30+ Countries Stop Shipping To U.S. As Tariffs Begin For Items Under $800
More than 30 countries have paused shipments to the U.S. for packages worth less than $800, in response to new tariffs imposed by the Trump administration.
By the numbers: Shipments under $800 make up 92% of U.S. cargo — up to 4 million packages per day – and were previously exempt from tariffs under the "de minimus" agreement.
In July, the Trump administration announced an end to this exemption, which could cost small and mid-sized businesses up to $71 billion in fees.
President Trump argued the loophole fueled fentanyl smuggling and gave foreign businesses an edge over U.S. companies. He ended the loophole for China and Hong Kong in May.
BIGGER PICTURE
The U.S. has since collected more than $500 million from duties on packages from China and Hong Kong, where most low-cost shipments to the U.S. are sent from, according to a Trump official.
Starting Friday, U.S. Customs and Border Protection began charging a flat duty of $80–$200 on all global parcel imports.
Experts say many foreign postal systems are not set up to collect these fees — leading dozens of countries to suspend shipments to the U.S.
The impact: Many Americans are already getting notices about smaller products they ordered on Etsy, eBay, and other sites being delayed or canceled due to supply chain disruptions or unmanageable shipping costs.