The De Minimis Loophole: China’s Billion-Dollar Cheat Code Buried deep in U.S. trade policy is a rule that has functioned as a golden ticket for Chinese e-commerce giants. Known as the "de minimis" loophole, it allows foreign shipments valued at less than $800 to enter the U.S. tariff-free. Initially designed to streamline customs processing for low-value goods, this rule has become a weapon in China's economic arsenal. In 2015, the Obama administration raised the de minimis threshold from $200 to $800, sparking an explosion in unchecked imports. According to U.S. Customs and Border Protection (CBP), shipments using this waiver skyrocketed by over 600% in the past decade, surpassing one billion items in 2023 alone. A staggering percentage of these shipments…
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