WASHINGTON, D.C. — U.S. Senator Sherrod Brown (D-OH) joined four other senators yesterday to lead legislation that would help Customs and Border Protection (CBP) stop the flow of illicit goods, including fentanyl and counterfeits, into the country by tightening import requirements for packages that enter under the de minimis loophole.
In recent years, the number of direct-to-consumer shipments from foreign corporate giants like Shein and Temu into the U.S. has quadrupled, threatening American retailers and manufacturers. These Chinese retailers are abusing a customs process called “de minimis” entry, which allows packages under $800 to enter the country tariff-free and with minimal inspection. As the volume of packages has increased, CBP has struggled to effectively target shipments and keep out packages containing illicit drugs, counterfeits, and other goods that violate U.S. law.
“Countries like China are exploiting the de minimis loophole to cheat our trade laws and flood our country with packages containing fentanyl and other illicit substances,” Brown said. “By cracking down on this loophole and providing law enforcement with more resources, this bipartisan legislation will begin to level the playing field for Ohio workers and Ohio manufacturers and retailers – while helping to stop the deadly flow of fentanyl into Ohio communities.”
The Fighting Illicit Goods, Helping Trustworthy Importers, and Netting Gains (FIGHTING) for America Act would tighten the rules for de minimis entry and help CBP more effectively stop unlawful imports. The bill would take an important step forward towards closing the de minimis loophole. The legislation would ensure that Chinese corporate giants cannot use the de minimis process to avoid paying tariffs on textiles, shoes and apparel or evade trade penalties imposed because of Chinese trade cheating. Reducing the overall volume of low-value packages entering under de minimis would promote enforcement of U.S. trade laws, reduce the amount of fentanyl coming into the United States, and level the playing field for U.S. manufacturers and workers. The legislation would also improve oversight of the de minimis entry process by (1) requiring CBP to collect more information about commercial packages, (2) facilitating the targeting and seizure of illicit goods, and (3) increasing penalties for bad actors.
Brown was joined by U.S. Senators Ron Wyden (D-OR), Cynthia Lummis (R-WY), Susan Collins (R-ME), and Bob Casey (D-PA) in leading the legislation.
Brown has introduced bipartisan legislation to address the de minimis loophole, and has repeatedly called on the President to take executive action to close it.
