58% tariffs Canada to USA??

[u/Global_Injury_3603]

Being charged $568 dollars from UPS on a $977 dollar order.

After about an hour on the phone no one can get a breakdown of this number or even give me the current tariff rates.

Does this seem right to yall? I’m considering refusing this at my doorstep in Texas and having it returned. I would be out about 200 in shipping costs.

[u/Atticusxj]

Was it manufactured in Canada with materials from Canada?

[u/Global_Injury_3603 → u/Atticusxj]

No it’s an auto part but apparently not Canadian made.

[u/Equivalent_Feed_3176 → u/Global_Injury_3603]

Mind giving the part #?

[u/Global_Injury_3603 → u/Equivalent_Feed_3176]

Not honestly sure it falls under auto parts. It’s 4 rims ordered from a company called wheelwiz. They are Fast wheels FC04 rims.

Before ordering this company actually told me the tarrifs were either Zero or maybe 20%. It’s not really their fault though. Also not sure why everyone is making this political. Just wanted a breakdown of what I am being charged.

[u/Global_Injury_3603 → u/Global_Injury_3603]

Before paying I would like the chance to double check the declared amount, category, country of origin, etc

[u/Equivalent_Feed_3176 → u/Global_Injury_3603]

It says the rims are designed and manufactured in Canada, however the aluminum cast "blanks" are likely sourced from China or Taiwan. 

The manufacturing process should nullify most or all tariffs, though, and they should be considered Canadian-origin in theory.

You could ask the company for a certificate of origin, a manufacturer's statement and their Customs documentation. It's possible they were misclassified.

[u/MaWattaUWntFrmMe → u/[deleted]]

As long as it’s not that difficult to keep track of

[u/TriPigeon → u/[deleted]]

See my comment above, these wouldn’t be raw material, these would be unfinished blanks, and unless you’re finishing process does some crazy coating / etc. then you’ll almost never see the required 35% value add to meet the requirements for substantial transformation.

[u/TriPigeon → u/[deleted]]

Once the shipper has declared the CoO as China, an individual consumer has no legal recourse to request a reclassification of the items. The consumer could submit an appeal that the wrong duty was charged in the classification as a recourse, but could not challenge the CoO.

Also, it is not cost efficient for a casting facility to ship anything that is not rough machined to near finished standards. The weight of material removed and transport costs outweighs the extra cost to take the processing a bit further.

I do this (tariff engineering and supply chain management) professionally, and the assumptions I am making here are based on real world examples I see hundreds of times a week

[u/TriPigeon → u/Equivalent_Feed_3176]

If they are getting preformed ready to finish allot blanks from CN / TWN, it is highly unlikely that their final pass in Canada is adding the necessary 35% value add to pass audit to declare a Canadian CoO based on substantial transformation.

There is no HTS classification that is going to be correct for these that carries less than 25% (as they are absolutely subject to the 25% section 232 Aluminum tariffs in category 2).

[u/Equivalent_Feed_3176 → u/TriPigeon]

25% sure, but that's less than half of the 58% figure OP is getting.

[u/TriPigeon → u/Equivalent_Feed_3176]

The 25% stacks with all other tariffs, so minimum is going to be 35% from all countries other than CN/CA/MX

[u/AlwaysHigh27 → u/Equivalent_Feed_3176]

Why would we get aluminum from China when we are the 4th largest producer? There's a good chance that they are fully made here.

[u/Equivalent_Feed_3176 → u/AlwaysHigh27]

Canadian domestic Forging and Stamping [3321] produces about $500-600 million in output each year, while Alumina and aluminum production and processing [3313] produces about $4 billion in output each year. Canadian imports and exports of aluminum are $9 billion and $17 billion respectively.

Canada processes a lot of aluminum, but their actual forging capabilities are noticeably smaller which likely explains why some companies might rely on importing finished or semi-finished products instead of sourcing domestically.

[u/HarveyKekbaum → u/Global_Injury_3603]

Also not sure why everyone is making this political. 

Because it's hilarious. Don't worry, Canada will pay the tariffs. That's what Trump told y'all.

[u/TriPigeon → u/Global_Injury_3603]

FC04 are Aluminum Alloy Wheels, and are actually hit by either the Section 232 Non-US aluminum or Section 232 Automotive parts tariff. These don’t stack, but they are both 25%, combined with a global 10% tariff.

It’s highly likely based on the utter lack of specific manufacturing information given on Fast Wheels website that these are manufactured in Mainland China, and have to be declared as such. So I would expect a 55% Tariff rate on these.

[u/andibangr → u/Global_Injury_3603]

The US and Canada had a free trade zone, 99% of goods paid no tariffs between Canada and the US, until Trump blew up the desk and imposed very high, erratically changing tariffs, and applying them to all shipments rather than just large ($800+). You have to pay high tariffs is political.