• Latest
  • Trending
  • All
  • Industry
  • Compliance
  • Global Trade
  • Industry
  • Sustainability & Ethics
  • Video
  • Security & Risk
Importers Should Review Supply Chains in Response to Proposed Changes in Tariff Exemptions

Importers Should Review Supply Chains in Response to Proposed Changes in Tariff Exemptions

01/31/2025
APEC Adopts Joint Statement Highlighting Trade Challenges Amid Tariff Concerns

APEC Adopts Joint Statement Highlighting Trade Challenges Amid Tariff Concerns

05/16/2025
Trump Says India May Drop Tariffs, Urges Apple to Boost U.S. Manufacturing

Trump Says India May Drop Tariffs, Urges Apple to Boost U.S. Manufacturing

05/16/2025
Tariffs on Chinese Goods Expected to Stay High Through 2025

Tariffs on Chinese Goods Expected to Stay High Through 2025

05/16/2025
APEC Members Agree on Trade Statement Amid Tariff Tensions

APEC Members Agree on Trade Statement Amid Tariff Tensions

05/16/2025
U.S. Small Businesses Welcome Tariff Relief but Voice Ongoing Concerns

U.S. Small Businesses Welcome Tariff Relief but Voice Ongoing Concerns

05/16/2025
Dow Surges as U.S. and China Announce Temporary Tariff Reductions

Dow Surges as U.S. and China Announce Temporary Tariff Reductions

05/13/2025
U.S. and China Finalize Trade Deal with Tariff Cuts and Ongoing Talks

U.S. and China Finalize Trade Deal with Tariff Cuts and Ongoing Talks

05/13/2025
Trade Deal Reached with Tariff Reductions and Commitment to Continued Negotiations

Trade Deal Reached with Tariff Reductions and Commitment to Continued Negotiations

05/13/2025
Tariff Agreement Signals Ongoing Commitment to Trade Talks

Tariff Agreement Signals Ongoing Commitment to Trade Talks

05/13/2025
Global Markets Rise After Temporary U.S.–China Tariff Cut Agreement

Global Markets Rise After Temporary U.S.–China Tariff Cut Agreement

05/13/2025
U.S. Tariff Threats Raise Concerns for Bangladesh’s Garment Industry

U.S. Tariff Threats Raise Concerns for Bangladesh’s Garment Industry

05/06/2025
Ford Expects $1.5bn Profit Impact Due to Trump Tariffs

Ford Expects $1.5bn Profit Impact Due to Trump Tariffs

05/06/2025
supplychainreport
Saturday, May 17, 2025
  • Home
  • Industry
    • Supply Chain
    • Logistics & Transportation
    • Importing & Exporting
    • Manufacturing
    • Warehousing & Distribution
  • Compliance
    • Supply Chain Transparency
    • Anti-Money Laundering (AML)
    • Know Your Customer (KYC)
    • Risk Management
    • Export Controls
    • Sanctions
  • Global Trade
    • Market Trends
    • Economic Indicators
    • Sourcing
    • Trade Policies
    • International Relations
    • Trade Agreements
    • Tariffs & Duties
    • Import/Export Statistics
  • Luxury Goods
  • Industry
    • Blockchain in Supply Chain
    • Importing & Exporting
    • Automation & Robotics
    • Artificial Intelligence in Trade
    • Data & Analytics
  • Sustainability & Ethics
    • Green Supply Chains
    • Sustainable Logistics
    • Ethical Sourcing
    • Corporate Social Responsibility
    • Environmental Policies
  • Security & Risk
    • Cybersecurity in Trade
    • Fraud & Scams
    • Risk Mitigation
    • Security Protocols
    • Data Protection
  • ITC News
    • ITC Featured Members
    • ITC Business Councils Highlights
  • Events
    • Upcoming Conferences
    • Upcoming FREE Educational Webinars
No Result
View All Result
supplychainreport
No Result
View All Result

Importers Should Review Supply Chains in Response to Proposed Changes in Tariff Exemptions

by Geraldine S.
01/31/2025
in Tariffs & Duties

Recent notices from U.S. Customs and Border Protection (CBP) propose limiting a tariff exemption for low-value shipments, which could lead to higher costs for both companies and consumers. These changes may also increase administrative burdens for businesses involved in imports.

Since the enactment of the Tariff Act of 1930, many importers have utilized a de minimis exemption under Section 321(a)(2) to avoid tariffs and filing customs entries on low-value shipments. This exemption, currently set at $800, has allowed for the exclusion of standard import tariffs, as well as those under Sections 201, 301, and 232 of U.S. trade laws. However, as the U.S. government revisits its tariff policies, including potential tariffs affecting Canada and Mexico, new proposals aim to enhance compliance and national security.

YOU MAY ALSO LIKE

APEC Adopts Joint Statement Highlighting Trade Challenges Amid Tariff Concerns

Trump Says India May Drop Tariffs, Urges Apple to Boost U.S. Manufacturing

In recent years, the volume of shipments claiming this exemption has surged dramatically, from 139 million shipments in fiscal year 2015 to 1.36 billion in 2024. This increase, driven by the growth of e-commerce, has made it challenging for CBP to effectively manage and monitor imports. Additionally, the exemption has been exploited by some to circumvent tariffs and allow unsafe or non-compliant goods—such as counterfeit products and illicit substances—to enter the U.S.

To address these concerns, the first proposal would remove the exemption for certain merchandise subject to national security or trade policy actions. Under this new framework, companies would need to submit detailed data to CBP about shipments prior to arrival in the U.S., helping the agency better target high-risk imports. The second proposal would exclude goods subject to Sections 201, 301, and 232 tariffs from eligibility for the exemption, potentially increasing tariff revenue and benefiting U.S. industries by making foreign goods less competitive.

If these changes are implemented, they could disrupt business operations, particularly for e-commerce and direct-to-consumer companies. The removal of the de minimis exemption could lead to higher costs, which may be passed on to consumers. It would also increase administrative work, requiring businesses to complete more comprehensive customs documentation and adhere to formal entry procedures, potentially causing delays in shipments.

In response, companies may consider adjusting their supply chains, such as exploring alternative suppliers in countries with favorable tariff conditions. It will also be important for businesses to review their compliance practices to ensure they can meet new reporting requirements and handle increased scrutiny in the evolving tariff landscape.

Stay current with supply chain report news at The Supply Chain Report. For international trade tools, see ADAMftd.com.

#SupplyChainNews #TariffChanges #CustomsCompliance #TradePolicy #EcommerceNews

ShareTweet

Subscribe Our Newsletter

Share Your News

Whether it’s a groundbreaking achievement, a heartwarming tale, or an insightful perspective, we want to hear it. Share your news with us, and let’s amplify your voice in the digital symphony of stories.

Submit

A man is riding a bike on a hill.

The Supply Chain Report is your essential daily news website, serving as a trusted source for comprehensive coverage of the complex and ever-evolving global supply chain dynamics. Our expert team delves into the intricacies of international trade, manufacturing, logistics, importing, exporting, and supply chain management; providing in-depth analysis and up-to-date news on the latest trends, disruptions, and technological advancements affecting industries worldwide. From detailed reports on international trade through to insights into procurement strategies and inventory management, we offer valuable content that helps professionals stay informed and make knowledgeable decisions in a fast-paced market.

Each day, we bring you cutting-edge news and expert commentary that dissect significant international trade and supply chain issues Our coverage spans a wide array of sectors including manufacturing, retail, healthcare, food, consumer goods, and technology, ensuring that no matter your field, you have the strategic information needed to navigate the challenges and opportunities of today’s supply chain landscape. By synthesizing complex data and presenting actionable insights, The Supply Chain Report empowers business leaders, policymakers, and logistics professionals to optimize their operations and drive forward with confidence in an interconnected world.

Connect With Us

  • About
  • Events
  • Privacy Policy
  • Contact Us

© 2024 International Centre for Trade Transparency Limited. Incorporated in the United Kingdom.

No Result
View All Result
  • Home
  • Industry
    • Supply Chain
    • Logistics & Transportation
    • Importing & Exporting
    • Manufacturing
    • Warehousing & Distribution
  • Compliance
    • Supply Chain Transparency
    • Anti-Money Laundering (AML)
    • Know Your Customer (KYC)
    • Risk Management
    • Export Controls
    • Sanctions
  • Global Trade
    • Market Trends
    • Economic Indicators
    • Sourcing
    • Trade Policies
    • International Relations
    • Trade Agreements
    • Tariffs & Duties
    • Import/Export Statistics
  • Luxury Goods
  • Industry
    • Blockchain in Supply Chain
    • Importing & Exporting
    • Automation & Robotics
    • Artificial Intelligence in Trade
    • Data & Analytics
  • Sustainability & Ethics
    • Green Supply Chains
    • Sustainable Logistics
    • Ethical Sourcing
    • Corporate Social Responsibility
    • Environmental Policies
  • Security & Risk
    • Cybersecurity in Trade
    • Fraud & Scams
    • Risk Mitigation
    • Security Protocols
    • Data Protection
  • ITC News
    • ITC Featured Members
    • ITC Business Councils Highlights
  • Events
    • Upcoming Conferences
    • Upcoming FREE Educational Webinars

© 2024 International Centre for Trade Transparency Limited. Incorporated in the United Kingdom.