Thursday, October 30, 2025

US Halts Low-Value Import Exemption in New Trade Tariffs

The United States suspended a key trade exemption for low-value imports from China, Canada, and Mexico as part of President Donald Trump’s new tariff orders, targeting a loophole widely criticized for enabling fentanyl trafficking and unfair competition.

The suspension affects the “de minimis” rule, which previously allowed duty-free entry for shipments valued under $800. The provision has processed over 1 billion shipments annually, according to US Customs and Border Protection, with Census Bureau data showing low-value shipments from China alone reached $4.7 billion in 2023.

“These executive orders appear to eliminate de minimis entries for all three countries, which will have broad impacts on many businesses and industries,” said Tim Brightbill, co-chair of Wiley Rein’s trade practice.

The move could significantly affect Chinese e-commerce companies like Shein and Temu, which have used the exemption to ship directly to US consumers while avoiding previous tariffs.

The suspension comes amid heightened concerns about drug trafficking. Fentanyl overdoses killed nearly 75,000 Americans in 2023, according to the US Centers for Disease Control and Prevention. A Reuters investigation last year revealed Chinese chemical traders were using the exemption to transport precursor chemicals into the United States, which were then moved to Mexican labs.

“The challenges at our southern border are foremost in the public consciousness, but our northern border is not exempt from these issues,” the White House order reads. “Criminal networks are implicated in human trafficking and smuggling operations, enabling unvetted illegal migration across our northern border. There is also a growing presence of Mexican cartels operating fentanyl and nitazene synthesis labs in Canada.”

The suspension will remain in effect as long as Trump’s new tariffs — 25% on Canadian and Mexican goods and an additional 10% on Chinese imports — stay in place.


Information for this story was found via Reuters, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Silver’s Finally Breaking the System | Keith Neumeyer – First Majestic

The Best News for Gold Was the Drop! – Peter Grandich

McEwen Copper: The Los Azules Feasibility Study

Recommended

Silver47 Completes Property-Wide Geochemical, Rock Sampling Program At Adams Plateau, Identifies Numerous Targets

Altamira Gold Identifies Presence Of Second Mineralized Porphyry Body At Cajueiro

Related News

Decoding the White House’s Tariff Exceptions

A newly released White House directive has triggered fresh scrutiny of the US tariff landscape,...

Thursday, April 3, 2025, 10:37:00 AM

Trump Hits Surplus Partner Brazil With 50% Tariffs For “Witch Hunt” On Bolsonaro

President Donald Trump has raised the stakes of his self-styled reciprocal trade war by mailing...

Thursday, July 10, 2025, 08:24:00 AM

EU Fires Back With €72B Tariff Counterpunch Affecting Boeing And Bourbon

The European Union has drawn up a €72 billion ($84 billion) list of US goods...

Tuesday, July 15, 2025, 02:13:00 PM

US Adopts China-Style Playbook in Race for Critical Minerals

In a move echoing Beijing’s state-backed playbook, the Trump administration is signaling a profound pivot...

Wednesday, April 30, 2025, 03:40:00 PM

Beijing Further Cracks Down on American Defense Firms Over Taiwan Arms Sales

China has announced sweeping export restrictions on 28 U.S.-based defense contractors and related entities, escalating...

Saturday, January 4, 2025, 09:37:00 AM