Trump eliminates tariff exemption to small packages known as “minimis”

Home Business Trump eliminates tariff exemption to small packages known as “minimis”
Trump eliminates tariff exemption to small packages known as “minimis”

The measure, that exempts tariffs on those packages and had so far benefited e -commerce giants like Temu or Shein.

The president, Donald Trump, signed his decree on April 2 and then established that the end of that exemption began at 00:01 local time on May 2.

According to its executive order, the imported goods sent by means other than the postal network that have a value equal to or less than US $ 800 become subject to all applicable tariffs.

Postal shipments that have a value equal to or less than US $ 800 are subject to a 30% tariff of its value or US $ 25 per shipment (which will increase to US $ 50 per shipment as of June 1).

As recalled by the Hinrich Foundation organization, based in Asia, the “Minimis” provision, officially known as section 321 of the 1930 Tariff Law, was designed for a very different world.

His original intention was to avoid bothering American tourists who took memories home. But with the rise of electronic commerce, these provisions went on to play an important role when exempting the low -value assets of unnecessary procedures and costs, thus promoting the growth of small and medium exporters.

This exemption had been in the spotlight in recent years by the explosion of Chinese electronic commerce of companies such as Shein, Temu or Aliexpress, belonging to the giant Alibaba, and for those packages to more lax inspections.

The United States processed more than 1,300 million “minimis” in 2024, according to official customs and border protection office (CBP). It was a vertiginous growth since the 139 million processed just a decade before, in 2015.

On average, according to the White House, the US Office and Border Protection of the United States said more than four million “minimis” shipments every day.

Washington framed the end of the exemption in its fight against China’s role in the synthetic opioid crisis in the United States and saw it as “a fundamental step to counteract the current health emergency that raises the illicit flow of synthetic opioids” towards the country.

For the China Light Industry Federation, the end of the exemption “largely undermines the normal commercial order between China and the United States.” When it was announced in early April, the agency estimated that “seriously affects the global industry” and “greatly harms the rights and interests of consumers, including those of the US people.”

The administration of the Democrat Joe Biden (2021-2025) had contemplated ending that benefit, but did not fulfill his plan. And although Trump de facto suppressed that exemption in February when applying to China imports a 10% tax that also affected the packages with a value of less than US $ 800, had to reverse in its implementation to give time to the customs service to prepare for change, after it was collapsed at first.

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