What Is Your Experience With Tariffs When Ordering Pipes From Abroad?

[Mike N]

I am interested in hearing from other forum members whether the tariffs have curtailed their pipe purchases. I ordered a few pipes recently from a well-known Italian shop and the total came to $1150 with DHL shipping. I was given a 15% discount, but I failed to ask about tariff payments. Yesterday I received a notice from DHL that my pipes were at the Pittsburgh, PA airport but I had to pay a $189 tariff charge within 5 days or they would be returned, so, of course I paid it.

I had ordered pipe a month ago from a Canadian retailer who agreed beforehand to pay any tariffs and I did not receive a notice.

Do you negotiate the tariff payment with the seller before finalizing any orders? Thanks for your input.

 

[Terry Lennox]

I would never make the shop pay the tariff. It's not their fault and they get nothing from it.
I do use a discount at a couple of Italian retailers and the shipping is reasonable.
Recently I was charged a tariff by DHL to deliver from customs (which I paid), but a similar shipment from FedEx did not trigger a tariff. I think it's just luck.

 

[elvishrunes]

In Canada you get hit with what the border agents get you with, they make the call there so the seller has nothing to do with it, it’s already been shipped…. I assume other regions are somewhat similar. Pipes are pretty cheap, tobacco a bit more, and you can appeal an overcharge on anything. Not sure if really expensive artisan pipes would register higher, maybe if they found the bill in the package.

 

[elvishrunes]

In Canada you get hit with what the border agents get you with, they make the call there so the seller has nothing to do with it, it’s already been shipped…. I assume other regions are somewhat similar. Pipes are pretty cheap, tobacco a bit more, and you can appeal an overcharge on anything. Not sure if really expensive artisan pipes would register higher, maybe if they found the bill in the package.

Edit: oh you’re referring to new Trump tariffs?, I meant basic customs duties, import fees.

 

[Mike N]

Terry Lennox wrote: “I would never make the shop pay the tariff. It's not their fault and they get nothing from it.”

I totally disagree. It’s not an issue of “fault.” In an arm’s length business transaction everything is up for negotiation. If reducing the price to offset the 15% Trump tariffs does not make business sense for an EU exporter to sell to a U.S. buyer, then the seller can just say no. But it never hurts to ask.

In fact, if an Italian pipe retailer sells to an EU buyer, the Value Added Tax is 22%, whereas the Italian retailer does not have to charge a U.S. buyer outside of the EU the VAT. That’s why their websites give a “tax free” price quote on pipes to US buyers. That is also why it made sense for the Italian retailer in my purchase above to reduce the price by 15%* knowing that I would have to pay the 15% Trump tariff on my import from Italy.

* I should add that I have been a good customer of this seller for several years.

 

[Terry Lennox]

Terry Lennox wrote: “I would never make the shop pay the tariff. It's not their fault and they get nothing from it.”

I totally disagree. It’s not an issue of “fault.” In an arm’s length business transaction everything is up for negotiation. If reducing the price to offset the 15% Trump tariffs does not make business sense for an EU exporter to sell to a U.S. buyer, then the seller can just say no. But it never hurts to ask.

In fact, if an Italian pipe retailer sells to an EU buyer, the Value Added Tax is 22%, whereas the Italian retailer does not have to charge a U.S. buyer outside of the EU the VAT. That’s why their websites give a “tax free” price quote on pipes to US buyers. That is also why it made sense for the Italian retailer in my purchase above to reduce the price by 15%* knowing that I would have to pay the 15% Trump tariff on my import from Italy.

* I should add that I have been a good customer of this seller for several years.

I see your point that it does not hurt to ask. Yes, if it makes business sense for the seller then fine.
What we all want in the long run is for these shops to stay in business. They are the last of their kind.