The United States has recently implemented an end to a longstanding global tariff exemption that impacted low-cost goods. As of Friday, imports valued at $800 or less will now be subject to duties and increased customs checks, potentially affecting millions of daily shipments. Last year, approximately 1.4 billion packages entered the U.S. without duties, utilizing the de minimis exemption, which was established in 1938 to reduce the costs associated with collecting duties on small amounts.
The recent policy shift, enacted by President Donald Trump, may particularly impact small businesses and consumers, who might experience higher prices and fewer available options in the market. Some companies, like Buenos Aires-based Zou Xou, have expressed concerns about how these changes could threaten their operations. The de minimis exemption has facilitated e-commerce, allowing businesses to avoid high tariffs and remain competitive.
The de minimis rule has been a significant factor in the operations of various companies, notably Chinese e-commerce platforms such as Shein and Temu. As a result of the changes, U.S. customs will impose duties based on the tariff rate of the originating country or a fixed fee per package, effective from this point forward.
Trade experts suggest that the complexities of the new customs documentation may limit the variety of goods available to U.S. consumers, particularly from smaller firms. Many businesses have paused shipments due to uncertainties concerning the new regulations and possible increased costs from express couriers.
While some U.S. retailers may benefit from reduced competition and potentially safer imports, consumers may still face higher prices. The situation raises questions about how these tariff changes will influence consumer choices, especially as larger companies, like Shein, adapt more swiftly to the new regulations.
Source: https://www.bbc.com/news/articles/cnv7l575lgeo?at_medium=RSS&at_campaign=rss