The End of De Minimis: Tariff Overhaul in the U.S.
The United States is ending a 'de minimis' exemption for low-value shipments, imposing tariffs on packages valued under $800 arriving outside the international postal network. Initiated by President Trump, this move targets shipments particularly from China and Hong Kong, impacting global trade starting August 29.
In a significant policy shift, the United States is set to abolish the 'de minimis' exemption on lower-value commercial shipments entering the country without facing tariffs. This strategic move was confirmed by a White House announcement on Wednesday.
President Donald Trump has enacted an executive order that mandates packages valued at or below $800, arriving outside the international postal framework, to incur all relevant duties starting from August 29. Originally, Trump aimed this change at shipments from China and Hong Kong, with a broader global implementation set to take effect by July 2027.
In accelerating the timeline prescribed by the One Big Beautiful Bill Act, the President aims to address national urgencies and support domestic enterprises. Goods transitioning through postal services will be subject to either 'ad valorem duty,' reflective of the originating country's tariff rate, or a set tariff ranging between $80 and $200 for six months, contingent on the country of the package's origin.
(With inputs from agencies.)
- READ MORE ON:
- Tariff
- Exemption
- De Minimis
- United States
- Trump
- China
- Hong Kong
- Shipments
- Duties
- Trade
Google News