WASHINGTON/LONDON/LOS ANGELES – U.S. President Donald Trump on Feb. 7 paused his administration’s repeal of duty-free treatment of low-cost packages from China, giving the Commerce Department time to make the order workable, after the rapid change created disruptions for customs inspectors, postal and delivery services and online retailers, according to a report by Reuters.
The eventual cancellation of de minimis means the more than 1 billion small-value e-commerce packages arriving annually in the United States with goods coming directly from China must switch to an entry process that requires additional information and duties, adding time and cost.
The stop and restart of the United States Postal Service acceptance of those packages this week set off a swarm of disruptions that backed up Customs clearance for packages – even those that had paid duties – at New York City’s John F. Kennedy International Airport.
“Well that was a fun Tuesday through Friday, if you work in global e-commerce,” said Derek Lossing, CEO of e-commerce and global supply chain firm Cirrus Global Advisors.
Click here to read the full report by Reuters.
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