Trump Ends Duty-Free Import Rule, Reshaping U.S.-China E-Commerce Landscape

An executive order eliminates the 'de minimis' exemption starting May 2, imposing tariffs on low-cost imports and challenging platforms like Temu and SHEIN.

President Trump signed an executive order officially ending the 'de minimis' trade exemption, effective May 2, 2025, with new tariffs on low-value imports.
The tariff structure introduces a 30% duty or $25 per item, increasing to $50 in June, on goods previously exempt under the rule.
Chinese e-commerce giants Temu and SHEIN, which relied on duty-free direct shipping to U.S. consumers, are exploring U.S.-based warehousing and local sellers to adapt.
Critics warn the new tariffs will disproportionately impact lower-income consumers by raising the cost of inexpensive goods.
U.S. Customs and Border Protection faces logistical challenges in enforcing the policy, with over a billion low-value packages entering the U.S. annually.

South China Morning Post