Trump Adjust: Ecommerce Sellers Adjusting To New USA President Donald Trump with Justin Lin

The landscape of cross-border ecommerce is shifting under the policies of new U.S. President Donald Trump. In this episode, we discuss the implications of recent trade announcements, including new tariffs and tax changes for products from China. Justin Lin, CEO of Easy China Warehouse and an experienced ecommerce seller, joins us to unpack the challenges and opportunities facing sellers today. Learn how to adapt, thrive, and stay ahead in this rapidly changing environment.

√ Justin’s VIP Page
√ Easy China Warehouse
√ White House announcement on tariff adjustments: Amendment to Duties Addressing the Synthetic Opioid Supply Chain in the People’s Republic of China
√ USA Today coverage on de minimis extension: De Minimis Extension – Donald Trump Executive Order
√ Easy China Warehouse blog notice on U.S. tariff changes: Update on Changes in U.S. Tariff Policies and Service Adjustments

√ Cross Border Summit 2025

Thank you Justin for being on the show, and thank you everybody for listening in.

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[00:00:00] Episode 455 of Global from Asia Trump. Adjustments in this global supply chain. We’re here talking about supply chain changes in early 2025. Let’s do this. Welcome to the Global from Asia Podcast, where the daunting process of running an international business is broken down into straight up actionable advice.

And now your host, Michael Micheli. [00:00:30] Thank you so much for choosing to listen to or maybe watch me in my studio here, talk about episode 455 of Global Form Asia Trump Adjust global form asia.com/trump-adjust. He’s made some adjustments right after Chinese New Year has an announcement of. Taxes and import duties and changes in the various policies of DDC shipping.

It’s been very hot. I get our CEO and business partner of mine at Easy China Warehouse. I’m also wearing the [00:01:00] shirt, Justin Lin on the show to chat about what do these things mean and how can we, as e-commerce sellers and import exporters make the most of what’s happening. Let’s tune in. Do you enjoy the podcast Global?

Amazing. Do you enjoy all the community events that we do? The best way to support is coming out to our annual cross border summit.com in Chang Mai this November 3rd, fourth, and fifth, 20, 25. I have amazing speakers, ama, amazing people getting together. [00:01:30] We’re pushing the limits. We’re making things happen.

This is where the movers and shakers and the deal makers come. It’s a limited supply of attendees and tickets, and we have been selling out every year, so I recommend checking out earlier cross border summit.com. Okay, thanks for tuning to our Global from Asia podcast. I’m wearing my ECW shirt, new one, easy China Warehouse.

And we have with us my business partner and the CEO of Easy China Warehouse. Justin Lin, how you doing [00:02:00] today, Justin? I. Hey. Yes. Yeah. Thank you for inviting me. Yeah, I’m good. I’m good. After bed to holiday, Chinese New Year. So yeah, everything need to start new. So everything in in our Chinese culture New Year.

After New Year, everything’s new, new start, new we, so we need to, you got to be ready. True, true. Yeah. I mean, definitely a new start. I mean, I, I invited you on the show to, ’cause everybody’s talking about it to. It happened. [00:02:30] So the Trump announcement about tariffs, was that during Chinese New Year or after did you come, is it still during Chinese New Year holiday?

A after, after the last day of Chinese, uh, new Year holiday and the, I’m think it is at night. So it’s us daytime, the announcement, and we got the end of today to, and then also I basically, we. The Chinese company, not us, back to the NY and then we [00:03:00] can prepare Ready for that. Yeah. So it is, I don’t know if he knows the Chinese New Year calendar, but he waited right until the end to, to start that maybe.

I’m sure most people listening know, but just kind of explain what did Trump announced? Just to, uh, just to . Right here. Begin 2025 in the new year. Yeah. Then, then like it is, like, it’s funny, I think like first night John already add [00:03:30] 10% on all the, all the product from China to us, and the second is the most, I think the recent topic, everyone talking is like a Shopify salad from China.

To us it’s not. In the past 10 year, under 800, not like it is slowly in the, at the beginning it’s like 300 I, I remember, remember, and then rise up to 800 and all this under this minimum [00:04:00] value. Then it will no test. At the beginning, so after night, China announced that under 800 steel night we’ll need to charge test, which mean it will cause a lot from D two C from China to us, so and so.

It will affect a lot. So I think that, but the funny thing is the, the US custom not ready yet. So, but China and, and then the, the second day, China [00:04:30] canceled that. And so for now, some for now side, so the, that under hundred value products still no test from China to us until the US custom ready and, and to announce that.

Got it. Alright, so I’ll just summarize. So yes, two things. The 10% additional import duties for any product coming from China to us. Right. So like [00:05:00] ocean, air, everything. Yeah. I don’t wanna put you in a spot, but I mean, what is the current, I mean, I know it depends on the type, the tar, the the HTS code. Yeah.

So I know it depends, but this is a flat 10% on top of any kind of. HTS code, if it’s, it would be just 10% on top of that, so yeah, yeah, yeah, yeah. For example, like in the past, maybe like 55%, but you add 10%, bank [00:05:30] would be like 45% on the, on the, on the product value test. So if, if I could ask maybe. If we ship with easy China warehouse, so if we ship some stuff during Chinese New Year or right before Chinese New Year, that didn’t even arrive to the us.

It’s just clear custom. So would that add it’s from anything received of the day he said, or is do we know that effect? Yeah, it’s basically effective immediately. Yeah. Yeah, it, [00:06:00] it will affect, but nine, not for, not nine it would affect, but nine. If you and I do the DDU from, from China to, then it will affect because the, the 10% already, already nice dying.

I think it is from the seven. And, and then so, so from that day, my, all the product will add 10, 10% if A DDU, but, but if you do DDP, then [00:06:30] the, the, it will no, no issue for the sale because the custom broker and it just committee will take care of that. Okay, got it. Yeah. Okay, so that’s the first one. So I think that probably affects more Amazon’s FBA sellers or input, like people sending their stock first to a US warehouse and then selling it.

Right? So the first one kind of hits the people buying from a Chinese factory, a thousand pieces or whatever, and sending it [00:07:00] first to their US warehouse or FBA, those that first one would hit them. Right? And the second, or Go ahead. Yeah. Yeah, but I think also it’s they pro, but I think it’s also good side, right?

Because yeah, for the 10, for that 10% it will rise the, the cost for the C. But if they, if John going to do that under 10, 10, the under 800, [00:07:30] and you still need to charge the test, then it would be very good news for Amgen cell and four. Okay. Yep. Yeah. So the second one is the, seems like what you mean. It’s the bigger one.

So the, the no more exemption or the di minimus, I think Section 3 21 Law to allow no tax on. You said it used to be less than 800, so it’s been increasing over the years. Yeah, it used to be like few hundred and it, yeah. ’cause 800 is kind of a, [00:08:00] I don’t even remember that. ’cause I, I, I actually don’t do D two C from China.

I do FBA, so. Mm-hmm . I’m more of the first one, but, so you can send an $800 item and not pay any tax. Yeah. Yeah. Yeah, so that’s, and that’s, that’s how, that’s how Timo and Shi, why they can sell so cheap in us. Why they, why they can buy, basically if you, you push product from China as think you do, right? And [00:08:30] then you order from the Chinese venture.

If you compare with Chinese that. The, the price is not like, effect enough. I mean, trying to sell order from, from Fetcher and sell order from Fetcher, the price is not like huge difference. Will not huge difference, but why Tim can teamwork can do, can sell so cheap. Why She can sell so cheap and the college still Okay.

Because they use this term because under 800 value, they, they don’t need to pay [00:09:00] test. Mm-hmm. So when, so when Tim can do that, they can, they, they, the, the business, business business business business model for teamwork. At the beginning they use the a FA. And then if there’s someone order, and then they use this term and, and d to see from China because the air phase night made the ties very short.

So customers who are able to, to get the po, the, the, the item they order night in seven days [00:09:30] from just from China, because they, they put the whole air, the, the whole pay for the, for that. So, and they go to us customer, they don’t need to pay test. And so all the packages like you, you can, you can imagine like the whole, whole air pay, cargo, no need to pay, to pay test and then, and then the, to the customer.

That’s the main reason why once the, and, and since like, not Chong going to like cancel this term [00:10:00] and that will be bad. They, it will hit Tim more and ensure their business very, very significant. And that’s night night in the, I saw the news night, two days, the NFA right and Night and N FFA night In the past two year, Chimu had not advertise on on night for in doing the NFAL, but this, they don’t do that because they see that it will be hit them very bit.

So, yeah. Yeah. Interesting. [00:10:30] Yeah, I didn’t know if they had a Super Bowl, the NFL Super Bowl. That’s a good point. I wonder if they could, I guess they were able to cancel it. ’cause I’m sure they had to probably pay or confirm earlier, but probably would do whatever they could to cancel or reverse that. So you think, what do you think they’re going?

Is there any news or do you have any ideas what these like shat moves and Shanes are gonna do? Do we, do you have any ideas now? Now there are, there are new, there are news coming come out. Like they try to [00:11:00] like change their business model. So like, not, not last year. They, they like open for several night for, they have, they have like two, one, once team move they can like, just like contact the fe, the fetcher and tell them they will manage the sale and they just skip them the product and then they will.

They were directly sent from China, put the, put the whole air paid to the customer and no test. And that’s the [00:11:30] one business model. And last year they had new, most new business model. Is that. They, they want, they, their next seller can use their no need to China instead from us. Or you can send your inventory in US three PL and then send from us three PL to the customer and this type, this two

And now since they is change, and Tim, they depend to not just, not FBA, not doing the FBA, [00:12:00] but they don’t, they’re not going to build their as long think they’re ready to build their warehouse in us. now, but they depend on not doing some business model like that and change that and to, to adapt the market.

Okay. Alright. Interesting. So then I think you’ve already said it, but it’s, this is, so, it’s basically bad for D two C from China, like especially the huge platforms, but it’s good for who is it good for [00:12:30] FBA? And Walmart sell because, because for them they, the, the cost increase is 10%, but they, they will miss much less than the temperature.

But people need to come buy, buy stuff, right? But you can imagine they are like more that for this two platform, they will get more traffic because Timon will need traffic because they, they no longer to sell their so cheap. If that do, if that’s the case [00:13:00] and Walmart and FBA had now, the fulfillment time will be more faster and the service may be more better for, for your customer.

So they, they probably not go to a stream and Tim will to buy it anymore because the main reason people go to buy because the price is so cheap and the quality is okay, but they not, but that’s not going to do that. And for this hour they will, for the customer, probably will not go to Tim will or stream anymore.[00:13:30]

We turn to Walmart and, and Amazon South. And for the, that’s the good news for the. And Walmart and also these two company, two big companies. Okay, great. I think you’re saying it, but maybe just to be clear, what, what are the things that are gonna change in this, in, in, in the logistics space from this that you see?

Yeah, I think the, the first one is the, the, the, the, the cost, the shipping cost? [00:14:00] No, the, no, the custom fee cost will be raised up for basically all the seller, no matter your FBAL or digital C seller. And the second thing is they, if they, because since China add test and then that will cause the US cotton will need to, to do more inspection and.

So for, for those, which mean will cost them the more tie to when you clean the custom. So [00:14:30] yeah, so this from logistic and, and also. Also the D two C. The D two C shipment from China to use. I think it will be now, it will be de, I think from now on already decrease will be because people for most D two C sell, they don’t, they will try to not find other way to to, because they know this will be coming like from [00:15:00] in us, not only us.

I also. See the news in EO under a 150 Euro year and also we probably will cancel the, that that also needle will be 10. So if in that case for all the details, two C cell, they will have nine, it will be be nine. Hit them a lot. Okay. Interesting. Taking some notes. This is great. And [00:15:30] so I’ll be honest, you.

Don’t worry about it. I want you to have your Chinese New Year holiday, so I didn’t want to like stress you out or alert you, but I as a, as a partner here in Easy China Warehouse, what do you think is this good for the clients and for our, our business? Is this. Or what do you think? Some things that will happen and what I think, I think, I think there will not like big change it because the [00:16:00] main reason the market still delay demand and.

I mean, I mean, people still need to buy product, right? They, they’re not able to make a product by themselves. So even the meite, how much the cost will rise and, and people still need to buy stuff. And now China still the, the not just veteran in the world. So, so people still need to buy from China. That’s the, that’s, that’s the

I mean, that’s not going to change it. So, so I think [00:16:30] the, I think people, I think the, the demand will be still not much different, but the, the main for this 10 different, for the D two C, the. Our business in like the D two C is one of my bus. Our business is take about 3% of the whole business. I think that will hit, hit this part, but it only hit the D two C to us.

But we, we are D two C to global to year, [00:17:00] to South Asia, middle Asia, Australia, so Japan. So yeah, not, might affect a lot from my opinion. So, yeah, and I think for it also would be good for the, since the D two C hit hit down, and I think our FBA or to Walmart or the B2B businesses to, to us will be raised up.

That’s what I think. Yeah. Yeah. It seems like [00:17:30] the consumer’s gonna have to pay, right? I mean, they, I, I, I, I mean, hmm. It’s gonna be hard to have, I know you, we us made in the US and factories in the US might pick up, but I mean 10%. I don’t know if it’s that big of a difference, right? I mean of tax, but it might be picking up more people made in the us.

Uh, it could, could also make that over time, if, I don’t know if you think so. I think, I think for nine at least night next [00:18:00] decade, China still, still. Still be the number one to . That’s the main one. Main reason we don’t not just buy should product from China to us. We also send to global. I mean, true. I mean that, that’s how we, we, we, I our risk if you only put all your ad in one stuff.

Yeah. Yeah. Okay. So let’s give some [00:18:30] strategies for, for people that. Talking to the, to the clients at Easy China Warehouse, what are, what are some things you’re advising and doing and people are doing? Yeah, that’s first thing. I think like just now we talk like we, we not just send to us. That’s, and I think sell, need to do the same thing.

They don’t, don’t need to sell to us. I think they need to expand to global market. So, as I know some, our, some our [00:19:00] customer, I, I mean I have suggest them to, like if they, his, they are selling, selling FBA to us from China. The product send to us and I, I suggest them to can expand, um, just use the same product and then expand to us, to Japan to eo.

I mean the, the world is big, not just only us, even though US nine is nine [00:19:30] night a lot. So, but if you can, you can, you can expand your, grow your basic to global, not just one, one country. And that will not, that will not like, affect or not. And it not will not, unless that will not shut down your business.

Makes sense. Yeah, we’ve on the show, said it for forever. Like diversification, right? Cashflow channels, products, services. [00:20:00] Yeah. Japan has been popular. I’ve, I’ve been hearing more and more people talk about Japan from China. Yeah. And I know we work with people, Asia, China warehouse doing that. So that’s definitely good.

And. But I mean, any strong business shouldn’t, if they have just one, one channel, 1 1 1 income, it’s always dangerous. But I mean, maybe at the beginning, I always tell people to start with one to get going, but it to be defensible and long lasting. You should be diversified as you grow, uh, to de-risk. [00:20:30] Yeah.

And at the beginning, if you are not sure that market work or not, not for, we suggest some our customer, you don’t need to send a lot inventory. You maybe just send like 10 items, 20 items, just send to the put, see how it test the market and see what’s, how things going on if thing goes well. And, and then you, you can keep, send more inventory to their, I mean, that’s my, that’s, I always tell.

Our customer or any ask [00:21:00] our suggestion, don’t put all your, that’s your product deals from in China. So don’t send all the inventory out of China at the beginning. You can send to a, if the veteran are not able to provide us the, the storage for your product, then send contact, ask. This PL try PL and we have a storage product when you need to send to different, only to send one capital, lcl [00:21:30] l to defend some country eo.

And then we, we can, we can do that, but it’s not, you send all your inventory to us or to other country, then you’ll be, be a problem. Then you’ll not able, if it will be the shipping costs from other country to different country, it be, it be more expensive than from China to global. Yeah. I, I agree. And we do that in our brands with you, with East China warehouse and, you know, keeping.

Keeping a flexibility, especially on new product launches [00:22:00] or, or new changes. And then it’s just safer whenever you can to, to do that. Yeah. And also some also suggestion for some D two C customer now they, they, I mean they, if they may, might use still us, they can do like use three PL in the US three pl we, and then also D two C from China, these two way combined and then.

To change the business models. [00:22:30] I think most D 2D customer, they, they worry about cash flow. So the tie, the tide will be called the, uh, the tie, the ment from China to, if they want to know down the cost and then they need to use B ments, to us, I retain one to two months. So at the time, too long. I think they will, they, they already care.

Don’t want that, so, but. You can change [00:23:00] that now. You can send some to us VP and then some D two C from China, so. Combine these two way to, it will, it will help you to, to survive. That’s why I saying, and if you don’t have sweeping out to trust, I mean for us, we also like we for each China warehouse, we also try to not just like build a warehouse in China, we also try [00:23:30] to, to expand global.

Now for us, for us, we also have three PL prior now, and also not just US, Australian, and UK German, because we know, because the integration of the, this inter, this interation of business and the, and our business already affect by the government, different country, the relationship, the government, both relationship not good and it will affect it.

So, and we don’t want, we so far try the out [00:24:00] the Chinese, our Chinese, Chinese government is doing try to like. Speak good relationship with other country, but you don’t know. So we, we will try to prepare to, to expand our warehouse to global and to make sure this can be, so if you, you, you don’t, you don’t have the transfer product, you can contact us and then we will use our, our service, three PR in us too.

So, yeah. Also D two C, so yeah. [00:24:30] Great. These, the ones that for the D two C, nice Shopify seller, they, if they are men, maybe business just buy from China to D two, C to us. Yeah. Great. Yeah. Thanks Justin. I know you’re always Yeah, like helping, helping the sellers to do the right service as a seller yourself and, and being in China or seeing it.

So I think, yeah, this was a great update. I’m glad last minute. I know you’re so busy coming back from Chinese New Year and myself as well, [00:25:00] so I appreciate sharing with us. What’s the best place to go? The website probably, or you can share some, yeah, yeah. Yeah. You want to, I know more detail. We will keep posing made about, like, about a new logistic stuff You can go to our website is w easy trial warehouse.com and go to our bot to see some nice, especially if it not, I, I know not, not, people don’t understand how to calculate the, [00:25:30] neither the test if.

If John going to like, receive the test, uh, on the 800 and how they calculate the test, go to our website and we had example how to calculate and how to check your product, which add, how to file the correct HS code. So all the stuff if you don’t understand, and also you can contact on our side and, and we then ask, know your question, we’ll ask that.[00:26:00]

Great. Thanks. Thanks so much, Justin. Let’s just keep on Justin to this new world with Donald Trump back in office. Interesting times. Yeah, yeah. Try isn’t. I guess Chinese people don’t like him now, or I mean, I think, I think, I think it is okay now at the beginning, Chong Chinese, like, like doing the election, he going to, he said going to erase the the test to like six 5%.

That’s a [00:26:30] lot. And then we hit a lot, I think. I think, but now only at 10% I think is a lie. It is okay. I mean, not nice. I mean, it is not like enough for the, for the F nine, night for the shipment. FBA if you, you want, you, you get d, DP code from, from us and then you will find that the, the cost still like 1, 2, 3 USD.

Okay. And for per k [00:27:00] per kg, not. Um, but for the Canada, like Mexican, they at like 25%. Yeah. Right. That was a. And also eo, EO uk, China also came to add the test. So yeah. So they will be like, yeah, and hit, hit more, not everybody. Alright. Thanks so much Justin. Great time to have you here. Thank you for having me.

Do you enjoy the podcast? Global? Amazing. Do you enjoy all the [00:27:30] community events that we do? The best way to support is coming out to our annual cross border summit.com in Chang Mai this November 3rd, fourth, and fifth, 2025. I have amazing speakers, am amazing people getting together. We’re pushing the limits.

We’re making things happen. This is where the movers are shakers and the deal makers come. It’s a limited supply of attendees and tickets and we have been selling out every year, so I recommend checking out earlier [00:28:00] cross border summit.com. Thank you so much, Justin, for sharing. You know, he is got experience.

He’s of course Chinese based from and Sheen in the south, talking to sellers, the seller himself, working with . Many, many clients in the Easy China warehouse. Network. So he’s been dealing with this for a couple weeks now, since right after Chinese New Year. So I hope you got some inspiration, some ideas, some strategies.

If you’re very interested in this, you can talk to Justin or the team@easychinawarehouse.com. [00:28:30] They’ve been helping people adjust to these Trump. Tariffs and to be nimble. But one of the biggest takeaways is don’t put all your eggs in one basket. As he says, you want to be able to be nimble, be to diversified, maybe look into Japan market, maybe look into Europe, look into different business models, maybe even have some service income or various ways for subscriptions in your business.

You have to be . Open-minded. The world is changing. We talk about Trump, we talk about ai. We talk about all these different things happening [00:29:00] very rapidly. This can be a very exciting year. Thanks for watching. See you later. To get more info about running an international business, please visit our website@ww.global from asia.com.

That’s ww.global from asia.com. Also, be sure to subscribe to our iTunes feed. Thanks for tuning in.