In 1938, U.S. Congress created the $1 de minimis rule for convenience.

In 2016, the Obama administration increased the threshold to $800 for growth.

In 2024, U.S. Customs processed 1 billion de minimis parcels.

In 2025, the Trump administration officially suspended de minimis for Chinese imports.

For years, low-cost platforms like Temu and Shein have been exploiting the de minimis loophole to fuel explosive growth in the U.S., making up 60% of qualifying imports.

Under this new suspension, every package must be processed and taxed.

The options for these platforms are limited. Absorbing the cost is one, and increasing their prices is another.

Another option is to double down on recent efforts to establish a logistics presence in the U.S.

This won’t help avoid tariffs, but it could help improve delivery times and further threaten domestic players like Amazon.

With counter-tariffs already announced by China, the de minimis ripple will continue for some time.

What do you think happens next?