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Postal Hub podcast

Feb 1, 2021

Is seamless global cross-border e-commerce a thing of the past? Brexit has already disrupted international parcel delivery. Martyn Noble and David Spottiswood, co-founders of Hurricane Modular Commerce join me to discuss:

  • Barriers coming up in cross-border e-commerce
  • How data can facilitate a return to seamless cross-border e-commerce
  • The “wild west” days are over! Data is now hugely important
  • The size of the global cross-border market - and how much is being carried by the world’s postal operators
  • Going from a hybrid paper/data international model to a huge scale market that requires data and digital processes
  • The doorstep surprise - customers having to pay extra duties/customs charges to the delivery company for receipt of their cross-border purchases
  • Mainstream media coverage of the doorstep surprise phenomenon
  • The need for cost transparency at the point of purchase
  • What happens to refused deliveries? The costly and inefficient returns process - in a very tight air cargo market
  • Delivery companies, retailers, and 3PLs having to respond to Brexit, ICS2, Stop Act, and new VAT regulations
  • Carriers don’t want to deal with payments at the customer’s doorstep
  • ICS2 coming into effect on 15 March - implications for selling into the EU
  • The importance of the UK and EU markets
  • STOP Act - new implementation date of 15 March
  • Risk of non-compliance with STOP Act for articles bound for the USA - could up to 750m parcels be rejected per year?
  • Have retailers been lulled into a false sense of security over cross-border compliance?
  • Item data: Product description, commodity description, customs coding, consignee/consignor information
  • Regulation - cost or opportunity?
  • 2021 is not the end of increasing regulation of cross-border e-commerce, including duty on inbound parcels
  • China’s increasing interest in compliance
  • New export controls - including denied parties - for parcels coming out of China
  • Increasing scrutiny of description of goods - “gift” will no longer be acceptable!
  • An example of how bpost is already enforcing this at the post office counter (harmonised codes, HS6, etc)
  • The importance of data in driving customs codes and customs inspections
  • The first file to the last mile