Breaking Down the Latest U.S. Tariffs on Chinese Imports and De Minimis Policy

The U.S. trade policy landscape is rapidly evolving, with new tariffs on Chinese imports and significant changes to the de minimis exemption for low-value shipments. These changes have major implications for e-commerce businesses, importers, and global supply chains.

For sellers sourcing from China, the reinstatement of the de minimis exemption for orders under $800 offers a significant advantage—allowing many products to enter the U.S. tariff-free. However, for shipments exceeding this threshold, HTS code classification and accurate product declarations are now more critical than ever.

In this article, we’ll break down:

1. The latest tariff updates and their impact on importers

2. The return of the de minimis exemption and why fulfillment from China is the best strategy

3. How HTS code implementation and proper declarations help businesses navigate compliance

4. How Peregrine Ship provides an optimized solution for global e-commerce sellers

New U.S. Tariffs on Chinese Imports: What’s Changing?

On February 1, 2025, the U.S. government imposed a 10% tariff on most imports from China as part of an ongoing effort to reduce trade imbalances and curb reliance on low-cost Chinese goods. This decision follows increased scrutiny of Chinese e-commerce giants like Shein and Temu, which have capitalized on direct shipping models to the U.S. under previous exemptions.

Key Implications of the 10% Tariff:

• Increased import costs for products exceeding the $800 de minimis limit.

• Potential price hikes for consumers as businesses adjust pricing to offset tariffs.

• More complex customs compliance with stricter enforcement of product classifications and declarations.

For businesses sourcing products from China, this means careful cost management and fulfillment strategy adjustments are now necessary.

De Minimis Exemption Reinstated: A Game-Changer for E-Commerce

Initially, the U.S. government planned to eliminate the de minimis exemption, meaning all imports from China—regardless of value—would have been subject to tariffs. However, on February 7, 2025, the administration reversed its stance, citing logistical challenges, increased customs processing times, and inflation concerns.

Now, shipments valued under $800 can continue to enter duty-free, making direct fulfillment from China the best option for many e-commerce sellers.

Why This Matters for Your Business:
✅ No tariffs on orders under $800, preserving profit margins.
✅ Faster processing at U.S. customs due to simplified documentation requirements.
✅ Competitive pricing compared to businesses that source in bulk and must pay tariffs.

🚀 Solution: By leveraging Peregrine Ship’s direct fulfillment model, e-commerce businesses can continue sending individual orders below $800 directly from China, avoiding additional tariffs and maintaining low shipping costs.

HTS Code Implementation and Accurate Declarations: A Must in 2025

With new tariffs in effect and increased customs scrutiny, the importance of correct HTS (Harmonized Tariff Schedule) codes and transparent product declarations has never been greater.

What’s Changing?

• Customs officials are now enforcing stricter classifications to prevent tariff avoidance.

• Misclassified products could face delays, fines, or seizure at customs.

• Businesses must maintain accurate HTS codes to ensure smooth imports and avoid additional duties.

🔹 HTS Compliance Best Practices:
✔ Use precise HS codes for all products—incorrect codes can lead to costly penalties.
✔ Ensure proper invoice declarations to avoid customs reclassification.
✔ Work with a trusted logistics partner (like Peregrine Ship) to ensure compliance.

🚀 Solution: Peregrine Ship helps sellers navigate HTS compliance by providing:
✅ Automated HTS classification for all shipments
✅ Customs documentation support to ensure smooth processing
✅ End-to-end visibility on duty charges to prevent unexpected costs

Why Fulfillment from China Is the Best Option Right Now

With the de minimis exemption back in place, sellers who ship individual packages under $800 directly from China gain a competitive advantage over those who rely on bulk imports. Here’s why:

1. Avoid Unnecessary Tariffs

📦 Orders under $800 = No tariffs
📦 Bulk imports over $800 = 10% tariff + customs processing delays

2. Faster Order Processing

🔹 Individual shipments bypass bulk import inspections, speeding up delivery times.
🔹 Bulk imports often face longer customs hold times and higher compliance checks.

3. Lower Fulfillment and Storage Costs

🚛 Ship on demand, avoiding the costs of warehousing large inventory in the U.S.
🚛 No need to pre-stock high volumes, reducing capital tied up in inventory.

🚀 Solution: Peregrine Ship’s China-based fulfillment centers enable e-commerce businesses to send products directly to U.S. customers under the de minimis rule, eliminating import duties and lowering overhead costs.

How Peregrine Ship Helps E-Commerce Sellers Win in 2025

Peregrine Ship is designed to help e-commerce businesses adapt to changing trade regulations while maintaining fast, cost-effective fulfillment. Here’s how we support sellers:

✅ Direct Factory Sourcing: Cut out middlemen, lower costs, and get reliable product quality.
✅ Seamless De Minimis Fulfillment: Keep shipments under $800 to avoid tariffs.
✅ HTS Compliance & Documentation: Ensure all shipments are classified correctly for smooth customs clearance.
✅ Fast & Reliable Shipping: Our integrated logistics network ensures 3-14 day delivery to key markets.
✅ Automated Order Processing: Connect your Shopify or e-commerce platform for real-time order fulfillment.

Conclusion: How to Stay Ahead of Trade Policy Changes

While the 10% tariff on Chinese imports remains in place, the de minimis exemption provides an opportunity for e-commerce sellers to continue importing tariff-free shipments under $800.

To stay competitive, businesses must:
✔ Leverage direct fulfillment from China to take advantage of the de minimis rule.
✔ Ensure HTS code compliance and accurate declarations to avoid customs issues.
✔ Work with an experienced logistics partner like Peregrine Ship to optimize sourcing, fulfillment, and compliance.

📦 Need help navigating U.S. import regulations while keeping your fulfillment costs low?
Contact Peregrine Ship today to maximize your profit margins and streamline your supply chain in 2025.