Fri, 07 Feb 2025

Fri, 07 Feb 2025 Trump suspends tariffs on small packages from China

The order ending duty-free shipment of packages from China worth less than $800 had caused chaos.

* Trump has suspended tariffs on small packages from China worth under $800, reversing a previous decision that left the US postal service scrambling.
* The move comes after Trump raised border taxes on Chinese goods by 10% last weekend.
* Tariff-free treatment for low-value packages will remain in place until "adequate systems are in place" to process and collect tariff revenue.
* This change affects companies like Shein and Temu, which have rapidly expanded their US sales using the exemption for low-value packages.
* The move has been met with roadblocks, including legal challenges, and Trump's other trade decisions since taking office have also faced obstacles.
* Trump plans to announce "reciprocal tariffs" next week, levying taxes at the same rates that other countries apply to equivalent US products.
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