The Biden-Harris Administration announced this Friday (13.09.2024/XNUMX/XNUMX) new measures aimed at curbing the abuse of the “de minimis exemption”, a mechanism that allows the entry into the United States of low-value shipments free of tariffs and/or customs taxes. According to the statement, the number of shipments entering the United States claiming this state aid on e-commerce platforms, mainly from China, has allowed the US market to be flooded with products that compete unfairly with local companies and that, in many cases, do not comply with health and safety requirements, intellectual property rights, or consumer protection standards.
“Fair trade is essential to the prosperity of American workers and businesses,” the administration said, stressing the need to act in the face of such a volume of products entering the United States with less information and without paying taxes. According to the figures provided, more than one billion shipments are benefiting annually from the “de minimis exemption,” which has raised concerns about possible risks.
Among the Main measures announced The White House includes:
1. Greater transparency and control – The new regulation will require de minimis shipments to provide more details to customs authorities. This will allow for greater visibility for Customs and Border Protection (CBP) and help block products that do not meet health and safety standards before they reach the U.S. market.
2. Reducing abusive mailings – Products subject to trade control measures, such as low-value textiles and clothing from Chinese platforms, will no longer be eligible for de minimis exemption. With this, the government closes a major loophole that allowed the entry of goods without paying taxes, which affected local industry.
3. Strengthening safety certifications – Importers will be required to electronically submit Certificates of Conformity. This will allow CBP and the Consumer Product Safety Commission (CPSC) to track and block unsafe products, preventing them from entering the country.
The White House has urged Congress to pass broader legislation to strengthen these protections in order to better protect American consumers and businesses.
What is de minimis exemption?
The de minimis exemption is a provision established in Section 321 of the Tariff Act of 1930, designed to simplify the process of importing low-value goods into the United States. Under this exemption, imported goods with a value of less than USD 800 per day are exempt from tariffs and taxes. Initially, this measure was intended to facilitate trade for small businesses and consumers by simplifying the import process.
However, what started as a benefit for low-value shipments now benefits large e-commerce platforms as well. Official data shows that the US Customs and Border Protection Office processes nearly 4 million shipments under this exemption every day, which is evidence of the significant growth of global e-commerce.
As a result, the White House believes it is necessary to update the de minimis exemption to prevent abuses and unfair practices, adjusting this exemption to changing circumstances.Communication)
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