Tariff Shock Hits Consumers as De Minimis Exemption Ends 

E-commerce is about to get a lot more complicated. 

With the end of the de minimis exemption, consumers and businesses are now facing surprise tariff bills on international purchases. This policy change, which previously allowed duty-free imports under $800, started with shipments from China in May and has now expanded globally. 

For example, a gamer in Louisiana was hit with a $934 tariff bill on a computer parts order from Germany. The charges included a 25% tariff on Chinese components and a 50% tariff on aluminum derivatives.

This shift affects everyone, from major e-commerce players like Amazon and Shein, which benefited from the nearly 1.4 billion packages that claimed this exemption in FY2024, to small businesses. Many small businesses are now faced with the difficult decision of halting U.S. orders or switching to more expensive carriers like FedEx and UPS. 

This change could increase consumer costs, complicate e-commerce operations, and ripple through global supply chains. 

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