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Order from Shein or Temu? You could still be impacted after USPS' China package reversal
Shoppers awaiting packages from popular retailers like Shein and Temu can still expect their packages after the U.S. Postal Service reversed its quick pause on packages from China and Hong Kong Wednesday.
President Donald Trump signed executive orders Saturday implementing tariffs on Mexico, Canada and China. Part of those orders was to halt "de minimis," a trade exemption that allows low-value packages to arrive duty-free from China and other countries.
When USPS announced Tuesday it was suspending accepting packages from China and Hong Kong Posts, questions arose on whether it was related to the end of de minimis. Even now that USPS has announced it will continue accepting packages, Shein and Temu shoppers could still be impacted. Here is what to know:
More:USPS will continue to accept packages from China and Hong Kong, reversing prior decision
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What is 'de minimis' and what does it have to do with Temu and Shein?
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The de minimis exemption refers to Section 321 of the Tariff Act of 1930 and allows the Secretary of the Treasury to waive some duties or fees where it is more inconvenient to collect the tax than the revenue would actually be worth.
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In other words, it is a trade loophole that allows for low-value goods to be shipped to the country duty-free.
Nearly half of all packages with de minimis exemptions come from China, and more than 30% of all daily packages shipped under de minimis are from Temu and Shein, Reuters reported.
With Trump's order to remove the exemption, Temu and Shein customers could see higher prices and longer shipping speeds, experts told Reuters.
Shein and Temu did not respond to USA TODAY's request for comment.
USPS lifting pause latest in flurry of tariff moves
Trump's tariff orders signed Saturday for China, Mexico and Canada were scheduled to go into effect Tuesday.
He subsequently paused the 25% tariffs on Mexican and Canadian goods following talks with the countries' leaders President Claudia Sheinbaum and Prime Minister Justin Trudeau, who agreed to help with border security.
But the 10% tariff on Chinese goods went into effect Tuesday morning. Shortly after, China's finance ministry announced it would start imposing targeted tariffs of 15% for U.S. coal and 10% for crude oil, farm equipment and some cars. Trump told reporters Tuesday, "that's fine" and he was in no rush to talk to Chinese President Xi Jinping.
Contributing: Reuters
Kinsey Crowley is a trending news reporter at USA TODAY. Reach her at [email protected], and follow her on X and TikTok @kinseycrowley.