As the tariff war between the United States and China intensifies, high tariffs have begun to apply to small e-commerce items that had previously received tax exemption benefits.
The Donald Trump administration announced on Oct. 10 (local time) that starting from next month on the 2nd, a 120% tariff will be imposed on e-commerce orders valued under $800 originating from China and Hong Kong.
After imposing a 30% tariff on previously exempt items, the rate was raised to 90% on the 9th, and within a day, it was increased again by 30 percentage points.
President Trump signed an executive order on the 2nd, announcing a national reciprocal tariff policy that abolishes the 'de minimis' tax exemption system that has been maintained since the 1930s. For the first time in nearly 100 years, the system was halted, making small imported goods subject to high tariffs.
Just as the reciprocal tariff on China was raised from 104% to 125% in just one day, the recent re-increase in tariffs on small items is evaluated as a case showing that the policy on tariffs against China is rapidly changing.
Following the increase in tariffs, starting from next month on the 2nd, a fee of $100 will be charged for packages under $800 from mainland China and Hong Kong, and from June 1, a fee of $200 will be imposed. However, it has not been confirmed whether this fee is included in the 120% tariff.
The U.S. government has pointed out that electronic commerce platforms in China, such as Temu and Shein, have exploited the loopholes in the existing tax exemption system to export to the U.S.