US Customs and Border Protection has collected $1 billion in duties on low-value imports since ending the de minimis rule in May.
US Customs and Border Protection (CBP) has collected over $1 billion in duties on low-value imports since the de minimis rule ended in May, according to a report by New York's Journal of Commerce.
The duties arise from 246 million shipments following the Trump administration's phase-out of the duty-free provision, known as Section 321, which initially targeted cargo from China and Hong Kong before expanding globally in August.
The de minimis program previously allowed one shipment per day valued at $800 or less to clear customs duty-free. CBP Commissioner Rodney Scott stated that this milestone highlights the revenue lost under the old rules and emphasizes that American businesses now face fairer competition.
The threshold was raised from $200 to $800 in 2016, which spurred growth in e-commerce shipments. Companies like Shein and Temu benefited from this change, aided by CBP's Type 86 entry program that expedited clearance through intermediaries.
Customs brokers have argued that the higher threshold has weakened security and reduced their revenue. In response, CBP reported an 82 percent increase in seizures of unsafe and non-compliant goods since the rule's termination, including counterfeits, narcotics, and hazardous products.
Susan Thomas from CBP's Office of Trade noted that improved data visibility aids in disrupting criminal networks involved in smuggling illegal items.
While the $1 billion collected is significant, it pales in comparison to overall tariff revenue. The administration reported that more than $125 billion has been raised under global tariffs announced this year, although the legality of these tariffs is currently being challenged before the Supreme Court.
