Trade
Further Amendment to Duties Addressing the Synthetic Opioid Supply Chain in the People’s Republic of China as Applied to Low-Value Imports
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Authority: The order is issued under various legal authorities, including the IEEPA and the National Emergencies Act.
Background:
- Many shippers in the People’s Republic of China (PRC) are found to hide illicit substances in shipments to the U.S.
- This practice exploits an exemption under the Tariff Act of 1930.
Impact on Synthetic Opioid Crisis:
- Previous Executive Orders (14195 and 14228) noted the significant role of PRC exports in the synthetic opioid crisis.
Suspension of Duty-Free Treatment:
- As of May 2, 2025, duty-free treatment for products from PRC and Hong Kong under the specified section of the Tariff Act will end.
- Additional duties will now be imposed on these imports.
Procedures for Entry:
- Shipments from PRC or Hong Kong valued at or under $800 will require entry by a qualified party, applicable duties must be paid.
- The U.S. Customs and Border Protection (CBP) is tasked with enforcement and necessary actions.
Duties Imposed:
- All postal items valued at or under $800 that are sent through the international postal network will incur duties.
- The duties are specified as:
- Ad Valorem Duty: 30% of the item's value for consumption on or after May 2, 2025.
- Specific Duty: $25 per item from May 2 to June 1, 2025; $50 from June 1, 2025, onwards.
Bond Requirement:
- Carriers must have an international carrier bond to ensure duty payment.
Authority of CBP:
- CBP may require formal entry for certain postal packages, which will then be subjected to standard duties instead of the specified duties.
Implementation Actions:
- The Secretary of Homeland Security will implement necessary measures.
- A report on the order's impact on U.S. industries and consumers is to be submitted within 90 days.
Limitations:
- The order does not impair existing legal authorities or create enforceable rights against the U.S. or its entities.