Cosmetics Sellers for Amazon and Walmart Stockpile Goods in Canada to Avoid U.S. Tariffs
Third-party cosmetics and personal care vendors selling through Amazon and Walmart are shifting inventory to Canada in an effort to delay paying steep U.S. tariffs on Chinese imports. The post Cosmetics Sellers for Amazon and Walmart Stockpile Goods in Canada to Avoid U.S. Tariffs appeared first on Global Cosmetics News.
THE WHAT? Third-party cosmetics and personal care vendors selling through Amazon and Walmart are shifting inventory to Canada in an effort to delay paying steep U.S. tariffs on Chinese imports.
THE DETAILS Facing tariffs as high as 145%, independent beauty brands and suppliers are moving stock from China into Canadian warehouses that offer tariff exemptions, duty relief, and potential rebates. Vendors are betting that U.S. trade policies may soften, helping them avoid the additional costs if tariffs are lowered before goods are re-imported into the U.S. Logistics companies like Flexport have reported a 50% surge in China-to-Canada shipments. While the tactic adds an estimated US$500–$600 per container in extra costs, companies supplying beauty and personal care products consider it a manageable risk compared to immediate tariff payments.
THE WHY? The pressure on cosmetics and personal care brands to manage rising costs has intensified as global supply chain shifts remain slow. With bonded warehouse space in the U.S. limited and manufacturing relocations to countries like India and Vietnam still years away, stockpiling in Canada offers a short-term workaround for brands preparing for key shopping periods, such as the holiday season.
The post Cosmetics Sellers for Amazon and Walmart Stockpile Goods in Canada to Avoid U.S. Tariffs appeared first on Global Cosmetics News.
