US Cancels Duty-Free Privileges for Chinese Imports
The exemption, which had previously allowed parcels worth less than USD800 to enter the U.S. without incurring customs duties, was abolished following an executive order authorized by Leader Donald Trump on April 2.
According to the White House, the initiative aims to curb the unlawful influx of synthetic narcotics like fentanyl and to seal a "loophole" that Trump called a “scam” that undermines American small businesses.
“It’s a big scam going on against our country, against really small businesses. And we’ve ended, we put an end to it,” Trump stated at a Cabinet meeting earlier this week.
Shipments sent from China and Hong Kong will now incur tariffs and must comply with all applicable taxation.
This policy shift is anticipated to significantly impact online retail companies such as Shein, Temu, and independent Amazon sellers, who had previously taken advantage of the loophole to bypass import charges.
Products from China might now be subject to tariffs as high as 145 percent.
Trade analysts informed the media that the action also adds a substantial workload for U.S. Customs and Border Protection (CBP), which will now be responsible for examining millions of additional packages every day—potentially leading to shipping delays and logistical complications.
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