Logistics and customs expert says the Temu and Shein loophole is not what everyone thinks

Jan

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Explosive revelation about Temu and Shein in South Africa

Temu and Shein's logistics partner Buffalo used a 17-year-old South African Revenue Service (Sars) import concession designed for bulk couriers to avoid paying a 45% duty on clothing imports.

That is according to an industry source with over three decades of experience in trade logistics and customs, currently working for a prominent international transport and logistics company.
 
So thanks to the numpties,
Sars reportedly plans to levy the full 45% duty and 15% VAT on all clothing parcels, including those under R500, from July 2024.
They'll be effected now as well.
 
I, for seemingly ONE, am sick to death of South African suppliers bleating about competition. GET COMPETITIVE. I would gladly buy SA products if the cost of delivery from Boksburg to BENONI wasn't almost TWICE that of the same goods from China to my front door, sometimes the delivery from China is even quicker than local. China aren't the bad guy hurting commerce the way local suppliers do. I shop smart, my wallet demands it.
 
I, for seemingly ONE, am sick to death of South African suppliers bleating about competition. GET COMPETITIVE. I would gladly buy SA products if the cost of delivery from Boksburg to BENONI wasn't almost TWICE that of the same goods from China to my front door, sometimes the delivery from China is even quicker than local. China aren't the bad guy hurting commerce the way local suppliers do. I shop smart, my wallet demands it.
They are hurting the local economy. Nothing they do aside from shipping is local. Their manufacturing, marketing, and infrastructure are all offshore, so every cent you spend on their products is sucked out of the economy. So it's not just clothing; it impacts every sector because counting all the peripheral spending (manufacturing, marketing, development & hosting, etc.) and the disposable income leaving our shores costs us.

I know this is highly controversial, given Temu and Shein's support on the forum, but it is the truth.

That's not to say local retailers are perfect and competition isn't necessary, but there are no good guys in this story. Local retailers buy their clothes from the same places Temu and Shein do, and they put horrible markups on them. Even at a 45% markup, Temu and Shein will still be competitive.

There is also another dimension to this, and that is state support. Chinese vehicles in the EU and US are about to get heavy tax surcharges because they are heavily subsidised in China. The Chinese Government is willing to take the financial hit of providing legislation and low-cost loans to enable cheap production, with the long-term goal of dominating the global vehicle market. The point is that China is willing to create incredibly soft environments for these businesses to give them an edge in global dominance. Don't think that they won't simply jack the prices up once that dominance is achieved. Temu and Shein are not under dogs here, they are global giants, whose ultimate goal is the complete dominance of local markets.

We all want cheaper products, but if those products end up being a cost burden elsewhere in our lives, is that a benefit?
 
“There is no way to trace if a person has exceeded the threshold of R150,000 or not without a big data audit,” they said. “Customs do not have the capacity to audit on this volume.”
There is no way in general as SARS does not record total imports.

They are hurting the local economy. Nothing they do aside from shipping is local. Their manufacturing, marketing, and infrastructure are all offshore, so every cent you spend on their products is sucked out of the economy. So it's not just clothing; it impacts every sector because counting all the peripheral spending (manufacturing, marketing, development & hosting, etc.) and the disposable income leaving our shores costs us.

I know this is highly controversial, given Temu and Shein's support on the forum, but it is the truth.

That's not to say local retailers are perfect and competition isn't necessary, but there are no good guys in this story. Local retailers buy their clothes from the same places Temu and Shein do, and they put horrible markups on them. Even at a 45% markup, Temu and Shein will still be competitive.

There is also another dimension to this, and that is state support. Chinese vehicles in the EU and US are about to get heavy tax surcharges because they are heavily subsidised in China. The Chinese Government is willing to take the financial hit of providing legislation and low-cost loans to enable cheap production, with the long-term goal of dominating the global vehicle market. The point is that China is willing to create incredibly soft environments for these businesses to give them an edge in global dominance. Don't think that they won't simply jack the prices up once that dominance is achieved. Temu and Shein are not under dogs here, they are global giants, whose ultimate goal is the complete dominance of local markets.

We all want cheaper products, but if those products end up being a cost burden elsewhere in our lives, is that a benefit?
All of it boils down to goverment. We don't have a local industry because of it.
 
I ordered some games from Amazon UK last week Monday(24th of June). I also ordered a game from Takealot the week before the Friday (21st of June).

I received my games from Amazon on Friday (28th of June), given that my games were only shipped on Tuesday. So I got my games from the UK in 4 days. Meanwhile this morning I only got my sms that my parcel from Takealot will be delivered tomorrow (2nd of July). Absolutely **** from Takealot. I received my order faster from Amazon UK than locally.
 
Is this a legit link for payment of import duties please?


Asking cos although it seems legit, I got another for RAM couriers and the URL is definitely dodgy lol
 
Is this a legit link for payment of import duties please?


Asking cos although it seems legit, I got another for RAM couriers and the URL is definitely dodgy lol
Yip, it is legit; Usually Fastway sends me this, and after paying, it reflects on the tracking page in +- 1 hour.
 
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