Congratulations: Christmas (and Thanksgiving) Just Got More Expensive

…and let’s just hope your parcel actually arrives.

Yes, it’s still summer — but for retailers, the countdown has already begun. Shopping for Thanksgiving and Christmas kicks off earlier every year, and this is the time when makers and small businesses usually start to see orders pick up.

But this year? Things look very different. For both sellers and buyers, Christmas just got more expensive.

Congratulations: Christmas (and Thanksgiving) Just Got More Expensive

From raw materials to finished products, Tariff D-Day has sent a ripple through the entire supply chain. For artisans who rely on imported supplies, producing costs more. For those selling to U.S. customers, shipping is more complicated. For buyers, the final price tag reflects all these pressures stacked together.

The Rising Cost of Making

Behind every handmade product lies a web of supplies and tools, many of which are sourced from abroad.

• Jewellers importing silver chains, clasps, or gemstones.

• Textile artists sourcing organic cotton or hand-dyed fabrics.

• Ceramicists relying on imported glazes and specialist kilns.

All of these materials now face higher duties and customs delays. What was once a simple restock order from a trusted supplier is now a balancing act between cost, paperwork, and timing.

For makers, that means thinner margins before an item even reaches the customer.

Selling Across Borders Is Harder Too

It doesn’t stop with production. Finished goods sent to U.S. buyers are subject to the same new rules. A £30 mug might attract an $80 flat duty or, in the best-case scenario, a 10% ad valorem charge.

Either way, the maths no longer works as smoothly as it did. Buyers are seeing prices climb at checkout or, worse, surprise fees on delivery. Sellers are left managing frustration, cancellations, or even negative reviews.

The Tricky Part: Returns at Christmas

Returns are a fact of life during the holidays — but they’ve just become far more costly.

• A returned item may be charged duties again when it re-enters its country of origin.

• Even with cross-border return rates averaging 5–10%, the financial risk adds up quickly.

• For handmade goods, where return rates are usually lower (around 5–8%), just a handful of parcels stuck at customs can wipe out the profit from dozens of successful sales.

In short: Christmas returns are no longer just an inconvenience — they’re a financial risk.

The Ripple Effect

Tariff D-Day hasn’t only made selling trickier. It’s also reshaping supply chains.

• Suppliers are struggling to get materials to artisans.

• Makers are raising prices or reducing product ranges.

• Buyers are hesitating at checkout, unsure about duties or delivery timelines.

The result? Costs cascade through the system: materials → production → shipping → final price. And Christmas shoppers will feel it most keenly in their wallets.

Who Really Wins?

While makers and buyers lose out, others are better positioned:

• U.S. manufacturers gain an edge as imported goods get pricier.

• DDP-capable carriers (UPS, FedEx) are picking up business as postal networks falter.

• Customs tech providers that automate duty calculations are suddenly in high demand.

For small businesses, this means adaptation isn’t optional; it’s a matter of survival.

What Sellers Can Do This Christmas

• Bundle products to lift order value and soften the impact of duties.

• Communicate clearly with buyers about possible costs and delays.

• Offer DDP shipping to prevent unwelcome surprises at the doorstep.

• Reassess sourcing and consider bulk-buying materials ahead of peak periods.

• Tighten return policies and be upfront about how cross-border returns are handled.

Christmas and Thanksgiving Shopping: Final Word

This Christmas, shoppers will pay more, makers will earn less, and postal services will struggle under the weight of new rules. And while the official line is that tariffs will “protect U.S. industry”, for many it feels more like watching Donald Trump gild the interior of the White House: a shiny, symbolic gesture that looks impressive at first glance, but leaves others footing the bill.

Still, the season is not without hope. Handmade work remains a powerful antidote to mass production, and the makers who adapt early, communicate clearly, bundle cleverly, and source strategically will be the ones who keep their sparkle this Christmas, tariffs and all.