The Trump administration has announced the removal of the “de minimis” tariff exemption for packages valued under US$800.

This policy shift is expected to affect Chinese ecommerce companies such as Alibaba, JD.com, PDD Holdings Inc.’s Temu, and Shein.

The new tariffs and changes to the exemption are set to take effect on Feb. 4, at 12:01 am New York time.

This change is part of new trade measures that focus on imports from China, Canada, and Mexico.

The elimination of this exemption impacts the existing tariffs of 25% on goods from Canada and Mexico, and 10% on goods from China.