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Committee spotlights de minimis loophole and transshipment as major enforcement gaps
Summary
Members and witnesses told the Trade Subcommittee that the de minimis exception for low‑value shipments and transshipment through third countries have become major paths for tariff evasion, fentanyl shipments and circumvention of antidumping and countervailing duty orders.
Members of the House Ways and Means Trade Subcommittee used Thursday's hearing to focus attention on the de minimis exemption and transshipment as key enforcement vulnerabilities that undermine U.S. trade remedies and border controls.
Ranking Member Rep. Linda Sanchez and several Republican members described a dramatic rise in low‑value package imports that avoid duties and inspections under the de minimis rule. "This de minimis loophole has gutted U.S. manufacturing and retail and facilitated the entry of... fentanyl," Rep. Sanchez said. Former deputy USTR Jeffrey Gerrish and other witnesses agreed that reforming de minimis eligibility for imports subject to trade…
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