On Everything #111

A weekly newsletter for Substack subscribers from Eugene Rabkin, our founder and editor.

American Consumers Are Getting Killed by Duties With Dire Consequences for International Fashion E-Commerce

The Row Oregon woven tote bag cost $1,050 on Ssense. The duty bill that the US Post Office presented to the purchaser was $400. The package went back to Ssense, unclaimed. The Rick Owens jacket, bought by another American customer on Ssense, was $5,800. The USPS duty bill was a whopping $2,500 (something about “exotic” materials on buttons, along with the new duties). The package went back, unclaimed. A pair of Rick Owens boots came with an additional $800 bill, 37.5% of the purchase. Returned.

Such stories flooded my Instagram inbox when I asked American consumers about recent experiences of purchasing fashion from international websites. The damage is real; any package that is declared to be worth more than $800 is getting hit with serious customs duties. Another friend whose Dries Van Noten boots bought from a boutique in Spain clocked in just above $800, received a $195 US duty bill from DHL, about 25%. As often as not, packages are going back, with price sensitive, or simply irate customers unwilling to swallow the additional 20-40% duty on top of the hefty prices they already paid.