Washington, DC —
By 12:01 am [EST], di time wey cheap cheap import dey enta United States go don reach di end of road.
President Donald Trump don sign Executive Order 14324 wey go block one loophole wey don dey since almost 100 years. Packages wey value dey under $800, wey before fit pass without plenty wahala, go now face full US customs check and tariff.
Di e-commerce world dey shake. Temu, Shein, and di billions of daily shipments wey dem dey handle don enta new wahala.
For decades, di de minimis exemption na wetin dey help global trade waka well. Dem adopt am for 1930 and expand am for 2016, e allow billions of cheap parcels enta US without plenty check.
For 2024 alone, 1.36 billion shipments pass under dis exemption, mostly from China. Temu and Shein dey enjoy am well well, dey sell $3 dresses, $15 gadgets, wey dey make dem cheap pass American retailers. Forever 21 even close dia US stores for 2025, blame am on dis kain imports wey dey make dem lose customers.
Trump talk say di move na to protect jobs and safety. "Today, President Donald J. Trump don sign Executive Order wey go stop duty-free de minimis treatment for low-value shipments, close di big loophole wey dem dey use dodge tariffs and smuggle dangerous synthetic opioids plus other unsafe or cheap products wey dey harm American workers and businesses into di United States," na wetin di White House talk for July.
Di statistics dey show say di matter serious: 90 percent of Customs seizures last year na from de minimis packages. Narcotics, fake goods, cheap knock-offs — most of dem dey come from China, wey generate $66 billion for duty-free sales for 2023 alone.
Di change don start today. Every commercial package wey dey under $800 go now dey pay tariffs: 54 percent or $100 for Chinese shipments, 10-50 percent for others. For goods wey dem ship through international postal system, di duty go dey between $80 per item to $200 per item, depending on di tariff rate for di country wey di product come from.
Di new tariff rates go also affect items like Brazilian beef wey go now dey pay 76 percent. Small gifts wey dey under $100 and traveler allowances wey dey under $200 still dey exempt.
Every shipment now go need full documentation, including product codes, and if mistake happen, e fit cost up to $10,000. Ports and airports fit begin dey jam for di next few weeks or months. Postal services for Japan, UK, and Australia don even hint say dem fit pause US shipments because dem no ready.
Who go feel di wahala pass? Di cheap bargains fit disappear. Temu and Shein fit increase dia prices — 10-30 percent more. For example, $15 watch fit now cost $16.50–$19.50. Delivery time fit also long pass before.
US government data show say about 73 percent of de minimis packages wey dey enta America dey come from China. Canada, Mexico, and di United Kingdom na di next big senders, according to CBP figures. Other countries like India, South Korea, Thailand, and Vietnam dey also contribute.
Low-income families for US dey worry. "I dey buy my pikin clothes for small money before," Sarah J, one single mother for Maryland, tell TRT World. "I no sabi wetin go happen next." Companies too dey try adjust. Shein, for example, dey depend on US warehouses for Illinois and California. Temu dey move 20-50 percent of dia stock to domestic fulfillment. Small sellers for Etsy and Depop fit pause sales for now.
Meanwhile, Amazon and Walmart dey see opportunity, dey target budget shoppers. According to Reuters news agency, di prices of merchandise for retail chains like Walmart and Target don already reflect di tariffs wey dem dey pay when dem import di goods, so dem dey more expensive.
Supply chains dey shake. Air cargo from Asia don already drop by 10.7 percent, and ocean freight dey expected to increase. Tech startups like Maria Lopez own for Texas dey face higher costs. "Before, prototypes dey cheap and fast to ship, but now na thousands for duties," she tell TRT World.
Why now, and wetin go happen next? Trump dey push di policy wey dem first hint for February 2025, talk say na because of trade deficits and fentanyl. Di China-specific cuts start for May. Di suspension, wey dem plan to start for 2027 under di "One Big Beautiful Bill Act," don move forward.
Critics dey warn say di new policy go be like $10-13 billion "tax" on consumers, but supporters dey hail am as better enforcement and help for US manufacturers. Customs now dey handle 4 million daily shipments with limited infrastructure. Legal challenges fit delay di full implementation until 2027.
Shoppers for US go dey look more towards domestic goods as businesses dey prepare for di new compliance era. "E bold, but e messy," New York City trade analyst Laura Chen talk. "Di US dey take back control, and e good, but e go cost people money and time."