U.S. Retailers Say an Old Trade Law Puts Them at a Disadvantage
Summary
Critics also argue that shipments that fall under the de minimis rule provide an unchecked channel that allows goods that could have been made by forced labor to enter the United States. In June, the House Select Committee on the Chinese Communist Party published a report that found Temu and Shein alone were likely responsible for more than 30 percent of all packages imported to the United States under the de minimis provision. Ron Sorini, a lobbyist and trade expert who is working with a group of 20 U.S. retailers to change the de minimis entry law, said it created an incentive for companies to move their distribution offshore. Kim Glas, the president of the National Council of Textile Organizations, a lobbying group, said it would be more effective to limit the use of de minimis than to expand its application to retailers in foreign trade zones. American Apparel & Footwear Association, a trade organization that represents more than 300 U.S. companies, is collecting input from its members for a policy recommendation it plans to publish in the next couple of weeks.