Overview

• The US government has eliminated the longstanding de-minimis exemption, applying 145% tariffs to all Chinese imports under $800 as of May 2.
• Chinese e-commerce giants Shein and Temu have raised prices by 40–100%, passing the tariff burden onto US consumers.
• Major retailers, including Walmart and Target, warn of potential supply shortages and empty shelves in the coming weeks due to disrupted supply chains.
• Port of Los Angeles Executive Director Eugene Seroka projects a one-third drop in import volumes from China, further straining logistics operations.
• Last fiscal year, 1.36 billion low-value parcels entered the US duty-free, underscoring the scale of the now-closed loophole.