China has lodged a complaint with the World Trade Organization (WTO) against U.S. President Donald Trump’s latest 10% tariff on Chinese imports and the removal of duty-free exemptions for low-value packages, arguing that the measures are “protectionist” and in violation of WTO rules.
Beijing’s formal request for trade consultations, filed Wednesday, comes as shippers and retailers grapple with the sudden elimination of the “de minimis” exemption, which had previously allowed packages valued under $800 to enter the U.S. duty-free.
This exemption had been widely used by e-commerce giants such as Shein, Temu, and Amazon, and its removal is expected to have significant trade implications.
A U.S. Customs and Border Protection official confirmed that all small packages from China and Hong Kong now require customs entries before arrival, warning that cargo may be returned if the necessary paperwork is not completed.
The new restrictions have sown confusion among international retailers, particularly those that rely on low-cost, high-volume shipments from China.
The WTO confirmed China’s request for consultations with the U.S. regarding the new tariffs. In its complaint, Beijing argued that:
- Trump’s 10% tariffs are based on “unfounded and false allegations” regarding China’s role in fentanyl production.
- The tariffs unfairly target Chinese-origin goods, violating WTO rules against discriminatory trade practices.
The consultation request marks the first step in a formal dispute resolution process, which could eventually lead to a WTO ruling against Trump’s tariffs—similar to the 2020 decision that found his first-term China tariffs violated international trade rules.
Despite Beijing’s complaint, any potential WTO ruling is unlikely to force a rollback of the tariffs.
The WTO’s Appellate Body, responsible for enforcing rulings, has been largely inoperative due to U.S. opposition to appointing new appellate judges. This has paralyzed the trade dispute resolution process, making it difficult for countries to enforce rulings against the U.S.
In a related development, the U.S. Postal Service (USPS) announced Wednesday that it would resume accepting parcels from China and Hong Kong, reversing a temporary suspension that had threatened to disrupt millions of daily package deliveries.
While Trump’s new trade measures have already sparked tensions with Beijing, their long-term impact on U.S.-China trade relations remains uncertain—especially as both sides prepare for a prolonged economic standoff.