Startup DreamersStartup Dreamers
  • Home
  • Startup
  • Money & Finance
  • Starting a Business
    • Branding
    • Business Ideas
    • Business Models
    • Business Plans
    • Fundraising
  • Growing a Business
  • More
    • Innovation
    • Leadership
Trending

Answer Engine Optimization (AEO) — What Brands Need To Know

June 20, 2025

What Is ‘Doom Spending’ and Which Generation Falls for It?

June 20, 2025

How to Build a Tech-Forward Company That Lasts

June 20, 2025
Facebook Twitter Instagram
  • Newsletter
  • Submit Articles
  • Privacy
  • Advertise
  • Contact
Facebook Twitter Instagram
Startup DreamersStartup Dreamers
  • Home
  • Startup
  • Money & Finance
  • Starting a Business
    • Branding
    • Business Ideas
    • Business Models
    • Business Plans
    • Fundraising
  • Growing a Business
  • More
    • Innovation
    • Leadership
Subscribe for Alerts
Startup DreamersStartup Dreamers
Home » What Is the De Minimis Loophole? Trump’s Tariffs Target Temu.
Money & Finance

What Is the De Minimis Loophole? Trump’s Tariffs Target Temu.

adminBy adminFebruary 11, 20250 ViewsNo Comments2 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email

Is your Temu purchase about to get more expensive?

Low-price online retailers like Temu and Shein have been using a trade provision (available since the 1930s) to help them grow in the U.S.—and offer lower prices than States-based competitors.

However, on Saturday, when President Trump signed an executive order (EO) that puts tariffs and taxes on goods and energy imported from China, Mexico (now paused), and Canada starting Tuesday, it will also end a lesser-known but widely used exemption known as “de minimis,” a provision that allows packages worth less than $800 to be shipped to the U.S. duty-free.

The loophole has helped companies like Temu and Shein offer extra low prices on goods and has fueled their rapid growth in the U.S. Bloomberg reports that the two companies have been anticipating the news for a year and have been expanding their shipping networks stateside.

Still, CNBC reports that Trump’s actions could help companies including Amazon, Etsy, and eBay becasue their platforms let third-party sellers connect to U.S. consumers directly.

What is the ‘de minimis’ provision?

The de minimis provision has existed since the 1930s, but its use has exploded in recent years with the rise of e-commerce.

The provision allows packages worth less than $800 to be sent to the U.S. duty-free.

According to data from the U.S. Customs and Border Protection Agency, the U.S. processed more than 1.3 billion de minimis shipments in 2024 (it was only 139 million in 2015) worth more than $48 billion.

Last fall, the Biden administration looked to stop the “overuse and abuse” of de minimis, per CNBC, noting the loophole helps Chinese e-commerce companies offer lower prices than companies stateside.

“The drastic increase in de minimis shipments has made it increasingly difficult to target and block illegal or unsafe shipments coming into the U.S.,” Daleep Singh, a then deputy national security advisor for international economics, said in September.

Read the full article here

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Articles

What Is ‘Doom Spending’ and Which Generation Falls for It?

Money & Finance June 20, 2025

Mom’s Side Hustle Made $30k in 2 Months, Then $500k a Year

Money & Finance June 19, 2025

Best U.S. Cities for Jobs That Afford Comfortable Lifestyles

Money & Finance June 17, 2025

Why Every Small Business Owner Should Consider Real Estate — Even Without Deep Pockets

Money & Finance June 15, 2025

Inside ‘Culture Shock’ at Goldman Sachs, ‘Black Capitalism’

Money & Finance June 14, 2025

Micro-Retirement? Quit Your Job Before You’re a Millionaire

Money & Finance June 12, 2025
Add A Comment

Leave A Reply Cancel Reply

Editors Picks

Answer Engine Optimization (AEO) — What Brands Need To Know

June 20, 2025

What Is ‘Doom Spending’ and Which Generation Falls for It?

June 20, 2025

How to Build a Tech-Forward Company That Lasts

June 20, 2025

Still Saying ‘I’ll Just Do It’? That’s Why You’re Stuck

June 20, 2025

Companies Warn SEC That Mass Deportations Pose Serious Business Risk

June 20, 2025

Latest Posts

Mom’s Side Hustle Made $30k in 2 Months, Then $500k a Year

June 19, 2025

How to Turn Complaints, Comments and Compliments Into Business Wins

June 19, 2025

50 Side Hustle Ideas to Make Extra Money in 2025

June 19, 2025

Unpacking AI Agents | WIRED

June 19, 2025

The Death Of Privacy And The Radical Reshaping Of A Political System

June 18, 2025
Advertisement
Demo

Startup Dreamers is your one-stop website for the latest news and updates about how to start a business, follow us now to get the news that matters to you.

Facebook Twitter Instagram Pinterest YouTube
Sections
  • Growing a Business
  • Innovation
  • Leadership
  • Money & Finance
  • Starting a Business
Trending Topics
  • Branding
  • Business Ideas
  • Business Models
  • Business Plans
  • Fundraising

Subscribe to Updates

Get the latest business and startup news and updates directly to your inbox.

© 2025 Startup Dreamers. All Rights Reserved.
  • Privacy Policy
  • Terms of use
  • Press Release
  • Advertise
  • Contact

Type above and press Enter to search. Press Esc to cancel.

GET $5000 NO CREDIT