New regulations may apply to low-value packages from China

By: Trademagazin Date: 2024. 09. 13. 11:25

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The US government plans to tighten regulations on small-value shipments from China, which could have a major impact on popular online shopping sites such as Shein and Temu, reports the BBC. The new regulations are intended to limit duty-free entry of low-value Chinese products into the U.S. market, which the Biden administration says gives these companies an unfair competitive advantage.

Currently, in the USA, shipments worth less than 800 dollars (approx. HUF 285,000) can enter the country duty- and tax-free. But the government says the rule has been exploited by a number of Chinese companies, including Shein and Temu, to offer cheaper products to the US market. According to the proposed regulation, duty-free status would be abolished for many product groups, such as shoes, machinery, textiles and clothing.

The new rules are not only aimed at ending the duty exemption, but may also impose stricter data disclosure requirements on transporters, requesting more information for the customs authorities. This could contribute to more effective control, which would make it more difficult to circumvent favorable customs conditions.

Temu said in a statement that its growth does not depend on the de minimis exemption, while Shein supports duty-free reform and is already participating in a US Customs and Border Protection pilot program. Commerce Secretary Gina Raimondo highlighted: “American workers and businesses can outperform anyone if they operate on a level playing field.”
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