The White House has confirmed that small packages from China, including those from popular online retailers like Shein and Temu, are still subject to a steep 120% tariff. This development deals a significant blow to U.S. consumers who rely on these platforms for affordable goods. The tariffs remain in place despite a broader relaxation of trade restrictions on many other Chinese imports. These elevated levies are seen as part of a new, enduring approach to U.S.-China trade policy.
The Trump administration recently announced a temporary reduction in tariffs on a wide range of Chinese goods, lowering them from 145% to 30% for a 90-day period. However, this temporary relief did not extend to low-value packages — those worth less than \$800 — which are still being hit with a 120% tariff or a flat \$100 postal fee. That fee is set to double to \$200 starting June 1. This exemption from tariffs, once enjoyed under the “de minimis” rule, allowed small shipments to enter the U.S. duty-free, benefiting consumers seeking low-cost goods.
White House Confirms 120% Tariff on Shein and Temu Orders, Ending Duty-Free Perk for ShoppersU.S. Ends De Minimis Exemption To Protect Domestic Retailers From Foreign E-Commerce Competition
Earlier in the year, Trump officially eliminated the de minimis exemption, following a delay that allowed U.S. Customs and Border Protection time to set up systems for tariff collection. The end of this exemption marks a significant shift in how low-value imports are treated, signaling a tougher stance on foreign e-commerce companies. This change also reflects a broader trend in U.S. trade policy aiming to curb the advantage of Chinese sellers operating through platforms that rely heavily on low-cost, direct-to-consumer shipments.
Supporters of ending the de minimis rule argue that it helps level the playing field for U.S. businesses. Companies like Forever 21 have cited the rise of Chinese fast-fashion platforms as a contributing factor to their financial troubles and store closures. By imposing steep tariffs on small imports, the U.S. government hopes to mitigate the impact of overseas competition and support domestic retailers that have struggled in the face of fast, cheap foreign alternatives.
