> President Donald Trump’s latest economic move is to halt the de minimis exemption, a provision that made international shipments of low-value items cheaper. When the exemption ends on August 29, shipments valued at or under $800 will be subject to duty fees when sent by any carrier other than the international postal network, no matter what country they are coming from.
> According to the White House’s announcement of this change, shipments will either be assessed with an ad valorem duty equal to the tariff rate for the country of origin set by the International Emergency Economic Powers Act or with a limited-time specific duty between $80 and $200 per item. The specific duty will only be a available for six months, after which all shipments will be subject to an ad valorem duty.
„The administration claimed the de minimis exemption was harming US businesses and that the loophole was being used to ship synthetic opioids such as fentanyl into the country.“
This just goes to show you that Trump does not want to stop the flow of Fentynal or Opiods into his country. He merely wants his cut of the profits.
Also, note that it only applies to incoming shipments and not ones leaving the US. I guess he does not want his countries fentynal shipments to Canada to be subject to an additional fee.
Knight_Machiavelli on
Allowing China to ship low-value goods in duty-free was always a terrible policy. Eliminating the de minimus on *every* country though is just as stupid. For the record, Canada has never followed this policy and has never had a de minimus exemption (well, we do, but it’s $20 which is so small as to be effectively nothing). I think the policies of both Canada and the US have been absurd. The US should never have allowed an $800 exemption with regard to Chinese goods, and Canada should have matched the US exemption when it comes to goods between our two countries.
StickmansamV on
He previous said he wanted to do this but customs was not ready to implement it. I doubt they are in a better position to process the sheer number of packages that are below the $800 de minimis level
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Big implications for Canadian small businesses:
> President Donald Trump’s latest economic move is to halt the de minimis exemption, a provision that made international shipments of low-value items cheaper. When the exemption ends on August 29, shipments valued at or under $800 will be subject to duty fees when sent by any carrier other than the international postal network, no matter what country they are coming from.
> According to the White House’s announcement of this change, shipments will either be assessed with an ad valorem duty equal to the tariff rate for the country of origin set by the International Emergency Economic Powers Act or with a limited-time specific duty between $80 and $200 per item. The specific duty will only be a available for six months, after which all shipments will be subject to an ad valorem duty.
https://www.engadget.com/big-tech/trump-will-end-the-de-minimis-exemption-for-low-cost-global-shipments-202707806.html
„The administration claimed the de minimis exemption was harming US businesses and that the loophole was being used to ship synthetic opioids such as fentanyl into the country.“
This just goes to show you that Trump does not want to stop the flow of Fentynal or Opiods into his country. He merely wants his cut of the profits.
Also, note that it only applies to incoming shipments and not ones leaving the US. I guess he does not want his countries fentynal shipments to Canada to be subject to an additional fee.
Allowing China to ship low-value goods in duty-free was always a terrible policy. Eliminating the de minimus on *every* country though is just as stupid. For the record, Canada has never followed this policy and has never had a de minimus exemption (well, we do, but it’s $20 which is so small as to be effectively nothing). I think the policies of both Canada and the US have been absurd. The US should never have allowed an $800 exemption with regard to Chinese goods, and Canada should have matched the US exemption when it comes to goods between our two countries.
He previous said he wanted to do this but customs was not ready to implement it. I doubt they are in a better position to process the sheer number of packages that are below the $800 de minimis level