- E-commerce giants Temu and Shein leverage a trade rule known as de minimis, allowing them to ship packages under the value of $800 without paying duty and certain taxes.
- This has enabled them to offer astonishingly low prices, impacting American businesses and leading to plant closures.
- Several Congresspeople have drafted legislation to reduce this trading advantage, but the issue may not be addressed in this contentious congressional session.
- Some argue that de minimis is now an integral part of e-commerce and American companies need to adapt or risk being left behind.
- The rise of these companies has led to concerns about the survival of American small businesses and warehouses.
Read more at: https://time.com