End Of Duty-free Exemption For Low-value Items Will Impact Online Shopping - ABC7 San...

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Toys, tools, trendy clothing: chances are you've ordered it and had it delivered pretty inexpensively thanks to online shipping. Many of those things have been shipped to you from China thanks to Amazon, Temu, or Shein.

⁘Ever since the pandemic, we have taken to e-commerce in the United States,⁘ Groth said. ⁘We have been 'addicted to cheaper merchandise from China' that is increasingly well-made.⁘

For years, packages valued at less than $800 had been shipped duty-free. That helped e-commerce companies like Shein and Temu thrive.

But that's changing. The end of the exemption plus new tariffs means a double-whammy for customers.

Professor Kirthi Kalyanam of Santa Clara University's Leavey School of Business and the Executive Director of Retail Management Institute explains.

⁘You will definitely be paying more, there's no question about that,⁘ Kalyanam said. ⁘In addition to that, customers should expect to see disruptions and delays because we don't know exactly how this is going to be implemented over the next four weeks, six weeks.⁘