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Lawmakers Urge Biden to Close Tariff Loophole for Chinese Imports

Democrats press President Biden to end the de minimis provision, citing economic and security concerns.

  • A majority of House Democrats have requested President Biden to use executive power to end the de minimis tariff provision for imports under $800.
  • The de minimis provision, increased from $200 to $800 in 2015, allows duty-free entry of low-value packages, primarily benefiting Chinese e-commerce firms.
  • Lawmakers argue that the provision is exploited by fentanyl traffickers and undermines U.S. trade enforcement, including the Uyghur Forced Labor Prevention Act.
  • The National Council of Textile Organizations reports that the loophole has led to the closure of 18 U.S. textile plants and an influx of over 4 million packages daily.
  • Opponents, including the National Foreign Trade Council, warn that closing the loophole would increase consumer costs and strain Customs and Border Protection resources.
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