There are Sabik (2025)many reasons why you might want to start spending less money online: It can be bad for the environment, it can be bad for your quality of life, it's bad for your wallet, and, with the "de minimis" import rule changing, it will soon be extra bad for your wallet.
On Friday, May 2, packages worth less than $800 entering the U.S. from China will no longer be tax-exempt. President Donald Trump announced he would be pull the de minimis exemption in April, and now the change is set to take effect. His official reasoning is that Chinese-based shippers use the de minimis exemption to ship illicit substances like fentanyl in low-value packages. Lawmakers on both sides of the aisle agree that a reform on the de minimis provision could slow the spread of drug trafficking in the U.S., but slashing the exemption will have lasting effects on other spaces within the economy, particularly the world of e-commerce.
So, online shoppers, businesses, and retailers who rely on low-cost imported Chinese goods should brace for impact. According to U.S. Customs and Border Protection, 92 percent of all cargo entering the U.S. fall under the de minimis exception, with the CBP processing "approximately 4 million de minimis shipments a day." And according to Reuters, more than 60 percent of those packages come from China, which faces additional tariffs as high as 145 percent. Many of those shipments are bound for Temu and Shein shoppers.
The May 2 deadline approaches in the midst of a trade war between the U.S. and, well, most other countries, and as fears of a recession spread.
So, what does the expiring de minimis exception mean for you?
Chances are, cheaper items will become significantly more expensive due to taxes. This includes the bulk of items you'd buy on TikTok Shop, Temu, Shein, and other online retailers that rely on inexpensive labor in China to lower the cost of items.
One survey found that up to 70 percent of brands selling products on Amazon source products or parts from China. And when a rumor spread this week that Amazon might show a tariff surcharge to shoppers, The White House accused the company of a politically motivated "hostile act" against the administration. So, expect even more brands to raise prices on Amazon in the weeks ahead.
Chances are, you'll have to spend a whole lot more money up front before you can start selling those goods. You'll have to make a tough decision: increase the prices of your goods and risk losing customers or somehow pay the difference yourself.
On Thursday, the smart home company Wyze shared a message on X about the impacts of Chinese tariffs on their products. According to the company's figures, an order of $167,000 resulted in tariffs of $255,000 — 153 percent more than the products themselves.
This Tweet is currently unavailable. It might be loading or has been removed.
While a large $167,000 order doesn't fall under the de minimis rule, it shows just how high costs are getting for businesses. And since we've already seen tariff-related price increases on tech gadgets and sex toys, we expect to see higher import taxes passed on to customers after the May 2 deadline passes.
Topics Politics
Nvidia Pascal Goes Mobile: GeForce GTX 1080, 1070 & 1060 Preview
Watch this Roomba scream in pain when it collides with things
All of Instagram is snapping the same pic of this damn pool in Morocco
'Borderlands 3' looks promising but needless CEO drama could kill it
Elon Musk's space Tesla actually served an engineering purpose
15 perfect graduation cap designs for fans of 'The Office'
All of Instagram is snapping the same pic of this damn pool in Morocco
Google Duplex is now just a fancy autocomplete?
LinkedIn launches ‘Zip,’ a brain
Lovable dog waits patiently outside hospital after owner falls ill
The 5 most inappropriate things Donald Trump said at a Puerto Rico disaster briefing
Fidelity to launch crypto trading within weeks, report says
Stephen King tweets his 'Game of Thrones' ending prediction
We misinterpreted a major clue about the end of 'Game of Thrones'
How to Merge and Remove Duplicate Contacts in Android
Twitter finally lets you add reaction GIFs to retweets
This New York City museum is opening an exhibit dedicated to 'Om'
HBO has edited out the infamous 'Game of Thrones' coffee cup
The World Wide Web Turns 30: A Timeline
Stephen Merchant breaks down how technology has changed what it means to be famous
Demi Lovato returns to social media with a photo from the pollsWordle today: See July 5 Wordle hints, answerCandidate's 5‘Ms. Marvel’ isn’t just about superheroes, it’s about motherhood‘Ms. Marvel’ isn’t just about superheroes, it’s about motherhoodApple announces Lockdown Mode for iPhone, iPad, and Mac with extra privacy protectionsLimewire has officially relaunched as an NFT marketplaceKick back, relax, and watch a very good boy get his head brushedDemi Lovato returns to social media with a photo from the pollsLady Gaga dressed her dogs as Chia Pets for a Halloween photoshootThe 'thank u, next' meme is being embraced by every fandomGoogle may have shared data with sanctioned Russian ad company, report findsThis election night Photoshop battle imagines wild political agendas'Wordle' today: Here's the answer, hints for July 9Google may have shared data with sanctioned Russian ad company, report findsNate Silver just discovered mansplainingElon Musk is backing out of Twitter dealCongressman roasted for his boring choice of Halloween treatsFrom Roku to mesh WiFi, the 4 best ways to upgrade your parents' entertainment setup12 cool classes to take on Khan Academy for free Sex ed fails teens by ignoring sexting Watch a couple hilariously melt down trying to play a video game This might be the most inappropriate shirt ever sold on Walmart's website Tesla to start delivering Model 3 in Europe in February Why the '15 Apple to fully switch to OLED iPhones in 2020, report claims Daniel Radcliffe just dropped the mic on that Donald Trump/Voldemort comparison Stunning photos show the super blood moon in all its glory How to handle tense protest moments in wake of MAGA teen confrontation Some Netflix subscribers say they'll leave over new pricing 7 meaningful ways to celebrate MLK Day No one needs Spotify's rumored $100 in Russia attempted to hack the DNC again after the 2018 Midterms, claim Democrats More Snap execs are out amid reports of 'inappropriate relationship' Jon Bon Jovi's restaurant will offer free meals to furloughed feds Test your internet prowess with Google's phishing quiz Apple wants you to send your best iPhone photos in return for exposure WhatsApp imposes new limits on forwarding to fight fake news Court upholds right to take selfies in the voting booth 'Sex Education' turns teen tropes upside down: Interview
0.7957s , 10136.2421875 kb
Copyright © 2025 Powered by 【Sabik (2025)】,Co-creation Information Network