Trump's order on low-value imports risks disrupting e-commerce: ITIF

The policy, aimed at curbing illicit drug trafficking and tariff evasion, eliminates duty-free treatment for most low-value shipments. ITIF policy analyst Eli Clemens said the change could overwhelm US Customs and Border Protection (CBP), which is not operationally equipped to handle the influx of packages requiring formal processing.

While noting the exemption has long been exploited by counterfeiters, traffickers, and foreign e-commerce platforms, ITIF cautioned that without swift CBP modernisation and AI-powered enforcement, the move risks merely shifting illicit activities rather than stopping them.

“Like tariffs, this EO is part of a new phase in trade policy where the Trump administration is willing to impose costs on American consumers and businesses with changing and contradicting strategic goals,” added Clemens.

ALCHEMPro News Desk (SG)