China’s Cross-Border E-Commerce Faces Disruption from Trump’s Steep Tariffs on Small Parcels
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Donald Trump has sharply escalated trade tensions with China, announcing a steep increase in tariffs on small parcels valued under $800 just days after Beijing retaliated with its own 34% tariff hike. The move poses major challenges for China’s cross-border e-commerce exporters.
Starting May 2, goods from the Chinese mainland and Hong Kong will no longer enjoy duty-free treatment. Instead, shipments will face a 30% tax or a minimum $25 duty, with tariffs climbing to $75 between May 2 and June 1, and reaching $150 after June 1. The effective tax rate on small parcels will jump from 30% to 90%, nearly matching the 104% levy on traditional foreign trade goods.
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- Trump increased tariffs on small parcels under $800 from China and Hong Kong, impacting cross-border e-commerce exports; tariffs rise from a 30% tax to $150, with the effective rate jumping to 90%.
- Chinese companies like Anker and PDD are adapting by increasing local production, using American warehouses, and exploring emerging markets to offset impacts and maintain competitiveness.
- Exporters face higher costs, leading some, like Jinchan Curtains, to raise prices despite potential order losses, while independent sellers may absorb costs by utilizing overseas warehousing to reduce expenses.
- April 2, 2025：
- U.S. President announced that overall U.S. tariffs on Chinese imports would rise to 54%.
- April 9, 2025：
- U.S. tariffs on Chinese imports expected to take effect.
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