US President Donald Trump recently imposed new tariffs, including a 25% levy on goods from Mexico and Canada and a 10% levy on Chinese items. Despite past enthusiasm for tariffs, he has decided against implementing similar tariffs on low-value packages from Mexico and Canada, reversing previous plans. This follows logistical issues from a temporary suspension of the de minimis threshold for packages from China, which caused significant delays. The newly amended tariff orders maintain the existing duty-free de minimis threshold until adequate processing systems are in place.
Following last month's chaotic parcels backlog caused by his temporary suspension of the de minimis threshold for parcels arriving from China, President Trump has fortunately shelved similar plans to impose tariffs on low-value packages arriving from Mexico and Canada.
This would have meant all items valued at under $800, which had previously not incurred duties or taxes upon arrival in the US from Mexico and Canada, were now liable.
Once bitten, Trump has proved twice shy.
The amendments say that, despite the new 25% general tariffs, the existing duty-free de minimis threshold will still apply on low-value items until 'adequate systems are in place to fully and expeditiously process and collect tariff revenue'.
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