Starting Friday, the US imposes 120% tariffs on small parcels from the Chinese mainland, ending the previous “de minimis” tax exemption on low-value online orders. Prices are set to jump, while deliveries may face delays.
Under the “de minimis” regime, many small parcels slipped in duty-free, fueling cross-border e-commerce. Now, with 120% tariffs in place, everyday items could come with much steeper price tags and slower transit times.
This could cause irreversible harm to American small businesses, squeezing consumers and online sellers, says the US Chamber of Commerce.
Entrepreneurs and young global citizens in G20 countries who rely on affordable cross-border supply chains may need to rethink sourcing strategies or adjust pricing models. Some are already scouting alternative markets to offset rising costs.
For digital nomads and travelers, the tariff shift might mean budgeting more for smartphone accessories made in the Chinese mainland tech hub Shenzhen or unique handmade products from Shanghai.
As global trade policies evolve, the end of the de minimis break proves how quickly online shopping can be reshaped by tariff lines. The challenge now is finding creative paths to keep costs low and deliveries swift in a scenario where a small online purchase might double in price overnight.
Reference(s):
cgtn.com