Last week, US president Donald Trump signed an executive order ending his country’s ‘de minimis’ regime for low-value imports, meaning they will now face duties when entering the US.
As reported by the BBC, the order will come into effect on 29 August, ending the duty-free regime for imports of values lower than US$800. The US administration argued that it had been used to "evade tariffs and funnel deadly synthetic opioids" into the country. The order brings forward plans to end the exemption by almost two years.
Chartered Institute of Export & International Trade director general Marco Forgione has responded to the decision to say that “the decision to bring forward the end of de minimis treatment by nearly two years is deeply unsettling for UK exporters”. He continued:
“Thousands of businesses, especially SMEs and e-commerce sellers, now face immediate new costs when trading into the US. This shift creates serious problems for supply chain planning and removes one of the few simple, low-friction routes into the American consumer market.
"This is part of a broader strategy we’ve seen from the US in recent months: a deliberate and muscular campaign to rewrite the rules of global trade. From blanket tariffs to sudden regulatory moves, we are witnessing a growing pattern of pressure and unpredictability. The result is less certainty, more barriers, and greater risk for the businesses that power our economies.
"We’ll be working with policymakers and industry partners in the UK to ensure that our exporters are heard. Any future UK review of de minimis thresholds must support jobs, protect supply chains, and give firms the clarity they need to compete with confidence.
"Last week’s reports that the White House has also written to leading pharma firms demanding further cost reductions reinforce the message: this is a full-spectrum approach to exert leverage across sectors. The rules-based system is being unpicked piece by piece, and businesses are caught in the crossfire. What we need now is a coordinated effort to restore stability, defend access, and deliver a global trading environment that works for SMEs and multinationals alike."
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