Point tariffs, ADA, CCPA to be aware of at cross -border ECs for the United States

Points to be aware of when selling cross-border e-commerce products to the US

Our team has written several articles so far, so we would like to compile them into a single article and present them here.

When starting a cross-border e-commerce business from scratch, there are various laws and regulations you need to be aware of, such as the ADA (American Disability Act), CCPA (California Consumer Privacy Act), rules regarding payments and shipping, so we will go over them one by one.

US e-commerce regulations

There are laws and regulations related to e-commerce that do not exist in Japan, so it is necessary to comply with them. Typical examples are the CCPA and the ADA.

Here we would like to provide a brief explanation of the CCPA.

CCPA

What is CCPA? The California Consumer Privacy Act came into effect in January 2020 and was enacted to strengthen personal information protection in California.

The content will be similar to the revised Telecommunications Business Act, which came into effect in Japan in June 2023.

Specifically, the CCPA requires you to comply with the following:

Consumers can ask companies to tell them how their personal information is being handled and used. (This requires companies to provide the information requested by consumers within 45 days.)

Consumers can refuse to allow companies to provide or sell their personal information to third parties. (This means that companies cannot provide or sell personal information to third parties unless they receive permission from the consumer who refused.)

Consumers can request that companies delete their personal information. (Companies must comply with consumers' requests to delete their personal information.)

Consumers will be able to continue to receive the same services as before, even if they exercise the above three rights. (Even if consumers exercise their rights to request personal information, refuse the sale of personal information, or request the deletion of personal information, companies must continue to provide services in the same way as before.)

This applies to all tools that collect personal information, so when configuring an e-commerce site, you should also take care to provide an opt-out option when designing the operation of MA tools, including Klaviyo.

References CCPA and CPRA

Eligible companies are those that meet any of the following criteria:

Companies with annual sales of over $25 million

Companies that handle the personal information of 50,000 or more California residents annually

Companies that derive 50% of their total revenue from the sale and purchase of personal information (of California residents)

For more information, see this related article

Is your business safe under California's new CCPA law?

THERE IS

The ADA (Americans with Disabilities Act) is a law enacted to ensure equal opportunities for visually impaired people to participate in society and to eliminate discrimination.

The United States has laws that prohibit discrimination based on race, sex, national origin, and religion, and the "Americans with Disabilities Act" was enacted in 1990, along with these laws.

refer to　Code Mantra

I have the impression that the ADA is more often pointed out as a problem with e-commerce for Japanese companies than the CCPA.

It is important that websites are readable by visually impaired people, which is why US websites have accessibility marks and pages.

参考　 All birds, our commitment to accesibility

A first offense can result in a fine of up to $75,000, and subsequent offenses can result in a fine of up to $150,000.

In addition to fines, you will also be required to make subsequent website modifications and obtain approval from the authorities, and if you receive a notice of violation, you will incur significant costs including fines, response costs, and modification costs.

Isn't it time for mouse-only operation? What ADA compliance should we consider now?

Customs duty

Dealing with customs duties in cross-border e-commerce

How to do this in Shopify settings
1. Related articles　What about customs duties when ordering from overseas? Explaining how customs duties are charged and paid! [Shopify]
2. Taxes you need to know when running an e-commerce business in the US (for beginners)
How to have a payment processing company handle all your payments at once
Global accounting software users

If you have any questions about tariff settings, please contact us here!

settlement

Shopify Payment can handle payments in multiple currencies and customs duties.
Please note that many Japanese payment gateways only accept yen payments, such as SB Payment.

When selling products that do not pass Shopify Payment's screening (used goods, etc.), the payment method must be considered based on the product.

Contact us here!

Advertising costs

Compared to Japan, advertising CPMs tend to be higher for almost all e-commerce related keywords.

When starting cross-border e-commerce, it often takes time to gain initial traction, so it is important to create a business plan with ample time to spare.

GO RIDE, including our local office in LA, supports cross-border e-commerce and the expansion of Japanese companies from Japan to the US.

Please feel free to contact us.