Background

President Trump has issued an executive order ending duty-free de minimis treatment for low-value imports from China (including Hong Kong; Macau could be added later). This change will be effective for goods entered or withdrawn from warehouse for consumption on or after 12:01 a.m. EDT on May 2.

ST&R offers a three-pronged approach to avoiding, mitigating, and/or recovering import tariffs. For more information on which of these strategies might be most effective for your business, please contact ST&R.

Under this EO, Chinese-origin goods sent through means other than the international postal network that are valued at or under $800 and would otherwise qualify for the de minimis exemption will be subject to all applicable duties (e.g., Section 301 tariffs, reciprocal tariffs, etc.), which must be paid in accordance with applicable entry and payment procedures. All entries will have to be made by an entity qualified to make formal or informal entry in the Automated Commercial Environment.

Chinese-origin goods sent through the international postal network that are valued at or under $800 and would otherwise qualify for the de minimis exemption will be subject to a duty rate of either 30 percent of their value or $25 per item (increasing to $50 per item on June 1). This will be in lieu of any other duties, including those imposed by prior EOs.

The EO specifies that (1) carriers transporting these postal items must report shipment details to U.S. Customs and Border Protection, maintain an international carrier bond to ensure duty payment, and remit duties to CBP on a set schedule, and (2) CBP may require formal entry for any postal package (which would subject it to all applicable duties instead of those specified above for postal items).

The White House explained the policy change by asserting that CBP processes an average of more than four million de minimis imports each day and that “many” China-based companies use such shipments to “hide illicit substances in the flow of legitimate commerce, including through false invoices, fraudulent postage, and deceptive packaging.” Further, China “enforces strict import restrictions and tightly limits de minimis exemptions” of its own.

Copyright © 2025 Sandler, Travis & Rosenberg, P.A.; WorldTrade Interactive, Inc. All rights reserved.

ST&R: International Trade Law & Policy

Since 1977, we have set the standard for international trade lawyers and consultants, providing comprehensive and effective customs, import and export services to clients worldwide.

View Our Services 

Close

Cookie Consent

We have updated our Privacy Policy relating to our use of cookies on our website and the sharing of information. By continuing to use our website or subscribe to our publications, you agree to the Privacy Policy and Terms & Conditions.