President Donald Trump speaks of the impact of American tariff on China.
President Donald Trump Today, a tariff loopol has been shut down that companies like Chinese e-commerce giants Sheen and Temu are using to sell cheap goods in US tariff-free-which will affect prices on American consumers.
Trump known as “D Minimis” exemption, where China and Hong Kong is known as imports of value under $ 800, which were not subject to tariffs or not required to undergo rigorous customs checks. Flaws have also been criticized for allowing shipment of Phantanel pioneers to enter the country.
The change applies a month after Trump signs an executive order to eliminate the flaws from 1938. The goods are now facing tax rate up to 145% or subject to a flat fee that will probably be passed to the consumer.
President Donald Trump has shut down a tariff loopol today that companies like Chinese e-commerce giant Sheen and Temu have used US tariff free to sell cheap goods-which will affect prices on American consumers. ,
How Trump’s tariff shut down the flaws used by Chinese retailers
About half (48%) of day minimis shipment from sites like Shin and Temu goes to the most poorest American zip code, while only 22% reach the wealthiest, according to it Research By UCLA and Yale Economists.
The executive order stated that it was “an important step in combating the health emergency running by illegal flow of synthetic opioides in the US”
The White House said many Chinese-based shippers hide illegal substances, including synthetic opioides, to take advantage of D minimis discount in low-value packages. Disease Control and Prevention Center (CDC) figures estimate 107,543 drug overdose Deaths in America during 2023.
Prior to the conclusion of the loafol, the customs and border patrol (CBP) processed over 4 million De minimis Shipment in America every day, the White House said. The last financial year, CBP caught more than 21,000 pounds on our borders, sufficient to kill more than 4 billion people.
Trump known as “D Minimis” exemption, where China and Hong Kong is known as imports of value under $ 800, which were not subject to tariffs or not required to undergo rigorous customs checks. Flaws have also been criticized to allow sh (Image of Trump: Through the Photo Getty Image by Mandel Nagan/AFP, Houston’s image: Photo by Brandon Bell/Getty Image)
Pressure from Shin, Temu stopped retail
Last year, an investigation by the journalists of Reuters found that they were capable of using de minimis loafol. import Foreign shippers incorrectly confuse packages in the form of electronics, the main precursor for at least 3 million fentinyl pills.
Fast-fashion giant Sheen on Thursday demanded assurance of customers in a post on his US Instagram account, saying: “The price of some products may vary from before, but most of our collections are as cheap as ever.” Shin mostly sells clothes manufactured in China, and America is its largest market.
Temu, the International Branch of Chinese e-commerce giant PDD Holdings, on its website already portrayed the products prominently, “local,” was labeled, and a pop-up customers were informed that there would be no import duty for local warehouse items.
Temu said in a statement, “All sales in the US are now handled by locally based vendors, with orders to be fulfilled from within the country,” saying that it is pricing for American customers. ,
But before the May 2 change, imported items will eventually go out. Both Shin and Temu have reduced their American digital advertising expenses in the last weeks as they have prepared for a change that their sales are likely to hit.
Workers make clothes in a garment factory, which supplies a cross-border fashion e-commerce company Shin on July 18, 2022 in Guangzhou in the Chinus Southern Guangdong province. (Z Gao / AFP Getty Image / Getty Image)
Shin and Temu have seen a rapid growth for cost-conscious consumers through DE minimis shipments of fashion, toys and other consumer goods in the US market. A report by the Congressunal Research Service (CRS) stated that Sheen and Temu included about 17% of the US discount market by November 2023.
rise of Shin and Temu According to a report by CORESIGHT Research, the US retail store has contributed to the growth in closure. It was estimated that after the closure of around 15,000 in 2025 in 2025 after 7,323 shutdown in 2024 – which was the highest number of closure since 2020, when about 10,000 stores were shut down.
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Some experts believe that closing of flaws will help us to become more competitive against e-joys.
Kim Glass, president of the National Council of Textile Organizations, who represents American textile manufacturers, said it “destroyed the American textile industry.”
“This tariff Loopol has provided China almost unilateral, privileged access to American manufacturers and American jobs,” Glass said. new York TimesHis group advocated its eradication.
Fox Business’ Eric Rewel and Reuters contributed to this report.
