Feb. 20, 2026: An Update on Tariffs; or, Government Bureaucracy is So. Much. Fun.
Hi All,
So you've probably seen by now that the U.S. Supreme Court has ruled that the current set of tariffs placed on foreign countries that import to the States have been put in place illegally. So what does that mean for Indigodragonfly?
The Short Answer: We're not sure.
Given the ramshackle nature & manner the tariffs were initially put in place, the duties infrastructure is, unfortunately, unclear as to what is going to happen next.
At present, when a product is purchased for shipment to the U.S., our website (Shopify) calculates the duties required to cover the extra shipping costs created by the tariffs. Upon shipping by Canada Post/USPS, we get automatically billed by a third party company called Zonos that collects the duties & theoretically passes them on to the U.S. Government, plus they tack on an added $1.99 USD for every parcel which goes into their sticky little pockets. Thanks to this formula, not only do we not net any money for duties, we actually lose money thanks to the processing fees. Shopify automatically figures out & charges the duties, so unfortunately we can't just toggle a back-end switch to disable duties charges at checkout.
With the new SCOTUS ruling, we've received word from Zonos that they're temporarily halting billing us, but no word on whether they'll suspend charging duties on U.S. purchases at the checkout or be part of any sort of refund scheme. Quite frankly, I think there's next to no chance these tariff fees will ever be returned. And now that the US Government has said they're immediately instituting a 150-day 10% tariff because they're extra cranky, that probably leaves us back at stupid ol' Square One because many of our yarns were already being tariffed at 10%.
Anyway, this is all one head-banging-against-a-brick-wall morass. We'll update this post as we get more information...that is, if the gears of governmental bureaucracy & financial greed actually start turning and more information is forthcoming. And if by some miracle the government is forced to issue refunds somewhere down the road, we'll do our best to return these duties back to you as we were forced to collect these ill-begotten funds, which came to us and then went right back out to the US Government - to keep any refund or turn a profit from illegal means is unethical and not the way we want to run this business.