Trump Slaps 90% Tariff on Small Packages from China

President Donald Trump has taken a bold step in reshaping U.S.-China trade once again—this time by sharply increasing tariffs on small packages coming from China, a move that could significantly disrupt the flow of low-cost goods popular on platforms like Shein and Temu.

In a newly signed executive order, Trump announced that the duty on so-called “low-value imports” from China will surge from 30% to a staggering 90%.

This change is set to take effect on May 2, alongside a broader tariff hike on a wide range of Chinese products, which will jump from 34% to 84%, according to the White House.

The biggest shift? The elimination of the longstanding duty-free exemption for imported goods valued under $800.

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For years, this rule allowed millions of low-cost products to enter the U.S. without facing import taxes—a loophole that Chinese e-commerce giants have increasingly taken advantage of to flood the American market with affordable goods.

Trump’s administration argues that this change is necessary to level the playing field. Officials pointed specifically to Shein and Temu as examples of platforms that have benefited enormously from the duty-free threshold, contributing to a dramatic rise in small parcel shipments from China.

Last week, the White House revealed that these products would soon be taxed at either 30% of their value or $25 per item. But in a sharp escalation, the administration now says the rate will jump to 90%, with a per-item tariff of $75 beginning May 2—and rising again to $150 on June 1.

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This isn’t the first time Trump has targeted this policy. Back in February, he moved to scrap the customs exemption entirely. But after the decision caused logistical chaos at U.S. ports and among retailers, he temporarily backed off. This latest move, however, signals a renewed—and much more aggressive—approach.

China hasn’t taken the news lightly. After February’s announcement, Beijing accused Washington of “politicizing trade and economic issues” and using tariffs as a tool of economic pressure.

What’s clear is that this new wave of tariffs could fundamentally change the way American consumers shop for budget-friendly products online. With prices likely to rise and shipping times potentially affected, bargain hunters may soon feel the squeeze.

AFP