The post-holiday returns surge in e-commerce represents the peak season for refunds, offering savvy retailers a prime chance to reclaim import duties paid on those very goods. With return rates climbing as high as 30% during festive periods, this influx turns potential losses into recoverable cash flow through duty drawback programs. TDR stands ready to guide retailers and logistics providers in the EU, UK, and US to capitalize on this opportunity, starting with a simple chat or questionnaire.
Holiday Returns Peak
The festive season drives record e-commerce sales, but it also unleashes the highest volume of returns. Industry data shows return rates averaging 16-18% year-round, spiking to 30% or more post-holidays, with millions of packages flooding back in early January alone. In the US, holiday sales are projected to exceed $1 trillion in 2025, yet shoppers return billions in purchases, straining logistics while creating duty recovery potential.
This surge stems from gift mismatches, sizing issues, and buyer’s remorse amplified by aggressive promotions. UK and EU retailers face similar pressures amid Brexit complexities and tightening tariffs, where returned goods often incur double duties without proper handling. Forward-thinking businesses view this not as a burden, but as a financial lifeline through reclaim mechanisms.
Duty Reclaim Solutions
TDR delivers tailored duty drawback solutions for reclaiming import duties on returned e-commerce goods across the EU, UK, and US. These programs allow recovery of duties paid on imports that are later exported or returned, directly boosting cash flow during high-return periods. Our expertise ensures compliance with varying country-specific rules, turning seasonal headaches into revenue streams.
Country-Specific Expertise
In the EU, duty drawback hinges on proving goods are re-exported unchanged, navigating post-2026 de minimis changes and VAT intricacies. TDR streamlines applications, ensuring unused returns trigger a refund of import duties. We’ve optimized processes for high-volume festive flows, recovering duties efficiently.
The UK demands accurate tracking from export to return, offering a wider timeline for claim submission than the EU. Our country-level specialists can pull down data from HMRC’s database, significantly reducing retailer’s workload. For US operations, drawback claims cover up to 99% of duties on re-exported merchandise, with TDR managing CBP filings amid 2025 tariff hikes.
Logistics providers benefit too, as TDR integrates with supply chains for seamless reclaim. We assess eligibility via your current setup, identifying gaps like missing export proofs. This proactive approach safeguards margins when returns peak.
What Retailers Should Do
Act swiftly with TDR’s free online quick survey. This 5-minute questionnaire asks for key data about your return volumes, markets, and duty exposure, delivering fast eligibility insights. No commitment required, yet it uncovers hidden reclaim opportunities worth thousands.
Alternatively, schedule a call with our experts for personalized guidance, covering EU, UK, and US nuances. We review your logistics model, forecast recoveries, and outline next steps. Many clients see initial refunds within weeks.