U.S. Reduces Tariff on Chinese E-Commerce Shipments

EXIM

USA: The United States will reduce the "de minimis" tariff on shipments from China to 54% from the previously planned 120%, while maintaining a flat fee of $100. These changes, announced in a White House executive order, will take effect from May 14 and modify an earlier directive issued by Washington. 

The revision follows a truce between Beijing and Washington, where both sides agreed to roll back most tariffs imposed since early April as part of their ongoing trade conflict. Under the de minimis rule, goods valued at up to $800 and shipped via postal services were previously exempt from duties and subject to minimal inspection. However, in February, President Donald Trump eliminated this exemption, setting a 120% tariff or a flat $200 fee, originally scheduled to take effect in June, citing misuse by e-commerce platforms like Shein and Temu, as well as traffickers of fentanyl and other illicit goods. 

Shipments using the de minimis loophole surged recently, with over 90% of packages entering the U.S. through this channel, around 60% of which originated from China, largely from direct-to-consumer platforms such as Shein and Temu. The White House has now scaled back the proposed duty to 54% and confirmed the $200 flat rate will be scrapped, retaining the current $100 fee. 

Source: India Today