{"id":104912,"date":"2025-08-29T07:39:35","date_gmt":"2025-08-29T07:39:35","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/104912\/"},"modified":"2025-08-29T07:39:35","modified_gmt":"2025-08-29T07:39:35","slug":"de-minimis-rule-billions-of-packages-of-cheap-goods-shipped-to-the-us-are-now-subject-to-steep-tariffs","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/104912\/","title":{"rendered":"De minimis rule: Billions of packages of \u2018cheap\u2019 goods shipped to the US are now subject to steep tariffs"},"content":{"rendered":"<p>                Facebook<\/p>\n<p>                Tweet<\/p>\n<p>        <a class=\"social-share_labelled-list__share\" href=\"mailto:?subject=CNN%20content%20share&amp;body=Check%20out%20this%20article%3A%0Ahttps%3A%2F%2Fwww.cnn.com%2F2025%2F08%2F29%2Fbusiness%2Fend-of-an-era-billions-of-packages-of-cheap-goods-shipped-to-the-us-are-now-subject-to-steep-tariffs\" data-type=\"email\" target=\"_blank\" rel=\"noopener noreferrer\" aria-label=\"share with email\" title=\"Share with email\"><\/p>\n<p>                Email<br \/>\n        <\/a><\/p>\n<p>                Link<\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevjzdl0005z26qgdr7d23bs@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            A big change to all the \u201ccheap goods\u201d Americans order just went into effect.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevsbne600013b6n9sp3ouya@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            For nearly a century, low-value packages of goods from abroad have entered the United States duty free, thanks to what\u2019s known as the \u201cde minimis rule,\u201d which as of 2015 has applied to packages worth less than $800.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevsbne600023b6n0t8u89en@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            The loophole has reshaped the way countless Americans shop, enabling many<a href=\"https:\/\/www.cnn.com\/2025\/08\/24\/economy\/de-minimis-package-delivery-small-business\" rel=\"nofollow noopener\" target=\"_blank\"> small businesses globally<\/a> to sell goods to US consumers with relative ease and allowing, in particular, ultra-low-cost Chinese e-commerce sites like Shein, Temu and AliExpress to sell everything from clothing to furniture to electronics directly to American shoppers, escaping many duties in place for packages exceeding the $800 threshold.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevsbne600043b6n3zwnzulk@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            But those days are over. As of one minute past midnight Eastern Time, all imported goods \u2014 regardless of their value \u2014 are now subject to 10% to 50% tariff rates, depending on their country of origin. (In certain cases, they could face a flat fee of $80 to $200, but only for the next six months.)\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevtr65b00093b6non8w5ota@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Ahead of the expiration of the de minimis rule, a <a href=\"https:\/\/www.cnn.com\/2025\/08\/27\/economy\/postal-service-halt-japan-australia-intl-hnk\" rel=\"nofollow noopener\" target=\"_blank\">slew of delivery services<\/a> across Europe, as well as Japan, Australia, Taiwan and Mexico suspended deliveries to the United States, citing logistical compliance challenges.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevtsdft000g3b6nb80p3kok@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            International shipper UPS, meanwhile, said in a statement to CNN Thursday: \u201cWe stand ready for the new changes and do not anticipate any backlogs or delays.\u201d\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevun0cr000s3b6n7dbhbr7p@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            DHL, which suspended service for standard parcel shipments from Germany but is continuing to ship international packages to the United States from all other countries it serves, told CNN that shipments \u201cmay experience delays during the transitional period as all parties adjust to the changes in tariff policy and regulation.\u201d\n    <\/p>\n<p>       <img decoding=\"async\" src=\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2025\/08\/gettyimages-2165504602.jpg\" alt=\"Workers unload containers to be sorted at the UPS Worldport facility in Louisville, Kentucky, on Aug. 8, 2024.\" class=\"image_large__dam-img image_large__dam-img--loading\" onload=\"this.classList.remove('image_large__dam-img--loading')\" onerror=\"imageLoadError(this)\" height=\"1331\" width=\"2000\" loading=\"lazy\"\/><\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevtsdft000h3b6njdopwsof@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            The United States Postal Service and FedEx declined to comment on whether customers should anticipate delays.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmew891t200223b6nn0cx2fzx@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            \u201cOur systems are fully programmed and equipped to support the seamless implementation of these changes. CBP has prepared extensively for this transition and stands ready with a comprehensive strategy, having provided clear and timely guidance to supply chain partners, including foreign postal operators, carriers, and qualified third parties to ensure compliance with the new rules.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmew89ew700243b6ncdkt3ydb@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Susan Thomas, the acting executive assistant commissioner for Customs and Border Protection\u2019s Office of Trade, told CNN in a statement that the agency\u2019s systems \u201care fully programmed and equipped to support the seamless implementation of these changes.\u201d\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevxde4x001u3b6nfkpaf9gu@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            \u201cCBP has prepared extensively for this transition and stands ready with a comprehensive strategy, having provided clear and timely guidance to supply chain partners, including foreign postal operators, carriers, and qualified third parties to ensure compliance with the new rules,\u201d she said.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevuc29q000k3b6ng3ynsm2w@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            While some small businesses, like some individual consumers, have benefited from the de minimis exemption by purchasing goods duty-free, the end of the exemption may benefit some, too.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevudg9x000n3b6n26eq7x5p@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            For Steve Raderstorf, co-owner of Scrub Identity, which sells scrubs and other medical apparel at two stores located in Indianapolis, the tariff change will \u201clevel the playing field\u201d for him and, he believes, other small business owners, he said.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevusvt7000v3b6nrci9ltzp@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            A 2023 report by Coalition for a Prosperous America, a group that advocates for US producers and manufacturers, estimates that e-commerce giants like Amazon and Walmart took in hundreds of billions of dollars in revenue in 2022 through their networks of third-party sellers who took advantage of the loophole.\n    <\/p>\n<p>       <img decoding=\"async\" src=\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2025\/08\/img-8892.jpg\" alt=\"Steve Raderstorf and his wife operate two Scrub Identity stores in Indianapolis, collectively employing eight people.\" class=\"image_large__dam-img image_large__dam-img--loading\" onload=\"this.classList.remove('image_large__dam-img--loading')\" onerror=\"imageLoadError(this)\" height=\"2667\" width=\"2000\" loading=\"lazy\"\/><\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevvv635000y3b6nadefaexm@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Raderstorf said almost all the goods he sells are imported. But as a small business, he doesn\u2019t have the ability to set up a third-party network to tap into the exemption. Instead, his imported goods are all subject to applicable tariffs.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevx5ro0001f3b6nokzt6k5d@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Additionally, many of the foreign manufacturers from whom he purchases goods in bulk in order to get a better price have benefited from de minimis by setting up sites to sell directly to people who could have otherwise shopped at his stores.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevx6ucz001m3b6nbgnrzt8z@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            With de minimis gone, he feels small businesses have a better chance to compete more fairly with mega retailers and also support their local communities more.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevwucst00153b6njs0dgeug@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            \u201cWhen somebody comes to my door and they want me to support the local football team or baseball team, I have money to do that then, and then it gets back into the community,\u201d he told CNN. \u201cWhen it goes to China, it never, ever stays in the United States \u2014 it\u2019s gone for good.\u201d\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevx9e5i001r3b6ns8hmk9yz@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Since the de minimis exemption was closed for China and Hong Kong, CBP has seen packages that would have otherwise qualified for duty-free status go down from an average of 4 million a day to 1 million, White House officials told reporters Thursday.\n    <\/p>\n<p class=\"paragraph-elevate inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cmevwi85o00113b6nc26cfe18@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Raderstorf is empathetic to Americans who are concerned about the increased cost of goods \u2014 but at the same time, he\u2019s hopeful it\u2019s \u201cgoing to push them back out into their communities to meet their local retailers.\u201d\n    <\/p>\n","protected":false},"excerpt":{"rendered":"Facebook Tweet Email Link A big change to all the \u201ccheap goods\u201d Americans order just went into effect.&hellip;\n","protected":false},"author":2,"featured_media":104913,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[45,49,48,46],"class_list":["post-104912","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-ca","tag-canada","tag-economy"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/104912","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=104912"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/104912\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/104913"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=104912"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=104912"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=104912"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}