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Shein and Temu depend on a 100-year-old tariff loophole that Trump wants to close


Trump is promising to close the de minimis exemption.

E-commerce giants like Temu and Shein (but also countless smaller operations) have used this loophole to ship low-value packages to shoppers, who, in turn, benefit from not having to pay import taxes on their purchases. And the growing popularity of platforms like Shein and Temu in the last few years normalized waiting a few weeks for orders to come from China in exchange for bargain bin-priced goods. A Reuters investigation last year outlined how de minimis packages could be used to traffic drugs — but it’s not clear that low-value parcels pose a greater threat than larger shipments.

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