Closing the De Minimis Loophole Act of 2025 (H.R.1840)
The bill was introduced in the House by Rep. Linda T. Sánchez (D-CA-38) on March 4, 2025 (H.R.1840).
The purpose of the bill is to stop foreign bad actors from exploiting a customs process known as “de minimis” entry, which allows packages valued under $800 to enter the country without tariffs and through a simplified process.
BACKGROUND PROVIDED BY THE SPONSORS:
Over 4 million de minimis packages valued at $800 or less are now entering the United States every day with virtually no scrutiny or inspection – half are estimated to be textile and apparel products. De minimis is a black-market duty-free superhighway of goods hiding forced labor and illegal products and putting our essential industry out of business. Additionally, law enforcement is battling the trafficking of illegal narcotics on multiple fronts, including the international mail system. The de minimis loophole is severely exacerbating the opioid crisis by allowing fentanyl and other illegal opioids to enter our country largely uninspected. The closure of this trade loophole is vital to removing significant fentanyl trafficking routes into this country and is essential to any national strategy to end the fentanyl crisis.
The Closing the De Minimis Loophole Act:
- Immediately ends de minimis treatment for packages from China and phases out de minimis for all other countries after a four-month transition period.
- Directs the Treasury Secretary to oversee a rulemaking process during the four-month transition, ensuring that U.S. Customs and Border Protection has the necessary tools and procedures to implement the termination of de minimis for all countries smoothly and efficiently.
- Directs the Treasury Secretary to consult with the Postmaster General to establish appropriate fees and entry procedures, aiming for consistency between postal and other shipments wherever feasible.
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