The US President-elect Donald Trump’s administration has paused its repeal of duty-free treatment for low-cost packages from China, after it caused disruptions in customs inspections, postal services, and online retailers.
The change, implemented with just over 48 hours’ notice, affected companies like Shein and Temu, which ship goods directly from Chinese factories to US shoppers using the de minimis waiver. The waiver allows for duty-free treatment on items worth less than $800.
Logistics experts warned that the switch would overwhelm US Customs agency, and many shipping experts and attorneys have expressed concerns about the impact on customs inspections.
The pause gives the Commerce Department time to make the order workable, but it’s unclear whether US shoppers who paid duties will receive refunds. The revised order requires additional information and duties for more than 1 billion small-value e-commerce packages arriving annually in the United States with goods coming directly from China.
Companies like Shein and Temu have halted some air cargo flights due to the change, invoking force majeure to cancel agreements without penalties. US shoppers also got hit with bills for duties on purchases of dresses, tops, and baby clothing that were previously exempt.
Source: https://www.reuters.com/business/trump-signs-order-delaying-tariffs-de-minimis-imports-china-2025-02-07