value to your goods, and that becomes the basis for tariffs and fines.
  • Payment is due immediately. If you don’t pay, your goods are forfeited.
  • Carriers sometimes advance the payment and bill you later, but if there are complications, they almost never will.
  • Once this process has started, the only real options are to pay what’s assessed or take legal action. You cannot resolve this with a customer service rep — it’s a legal matter handled by U.S. Customs.

5. Seizure and Loss of Goods

Once CBP seizes goods, they can technically be recovered, but only if you contest the decision legally:

  • If you don’t have a customs broker (and most consumers don’t), the only way to contest a seizure or fine is to hire a customs attorney and pursue it formally.
  • This can involve petitions and even court.
  • For shipments under $800, the legal costs and delays are guaranteed to outweigh the value of the product, making recovery impractical. In these cases, the shipment simply becomes a loss.

This is also why 3rd party sellers and drop shippers often go silent when orders are delayed or never arrive. They don’t explain what’s happening behind the scenes, but in many cases the shipment has been flagged, revalued, or seized — and is stuck in this process.


6. Manufacturer Direct vs. 3rd Parties

  • Manufacturer Direct: You are the importer. If your shipment is flagged, you will receive the bill either from the carrier or directly from CBP. Payment is required immediately to release your goods.
  • 3rd Party Sellers, Drop Shippers, and Discount Sites (including some Amazon listings): These sellers are subject to the same laws. The difference is that you often won’t know what happened. Your package may simply stop moving, and no explanation is given. Vendors typically hide this risk from buyers up front.

7. Why We Disclose This

Overseas manufacturers, 3rd party sellers, and drop shippers rarely disclose these risks — typically never.

We disclose them because we face the same risks when importing our own products. This is a new reality many sellers don’t want to acknowledge, but under current trade law we believe it’s necessary to be transparent.

It also helps explain what we go through to bring in genuine products, why they are priced the way they are, and why there is a high risk that the “cheaper” option may end up costing substantially more, taking far longer, facing extended delays, or never being delivered at all.


Final Word

This is another situation where knowledge is power. We simply want to share that knowledge with you so you can understand the risks, make the best possible decision, and avoid surprises that overseas sellers don’t warn you about.

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