Relief from 125%, and the End of the De Minimus Exemption

On Friday, April 11, 2025, the White House issued an amendment to previous executive orders to provide an exemption for certain electronic goods from the “reciprocal” tariffs announced on April 2, 2025.

Modified since April 2, the current configuration of these tariffs places a flat 10% on imports from all countries except China, and a 125% additional tariff on goods from China, Hong Kong, or Macau. Under the new exemptions, these electronic goods will not be subject to these tariffs, and will instead fall under secondary HTS 9903.01.32, which imposes no additional duty. Key classes of merchandise eligible for this exemption include:

• Laptops/ computers
• Computer components and storage devices
• Smartphones
• Semiconductors and other electronics

A full list of the HTS codes associated with the now-exempt classes of items can be found here. Note, however, these items will still be subject to the 20% tariff prescribed by the White House in response to the opioid crisis, and if Trump wishes to wield trade policy to incentivize domestic production in these industries, he may levy additional tariffs under Section 232 of the Trade Expansion Act as he has against steel and aluminum.

While these exemptions will provide relief for US sellers and consumers alike in the technology industry, new sanctions against China set to begin on May 2, 2025 will tax US importers across the board – on that date, the de minimus exemption for goods from China under $800 will end. Up to now, goods under $800 from China or any other country have been exempt from HTS classification, from duties, and formal and informal customs entry. Upon its termination, millions of dollars of goods imported from China will thereafter be subject to HTS classification, too all of the new Chinese and other additional tariffs, and to full customs entry. This will exponentially increase the price of low-value goods that were previously free.

Allyn International’s service suite includes consultation on current and developing issues in the US trade community. Reach Allyn here for a consultation or, contact us sales@allynintl.com or 239-489-9900.

Contributor: Andrew Dosher

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