The de minimis exception, which has allowed companies to import low-value items with out duties from China and Hong Kong, has expired as of 12:01AM ET immediately as a part of President Trump’s government order signed last month.
Many companies within the US depend on the de minimis loophole. Any bundle valued underneath $800 — together with electronics, toys, and clothes from corporations like Shein — can come to the US duty-free underneath the exception, leaving the merchandise super-cheap for consumers. In 2024, about 1.4 billion packages coming into the US claimed exemption from duties underneath de minimis. Retailers Shein and Temu have already raised prices to account for tariffs.
The Trump Administration’s new guidelines will add both a 30 % price to the worth of each bundle shipped to the US, or $25 (with a rise to $50 beginning June 1st) — a selection each postal provider should make and apply to all parcels. The brand new charges are being applied after Trump hit most Chinese language items with high tariffs last month, launching an escalating commerce warfare that ended with a 145 % import tax enhance. In retaliation, China has added a 125 percent fee on US items.