For the current stage,Bangma vape company is going to do more discussion jobs with USA customers. Together response the current problem to make a win-win future.
- In the early morning of April 9, the White House spokesperson said: “The United States will impose a 104% tariff on Chinese goods, starting on April 9.”,And the cross-border logistics costs of e-cigarettes are facing a new round of adjustments. Bangma World view specially invited John (pseudonym), an e-cigarette logistics company practitioner, to have an in-depth dialogue on the impact of tariff adjustments on the industry, the trend of logistics price fluctuations and corporate response strategies.
- Freight rates have increased slightly, and the market has reacted steadily.According to John, after this tariff adjustment, the logistics costs of e-cigarettes have been gradually transmitted through freight rate increases. For more details.Will be implemented in about next week.John further explained that the tariff policy has directly increased the freight by 8 yuan/kg. However, due to the current off-season for logistics, the head-leg cost has decreased, reducing by 6 yuan/kg. Therefore, on the whole, the overall cost fluctuation is only 2 yuan/kg.
- “Customers are more receptive to freight rate adjustments, and there has been no decline in order volume at present.” John said that the sensitivity of the e-cigarette industry to freight rate fluctuations is significantly lower than that of traditional trade. “For e-cigarette products with higher customer unit prices, the increase of 2 yuan/kg is still within the normal fluctuation range.”
The gray clearance model temporarily buffers the impact, and the positive clearance companies are under obvious pressure.
Regarding the tariff transmission mechanism, John pointed out that there is a significant differentiation in the industry:
Gray clearance channel: By declaring marginal categories such as “atomizer accessories”, the actual tariff rate saves more than 10% of the cost compared with the formal customs clearance of e-cigarettes (27.6% basic rate + superimposed tax rate), becoming the preferred path for most e-cigarette companies.
Positive clearance channel: Companies seeking compliance in the United States need to pay tariffs in full, and the logistics cost can account for 80% of the value of the goods, which directly impacts market competitiveness.
“At this stage, there has been no large-scale tax payment case in the e-cigarette gray clearance market, but the inspection rate will inevitably increase in the future.” John emphasized that if the US Customs strengthens gray customs inspections, logistics companies may face huge tax payment risks, and the price system of the tax package model will face reconstruction.
Cost transmission has not yet peaked, and the peak season may usher in another wave of price increases
Although the current freight rate increase is moderate, the industry generally expects that there is still room for price adjustments in the future:
Second price adjustment after the policy wait-and-see period: From April 10 to 14, a second price calibration may be carried out based on the actual tax bill, and the increase in some high-tax categories may reach 5 yuan/kg
Traditional peak season costs rise: After Amazon Prime Day in May and the Christmas stocking season in September, air freight prices may exceed 70 yuan/kg, an increase of more than 20% over the current price
The hedging effect of the first-leg cost is weakened: The current air freight first-leg price has dropped by about 30% from the high level during the epidemic, but with the tight capacity during the peak season, the cost buffer space will narrow.
In response to this situation, John’s company has issued a suggestion to customers: “If the product is ready, it is recommended to complete the shipment as soon as possible before mid-April to avoid the risk of policy overlap that may occur later.”
Industry risks and long-term challenges
During the interview, John mentioned two potential risks many times:
The sustainability of the gray customs model is in doubt: If the United States increases its crackdown on illegal imported goods, or major American tobacco companies put pressure on the government to rectify the market, the existing gray clearance channels will face systemic risks.
The ability of logistics companies to withstand pressure is tested: Under the current tax package model, logistics companies need to bear the risk of tax supplement. If the tax supplement amount of a single ticket exceeds the freight income, there may be a risk of abandonment, which will bring operating pressure to brand owners.
In this regard, John suggested that e-cigarette companies: “It is necessary to establish a flexible supply chain system and balance the ratio of air and sea transportation. For hot-selling products, air transportation should be used to ensure turnover rate, and slow-selling products can be transferred to sea transportation to reduce costs. At the same time, pay close attention to the adjustment trend of US customs codes and plan declaration strategies in advance.”
