Description
by ALEXX ALTMAN-DEVILBISS | The National News Desk
Fri, May 2nd 2025 at 9:30 AM
FILE - Pages from the Shein website, left, and from the Temu site, right, are shown in this photo, in New York, June 23, 2023. (AP Photo/Richard Drew, FIle)
WASHINGTON (TNND) — American shoppers should expect to pay more for online goods bought from China after the Trump administration on Friday officially eliminated a loophole on tariffs.
The de minimis rule allowed products up to $800 to come into the U.S. duty-free as long as they were shipped directly to U.S. consumers and small businesses.
E-commerce platforms like Shein and Temu have been the biggest users of the widely used exemption.
In April, Hong Kong announced its postal service would stop shipping packages "containing goods destined to the U.S." as part of another retaliatory measure against Trump's tariffs.
Tariffs on China currently sit at 145%, higher than any other country in Trump’s expansive attempt to remake global trade, which has been met with a 125% levy on American goods in a trade war that threatens to put trade between the world’s two biggest economies into a standstill and has raised fears of a global recession.
During a cabinet meeting at the White House on Wednesday, Trump referred to the loophole as "a scam."
“It’s a big scam going on against our country, against really small businesses,” he said. “And we’ve ended, we put an end to it.”
Trump has claimed his aggressive tariff agenda will bring more manufacturing jobs back to the U.S. and bolster national security by allowing the U.S. to stop relying on China for an assortment of goods, though economists have warned such a revitalization of America's manufacturing sector may not be practical and would take years to develop.
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Editor's note: The National News Desk's Austin Denean contributed to this article.
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