Rumored: No Changes to De Minimis in April
Bloomberg Intelligence analysis (terminal/paywalled) suggesting the Commerce Department report to the president will report "good progress" on developing new systems to collect duties on formerly de minimis exempt packages, but systems will not yet be in place next month to manage that process. The agency is also processing comments on the proposed changes as part of the rulemaking procedure. The record is filled with comments from businesses seeking favored treatment and a consensus that prices will rise for consumers, but they are likely to be protected from better enforcement and seizure of dangerous goods and counterfeit/replica items.
A well placed source says the report may also omit all references to de minimis to avoid giving bad news to the president. In either event, no changes are likely to the "pause" in April. Major shipping companies are betting on a summer start date, but some still believe an efficient collections system is years off. All are warned the president could still issue a Unilateral directive regardless as part of his April 2 reciprocal tariff scheme.
Many companies that used to rely on de minimis have already switched to Type 11 entry, which permits group package manifests and cheaper and often faster entry. Duties do apply to all Type 11 entries, but paperwork fees are much less.
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