While some online American shoppers are upset over President Donald Trump closing a trade loophole that allowed China to import some small-dollar parcels into the U.S. without paying tariffs and facing rigid inspections, Republican attorneys general say the move is critical for stopping the flow of small-sized fentanyl shipments into the country.
The loophole, called the de minimis rule, allowed products worth up to $800 to avoid tariffs and face limited inspections, as long as they were shipped directly to U.S. consumers or small businesses.
The process was intended to simplify the import process for China importers and save them some money, which resulted in such China-based companies as fast-fashion purveyor Shein and the digital marketplace Temue using it.
But so were fentanyl dealers in China, said the group of attorneys general that asked Trump to close the loophole, known as the Entry Point 86 pilot program, which also provided the same exemptions for Hong Kong importers.
"Within days, the president responded and closed this loophole," Kentucky Attorney General Russell Coleman, among those who signed the March 31 letter to Trump, said on a recent John Solomon Reports podcast. "My hat is off to President Trump and his administration for getting things done. Not just talking about it, but getting things done that make us safer."
The executive order states that closing the loophole is a "critical step in countering the ongoing health emergency posed by the illicit flow of synthetic opioids into the U.S."
"We weren't looking at these packages at all, and we're talking about hundreds of millions of packages," Coleman also said. "In fact, 1.2 billion, at least in the last year. We have numbers. That's a lot of packages and a lot of risk."
The change went into effect Friday, following Trump signing an executive order to end the loophole a month ago.
Source link