NCTO Commends Elimination of De Minimis Loophole

NCTO Commends Elimination of De Minimis Loophole for Low-Value Commercial Shipments, Backs Streamlined U.S. Processing
August 28, 2025

WASHINGTON, D.C. – The National Council of Textile Organizations (NCTO), representing the complete U.S. textile supply chain—from fiber and yarn to fabric and finished sewn products—has issued the following statement from President and CEO Kim Glas, expressing strong support for ending the de minimis provision as of August 29 and for seamless U.S. processing.

Statement by NCTO President and CEO Kim Glas:

“The Trump administration has taken decisive steps to close the de minimis loophole, a trade policy that has been exploited for years by Chinese e-commerce giants and other foreign shippers to bypass U.S. trade regulations. This loophole allowed companies to avoid tariffs and customs reporting for shipments valued under $800, inflicting harm on U.S. manufacturers, threatening American jobs, and enabling an influx of unsafe, counterfeit, and forced labor-produced goods. With this executive action, the administration is ending this unfair advantage, delivering long-overdue relief to the U.S. textile sector and its workforce, and bolstering both our economic and national security.

“Beginning Friday, August 29, all commercial shipments must adhere to consistent requirements—providing customs documentation on origin, proper classification, and payment of all relevant duties and fees. This reform restores critical accountability to the trade system and renews confidence for American manufacturers, who have struggled with the impacts of an uneven playing field.

“While some critics—motivated by the profits of the de minimis status quo—are spreading misinformation, the reality remains: consumers will still receive their online orders. Over 90% of these shipments enter the U.S. as express parcels and will now do so under a fair, transparent, and enforceable regime. U.S. Customs and Border Protection (CBP) and the U.S. Postal Service are both fully prepared for these changes and have robust systems in place. Importantly, international mail delivery will continue without interruption.

“This action extends the president’s prior suspension of de minimis treatment for low-value commercial shipments from China and Hong Kong, which has already covered the majority of such packages since May 2.

“It ensures that all small-package shipments—regardless of the delivery method—receive necessary inspection, accurate information, and proper duty collection. Every day, packages continue to arrive in the U.S.; tomorrow will be no different.

“With this decisive move, the Trump administration has achieved a historic victory for U.S. industry, American workers, and the integrity of our nation’s trade system.”