Qingdao Sigma Chemical Co., Ltd (International, US, EU, Canada and Australia domestic

Fentanyl precursers are sent to the US, then smuggled into Mexico for manufacturing because their customs control was too strict for it to get in. Think about that.
What is there to think about? lol. They simply send the precursors to Mexico :D. Even US authorities agree that this has been increasingly happening. I mean this was the same thinking that made a country ban flights from one part of the world, but allowed flights from another part ,in the midst of a global contagion.. as if pathogens discriminate based on economic prowess or optics
 
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The suspension of De Minimus is still in effect, no (I believe it is but not 100%) ? If so, then something was achieved right, wrong, or indifferent.
It's not kicked in fully. part of it is still in the public comment stage and best strategy is being explored. I suspect sone negotiations will eventually come into place, especially as belt tightening may be upon us.
 
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And the world keeps spinning man.. if this is the case, it happens.
No it keeps spinning if we will allow that
I payed 600 bucks when they requested the payment if that’s the case and I’m sure I’m not the only one in this boat the proper way to handle such a case is to boycott the rest of the suppliers from that region.
 
Fentanyl precursers are sent to the US, then smuggled into Mexico for manufacturing because their customs control was too strict for it to get in. Think about that.
I agree with you on all your notes regarding the impact of de minimis and the hilarity of people acting like customs can't get strict, despite us seeing it all over the globe, but Mexico gets the majority of the precursors these days sent direct.

They may have some strict customs, but corruption is much more rampant in Mexico than it is in the US and it really does operate the way some people think customs in the US do, payment for large shipments to completely avoid customs. Acknowledged by both the Mexican and American governments, and regularly reported (recently as well) by FT/WSJ/NYT/etc. Some are certainly shipped into the US, but majority of precursors are sent and brewed in Mexico.
 
“This is a significant challenge for them because there were 4 million de minimis packages per day in 2024, and it is difficult to check all the packages — so it will take time,” she said.

This is about the taxes, nothing more, nothing less.

I do think all of this uncertainty increases the likelihood that if QSC comes back it will be under a new name and after the dust has settled.
Its always about the money...if each of those 4 million packs is worth 10 bucks, a 10% tariff would be 1 million a day income. 365 Million a year...no politician on either side would leave that kind of money laying around...too many worthless causes to give it to.
 
Its always about the money...if each of those 4 million packs is worth 10 bucks, a 10% tariff would be 1 million a day income. 365 Million a year...no politician on either side would leave that kind of money laying around...too many worthless causes to give it to.
365 million/yr is literally nothing. Not even a hundredth of a percent of the federal revenue numbers for 2024.
 
I agree with you on all your notes regarding the impact of de minimis and the hilarity of people acting like customs can't get strict, despite us seeing it all over the globe, but Mexico gets the majority of the precursors these days sent direct.

They may have some strict customs, but corruption is much more rampant in Mexico than it is in the US and it really does operate the way some people think customs in the US do, payment for large shipments to completely avoid customs. Acknowledged by both the Mexican and American governments, and regularly reported (recently as well) by FT/WSJ/NYT/etc. Some are certainly shipped into the US, but majority of precursors are sent and brewed in Mexico.

I agree Mexico is hugely corrupt, and perhaps the flow of precursers shifted back to Mexico. But the fact they were sent to the US for years, until recently, because it was easier to slip through US customs than even the notoriously corrupt Mexican customs demonstrates the scale of the problem.

Being able to order kilo of bags full of white powdered controlled substances with Amazon like ease, even if only AAS, and know it had a 99.9% chance of arriving safely through US Customs is almost hard to believe, yet we accepted that as normal. ANY bag of white powder could get through under those circumstances. It's not like it was checked. and the authorities said, "oh, that's just a kilo of a schedule III drug, let it pass.",
 
No it keeps spinning if we will allow that
I payed 600 bucks when they requested the payment if that’s the case and I’m sure I’m not the only one in this boat the proper way to handle such a case is to boycott the rest of the suppliers from that region.
trolling right?
 
I agree Mexico is hugely corrupt, and perhaps the flow of precursers shifted back to Mexico. But the fact they were sent to the US for years, until recently, because it was easier to slip through US customs than even the notoriously corrupt Mexican customs demonstrates the scale of the problem.

Being able to order kilo of bags full of white powdered controlled substances with Amazon like ease, even if only AAS, and know it had a 99.9% chance of arriving safely through US Customs is almost hard to believe, yet we accepted that as normal. ANY bag of white powder could get through under those circumstances. It's not like it was checked. and the authorities said, "oh, that's just a kilo of a schedule III drug, let it pass.",
A long time ago, I had a pack of about 100 of the brown bayer pakistan test enanthate amps get opened and still made it through for whatever reason. Shipped in for those that remember, a white cheesecloth, with a wax, red stamp that looked like a bomb.

The package had about a 4 inch, cut made with a razorblade along the edge just enough to let you pull it apart and see what was inside. Then that slit got taped closed with a very small pice of green customs tape.

I can only assume the customs guy was probably not in the mood to do with whatever paperwork was needed and in a hurry and just wanted to make sure it wasn't something dangerous and sad F it, and just let it through.
 
365 million/yr is literally nothing. Not even a hundredth of a percent of the federal revenue numbers for 2024.
But those packages are not $10 each. Let’s use the average price of $400 at a 10% tax, that is 5.8 billion. That isn’t including the packages that used the loophole to bypass taxes and now have to pay the actual tax.
 
I agree Mexico is hugely corrupt, and perhaps the flow of precursers shifted back to Mexico. But the fact they were sent to the US for years, until recently, because it was easier to slip through US customs than even the notoriously corrupt Mexican customs demonstrates the scale of the problem.

Being able to order kilo of bags full of white powdered controlled substances with Amazon like ease, even if only AAS, and know it had a 99.9% chance of arriving safely through US Customs is almost hard to believe, yet we accepted that as normal. ANY bag of white powder could get through under those circumstances. It's not like it was checked. and the authorities said, "oh, that's just a kilo of a schedule III drug, let it pass.",
For sure, completely agree with the sentiment. Was just commenting specifically that fentanyl precursors are majority Mexico received, Mexico cooked, Mexico shipped currently. Doesn't change anything you're saying though.

Also makes it a bit funny that the stated reason for a crackdown on Canada right now is to stop the flow of fentanyl, when I'm certain there is more fentanyl coming to American shores directly than from our neighbors to the north, regardless if the majority is coming from Mexico.
 
Its always about the money...if each of those 4 million packs is worth 10 bucks, a 10% tariff would be 1 million a day income. 365 Million a year...no politician on either side would leave that kind of money laying around...too many worthless causes to give it to.
They will find a system to collect those taxes without inspection, because it is just impossible to inspect a percentage of that volume to have any kind of lasting effect. Then the smugglers will exploit the new system and we still pay a tax for legal and illegal goods.
 
But those packages are not $10 each. Let’s use the average price of $400 at a 10% tax, that is 5.8 billion. That isn’t including the packages that used the loophole to bypass taxes and now have to pay the actual tax.
So you just reached about a tenth of 1% with that amount, still absolutely nothing.

The majority of money from tariffs will and does come from actual taxed freight. 10% of Apple's iPhone revenue alone would dwarf 10% taxes on every piece of legitimate de minimis shipments.

"Politicians getting their cut" is a fun thing to riff about, and there's certainly money being left on the table because people will risk expensive watches in a "sub $800 de minimis shipment" for example, but at the end of the day it's all dwarfed by actual industrial freight.
 
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