Michael Dorgan of Fox Business reports President Trump ended the de minimis tariff loophole, targeting low-value Chinese imports from Shein and Temu to curb fentanyl shipments and protect U.S. jobs. The change may raise prices for consumers and hit fast-fashion giants reliant on duty-free shipping. Dorgan writes:
President Donald Trump has today closed a tariff loophole that companies like Chinese e-commerce giants Shein and Temu have been using to sell cheap goods into the U.S. tariff-free – which will likely impact prices on U.S. consumers.
Trump has eliminated what’s known as the “de minimis” exemption where imports valued under $800 from China and Hong Kong were not subject to tariffs or required to undergo rigorous customs checks. The loophole has also been criticized for allowing shipments of fentanyl precursors to enter the country. […]
The White House said that many Chinese-based shippers hide illicit substances, including synthetic opioids, in low-value packages to exploit the de minimis exemption. Figures from the Centers for Disease Control and Prevention (CDC) estimate a staggering 107,543 drug overdose deaths in the U.S. during 2023. […]
“This tariff loophole has granted China almost unilateral, privileged access to the U.S. market at the expense of American manufacturers and U.S. jobs,” Glas told the New York Times. Her group had advocated for its abolition.
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