Trump Cracks Down on Duty-Free Imports from China

The Trump administration has ended U.S. duty-free access for low-value shipments from China and Hong Kong, removing 'de minimis' exemptions benefiting e-commerce firms like Shein and Temu. The decision reinstates an earlier executive order aimed at enhancing package screening to curb illicit imports, potentially impacting international air cargo traffic.

The Trump administration has decisively ended the U.S. duty-free access for low-value shipments from China and Hong Kong. This move revokes the 'de minimis' exemptions that benefited e-commerce giants such as Shein and Temu, as well as smugglers of illicit goods like fentanyl.

The action restores a previously suspended executive order from February, aimed at enforcing tariffs on small Chinese shipments amidst inadequate screening protocols. U.S. Customs and Border Protection confirmed readiness to implement these enhanced tariffs effectively, ensuring new measures do not disrupt passenger transit times at ports of entry.

Significant tariffs are now in place for small shipments from China, while an industry adaptation is underway amidst expectation of declining international air cargo traffic. The de minimis package trade, significant for air cargo from Asia, faces potential sharp reductions, impacting carriers operating in these markets.

(With inputs from agencies.)