Interparcel: The ripple effect of these tariffs is stretching far beyond China and the U.S.
A new industry survey conducted by the shipping platform Interparcel has uncovered growing concern among Australian E-Commerce retailers over President Donald Trump’s latest US-China tariff policies.
The survey, completed on March 25, 2025, captured the immediate impact of earlier tariffs, which saw the U.S. impose a 10% tariff on Chinese manufactured products effective February 4, 2025, followed by an additional 10% increase on March 4, 2025 — resulting in a total 20% tariff on Chinese goods entering the U.S.
The survey gathered insights from hundreds of small to medium-sized online retailers across Australia, revealing that: 37.71% of respondents said the tariff changes have already impacted their business.
However, the situation is set to worsen. Since April 5, 2025, the U.S. has imposed an extra 10% tariff on all exports from Australia to the U.S.
On April 9, there will also be additional tariffs on products with a Country of Origin (COO) from China and Hong Kong, which will apply a 34% increase.
Furthermore, starting May 2, 2025, the duty-free De Minimis treatment for products originating from China and Hong Kong will be eliminated, regardless of where the shipment is sent from.
Under the current De Minimis rule, shipments valued under $800 USD can enter the U.S. duty-free and bypass formal customs processes, providing a critical cost-saving advantage for retailers importing lower-value goods.
By removing this exemption, all shipments containing products with a country of origin from China or Hong Kong — no matter how small their value — will be subject to import duties and full customs processing. This change effectively eliminates a popular cost-saving loophole that many Australian retailers have relied on for efficient, low-cost shipments to the U.S.
Steve Zammit, the CEO of Interparcel, stated: “The ripple effect of these tariffs is stretching far beyond China and the U.S. With the recent 10% tariff on all Australian exports to the U.S., the upcoming 34% increase on products from China and Hong Kong, and the removal of the De Minimis exemption for Chinese and Hong Kong goods, Australian eCommerce brands are facing increasingly higher costs and growing shipping complexities. For many, adapting quickly will be crucial to survival.”
As Australian retailers grapple with these challenges, the survey results underscore the need for businesses to remain agile and informed about evolving international trade dynamics. Many businesses are already rethinking their supply chains and making adjustments to secure long-term sustainability.
This report comes as global tensions rise and small business owners — who often lack the scale and resources of larger retailers — are left scrambling to adapt.
Interparcel conducted the research to better understand how global policies are affecting local Australian entrepreneurs, many of whom are now seeking clarity and support amid an uncertain trading landscape.
