“Made in China” labels on packages at a fulfillment center in New Jersey. (Bing Guan/Bloomberg)
President Donald Trump’s escalating trade war with China once again increased tariffs applied to small parcels that were previously exempt from duties.
The U.S. will tax imports of shipments priced up to $800 at the rate of 120% of their value starting May 2, up from a previous plan published to levy a 90% ad valorem tax, according a White House modification of Trump’s so-called reciprocal tariff issued April 9.
Washington will also increase the per postal item fee on goods entering after May 2 and before June 1 to $100 from the planned $75. Parcels entering after June 1 will pay a fee of $200 per item instead of $150 announced previously, according to the April 9 order.
The higher rates risk disrupting shipments from online retailers like Temu and Shein that are increasingly popular with American shoppers.
READ MORE: China Cuts Back on Small Packages Shipped to US
The increase comes as Trump pushes ahead with tariffs of at least 145% on many Chinese imports even after pausing the implementation of his harshest planned duties for the rest of the world on April 9.
