US Issues Guidance on Chinese Tariff Changes
- May 13, 2025
The White House has issued further guidance on the reduction in Chinese Tariffs. Below is a summary of the key changes, effective May 14, 2025:
There will be a 90-Day Suspension of Higher Ad Valorem Rates:
The U.S. is suspending a portion of the additional ad valorem duties previously imposed under Executive Order 14257. For the next 90 days, covered Chinese-origin goods (including those from Hong Kong and Macau) will be subject to a reduced 10% additional ad valorem duty, down from 34%.
What does “effective May 14, 2025” mean? We finally have an answer! The effective date is the entry date of the cargo.
“Effective with respect to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. ET on May 14, all articles imported into the customs territory of the U.S. from China, including Hong Kong and Macau, shall be, consistent with law, subject to an additional ad valorem rate of duty of 10% subject to all applicable exceptions set forth in Executive Order 14257 and the Presidential Memorandum of April 11, 2025.”
De Minimis Threshold Adjustments:
In parallel, duty rates on low-value imports (such as postal shipments potentially linked to the synthetic opioid supply chain) will be lowered:
- The ad valorem rate drops from 120% to 54%.
- The current $100 per postal item duty will remain in place and will not increase to $200 as originally planned on June 1st.
If you are a Shapiro customer, please rest-assured that we are running reports to identify any shipments that may qualify for this sizeable adjustment. If you are affected, we will be in touch soon!