Etsy has become the first online marketplace to offer Royal Mail’s postal delivery duties paid (PDDP) services, allowing businesses to send goods to the USA. This follows new customs requirements that came into effect on August 29.
The PDDP services are available directly on the Etsy platform for all sellers. Royal Mail was the first international postal operator to launch a new service following the US executive order in July, which stated that goods valued at US$800 or less would no longer be exempt from import duties and taxes.
Most goods entering the USA attract duties that need to be paid to the US customs authorities, a process handled by Royal Mail. This is a change to previous rules whereby all goods valued at under US$800 could enter the US duty-free.
For consumers and small businesses, such as Etsy sellers, duties on items are calculated and collected at the point of buying the postage. There is a 50p (US$0.66) handling fee per parcel to cover the additional costs associated with providing clearance services into the US. Customers who only send personal correspondence are not affected by the changes. They can continue to send items to the US without a customs declaration.
Iain Johnson, managing director – international at Royal Mail, said, “We’re delighted that Etsy is the first marketplace to offer our new PDDP services. We’ve worked with US authorities and our international partners to make sure Etsy’s business customers can continue posting to the US with ease.
“Etsy and Royal Mail both want to support small businesses and entrepreneurs, and this is a great way of opening up the biggest market in the world. Just in time for the festive season, this means British sellers can send their unique handmade and vintage gifts across the Atlantic with confidence.”
Roman Sobieri, head of global shipping at Etsy, added, “We’re thrilled to partner with Royal Mail on this important new Postal Delivery Duties Paid service. Innovations like this make a real difference in helping small businesses thrive globally.”