Challenges and Opportunities for the Adult Products Industry between China and the USA Trade War
New trends in logistics under high tariffs
Under the traditional trade model, when American customers import adult products, they have to bear the customs duties and customs clearance risks by themselves. Especially when using commercial express delivery services such as DHL and UPS, they may face high inspection rates and complex customs clearance processes, resulting in additional costs or even delays in goods. To this end, we cooperate with several forwarder in-depth, found in the near future by air DDP and the way of Shanghai DDP delivery orders increased significantly.
Air freight DDP: Currently, the freight is approximately 9 US dollars per kilogram (for single shipments over 20 kilograms). Although it is higher than the price of regular express delivery, customers do not need to pay customs duties or customs clearance fees. The overall cost is controllable and it is suitable for customers with high requirements for delivery time.
- Shanghai DDP: The shipping cost is as low as around 4 US dollars per kilogram (for orders over 15 kilograms), suitable for large quantities and orders with low requirements for delivery time. It has a significant advantage in terms of cost performance.
Compared with handling tariffs on their own, the DDP model saves customers customs clearance time and potential risks, and is especially suitable for small and medium-sized buyers who are not familiar with international trade processes.
Risks and opportunities coexist. How to optimize the procurement strategy?
Although the tariff policy has pushed up the import cost, the overall purchase price can still be controlled within a reasonable range through a reasonable logistics plan. We suggest that the client:
- Prioritize DDP transportation: To avoid delays or additional costs caused by customs clearance issues.
- Use commercial express delivery services (such as DHL/UPS) with caution: Unless the customer has rich customs clearance experience, they may face a relatively high inspection risk.
- Flexible combination of air and sea freight: For urgent cargo, use air freight DDP, while for regular replenishment, choose sea freight DDP to balance cost and timeliness.
Keep a close eye on policy changes and join hands with customers to overcome difficulties together
The trade environment is full of uncertainties. We will closely monitor the adjustments of tariff policies between China and the United States and promptly update our customers with the latest logistics solutions. Despite the current severe situation, opportunities are also hidden in the crisis - by optimizing the supply chain and reducing customs clearance risks, American customers can still remain competitive and even take this opportunity to seize market share.
Please feel free to contact us at sextoys@happyness.shop for further information on DDP transportation details or customized procurement plans. Let's seek breakthroughs in the challenges and jointly explore more efficient and stable trade models!