US End of Parcel Tax Relief Threatens eBay, Etsy Trade
The suspension aims to stop tariff evasion and fentanyl smuggling, affecting over 1.36 billion annual shipments valued under $800, according to U.S. Customs and Border Protection.
- On August 29, President Donald Trump ordered the removal of the de minimis exemption, ending duty-free treatment for parcels valued at or under $800 worldwide, effective immediately.
- In May, the administration ended the exemption for China and Hong Kong to close a loophole used to evade tariffs and stop smuggling of deadly synthetic opioids, the White House said.
- According to U.S. Customs and Border Protection, over 1.36 billion de minimis shipments valued at $64.6 billion entered last year, with CBP processing more than 4 million daily and tariffs from $80 to $200.
- Small sellers and consumers face steep customs duties next month, with eBay and Etsy warning of trade harm while Cettire Ltd reports revenue drops and Temu loses 58% of U.S. visitors.
- Analysts and Reuters said the suspension will disrupt global cross-border e-commerce, accelerating a tax and spending bill change originally set for July 1, 2027, which the White House said closes a "catastrophic loophole" to protect U.S. consumers and businesses.
19 Articles
19 Articles
This rule made many online purchases dirt cheap for U.S. consumers. Now it's ending
On Friday, the U.S. is ending its de minimis rule that made it easy for cheap goods to reach consumers. The change will affect roughly 4 million such packages processed each day.
Trump Shuts Down Devastating Loophole Benefiting Overseas Retailers - Real News Now
On a fine Wednesday, President Trump inked an executive decree to momentarily pause an arrangement known as a de minimis exemption. This exemption, prior to its suspension, enabled parcels of lower value shipped to the United States to bypass tariffs. This pro-active step by the Trump administration curtails what the White House identifies as a ‘devastating loophole’, frequently employed by shippers to ‘sidestep tariffs and surreptitiously deliv…
eBay, Etsy warn Trump’s surprise move to end ‘de minimis’ duty-free rule hurts sellers
Americans shopping for secondhand, vintage or handmade items on platforms like eBay and Etsy face steep customs duties on international purchases next month, potentially hurting trade on those peer-to-peer sites.
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