Trade court lets Trump end duty-free entry for sub-$800 parcels
Why it matters: The ruling preserves tariffs on low-value shipments used by Shein and Temu and raises costs for some small importers.
A U.S. trade court ruled that President Donald Trump can end the “de minimis” exemption that had allowed packages worth $800 or less to enter the country without import taxes. The U.S. Court of International Trade rejected a challenge from Michigan-based auto-parts distributor Detroit Axle, which argued that Trump lacked authority under the International Emergency Economic Powers Act. The judges found the law permits the president to void that trade privilege. The exemption had been widely used by e-commerce sellers including Shein and Temu. Critics warned that ending it could hit small businesses and low-income shoppers harder, while Trump argued the rule had enabled tariff avoidance and illicit shipments.