US President Donald Trump has tripled tariffs on small parcels exported from mainland China and Hong Kong which were exempt from duties, amid an escalating crossfire between the world’s two biggest economies.
According to an amendment on so-called reciprocal tariffs published by the White House on Wednesday Hong Kong time, the new rate on packages priced up to US$800 will be 90 per cent of their value, up from the original levy of 30 per cent.
The per postal item fee will be raised to US$75 from the original US$25 after May 2 and US$150 from the planned US$50 after June 1.
While the tax exemption on items of marginal value under a rule dating back to the 1930s was due to end on May 2, the latest increase comes after Beijing retaliated against Trump’s previous round of tariffs.
Chinese online marketplaces such as Temu and Shein have taken advantage of the “de minimis” loophole to enter the US duty free so far.
In the latest development, Trump also announced he would apply an additional 50 per cent tariff on Chinese imports, pushing the total levy on many goods from China to 104 per cent. The new US tariffs took effect at noon on Wednesday Hong Kong time.
