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Saturday, September 28, 2024

Bipartisan bill targets illicit imports via low-value package loophole

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Senator Cynthia Lummis, U.S. Senator for Wyoming | Official U.S. Senate headshot

Senator Cynthia Lummis, U.S. Senator for Wyoming | Official U.S. Senate headshot

WASHINGTON, D.C. – U.S. Senator Cynthia Lummis (R-WY) and Senator Ron Wyden (D-OR) announced bipartisan legislation aimed at assisting Customs and Border Protection (CBP) in curbing the influx of illicit goods into the United States. The proposed law seeks to tighten import requirements for low-value packages, targeting items such as fentanyl, counterfeits, and products made with forced labor.

"Whether through the southwest border or in packages mailed into the United States, China is using any tool available to get illicit drugs across our border," said Lummis. "It is time for CBP to crack down on shipments from China to ensure drugs and products made using slave labor are encountered before making it into our communities."

In recent years, direct-to-consumer shipments from foreign corporations like Shein and Temu have quadrupled in volume. These retailers exploit a customs process known as “de minimis” entry, which allows packages valued under $800 to enter the country tariff-free and through a streamlined process. As package volumes have surged, CBP has faced challenges in effectively targeting shipments to intercept those containing illicit drugs, counterfeits, forced labor products, and other illegal goods.

The Fighting Illicit Goods, Helping Trustworthy Importers, and Netting Gains (FIGHTING) for America Act aims to tighten rules surrounding de minimis entry. This legislation would help CBP more effectively block unlawful imports by ensuring that Chinese corporate giants cannot use this process to avoid tariffs on textiles, shoes, apparel or evade trade penalties imposed due to Chinese trade practices. By reducing the overall volume of low-value packages entering under de minimis provisions, the act would promote enforcement of U.S. trade laws and create a fairer competitive environment for American manufacturers and workers.

For text of the bill, click here.

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