
The United States is preparing to eliminate its long-standing “de minimis” tariff exemption for low-value imports from every country, effective August 29, in a sweeping move to curb tariff evasion and bolster import oversight.
Starting late August, packages valued at $800 or less--excluding those arriving via international postal services--will no longer qualify for duty-free entry, reports South China Morning Post.
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Instead, these shipments will face full tariffs, as part of an executive order issued by President Donald Trump, aimed at halting patterns of abuse reported in global trade, analysts say.
Platforms like Shein, Temu, Etsy, and eBay, which have built businesses on ultra-cheap shipping to U.S. consumers, are set for disruption.
These businesses must now contend with higher compliance costs and potentially lower margins as new tariffs take effect.
According to U.S. officials, loopholes in the de minimis provision have enabled the smuggling of opioids and underpriced goods that undercut domestic producers.
The acceleration of the exception’s repeal--originally scheduled for mid-2027 under the One Big Beautiful Bill Act--reflects rising concern over national security and economic fairness.
This action complements earlier steps taken in May to restrict duty-free imports from China and Hong Kong.
One expert observed that eliminating workarounds has pushed firms toward domestic warehousing or alternative export markets.
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