Notice2025-07325
Notice of Implementation of Additional Duties on Products of the People's Republic of China Pursuant to the President's Executive Order 14256, Further Amendment to Duties Addressing the Synthetic Opioid Supply Chain in the People's Republic of China As Applied to Low-Value Imports
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Published
April 28, 2025
Effective
May 2, 2025
Issuing agencies
Homeland Security DepartmentU.S. Customs and Border Protection
Abstract
In order to effectuate the President's Executive Order 14256 of April 2, 2025, "Further Amendment to Duties Addressing the Synthetic Opioid Supply Chain in the People's Republic of China As Applied to Low-Value Imports," which eliminates the de minimis exemption for products of the People's Republic of China (PRC) (which include products of Hong Kong) and establishes a new duty rate for international postal packages sent to the United States through the international postal network from the PRC or Hong Kong, as amended by Executive Order 14259 of April 8, 2025, "Amendment to Reciprocal Tariffs and Updated Duties As Applied to Low-Value Imports from the People's Republic of China," and Executive Order 14266 of April 9, 2025, "Modifying Reciprocal Tariff Rates to Reflect Trading Partner Retaliation and Alignment," the Secretary of Homeland Security has determined that appropriate action is needed to ensure collection of applicable duties as well as to modify the Harmonized Tariff Schedule of the United States (HTSUS) as set out in the Annex to this notice.
Full Text
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<title>Federal Register, Volume 90 Issue 80 (Monday, April 28, 2025)</title>
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[Federal Register Volume 90, Number 80 (Monday, April 28, 2025)]
[Notices]
[Pages 17608-17610]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-07325]
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DEPARTMENT OF HOMELAND SECURITY
U.S. Customs and Border Protection
Notice of Implementation of Additional Duties on Products of the
People's Republic of China Pursuant to the President's Executive Order
14256, Further Amendment to Duties Addressing the Synthetic Opioid
Supply Chain in the People's Republic of China As Applied to Low-Value
Imports
AGENCY: U.S. Customs and Border Protection (CBP), Department of
Homeland Security.
ACTION: Amended notice.
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SUMMARY: In order to effectuate the President's Executive Order 14256
of April 2, 2025, ``Further Amendment to Duties Addressing the
Synthetic Opioid Supply Chain in the People's Republic of China As
Applied to Low-Value Imports,'' which eliminates the de minimis
exemption for products of the People's Republic of China (PRC) (which
include products of Hong Kong) and establishes a new duty rate for
international postal packages sent to the United States through the
international postal network from the PRC or Hong Kong, as amended by
Executive Order 14259 of April 8, 2025, ``Amendment to Reciprocal
Tariffs and Updated Duties As Applied to Low-Value Imports from the
People's Republic of China,'' and Executive Order 14266 of April 9,
2025, ``Modifying Reciprocal Tariff Rates to Reflect Trading Partner
Retaliation and Alignment,'' the Secretary of Homeland Security has
determined that appropriate action is needed to ensure collection of
applicable duties as well as to modify the Harmonized Tariff Schedule
of the United States (HTSUS) as set out in the Annex to this notice.
DATES: The amendments with respect to articles other than those sent to
the United States through the international postal network, as set out
in the Annex to this document, are effective with respect to products
of the PRC (which include products of Hong Kong) described in Section
2(a) of Executive Order 14195 and subject to Executive Order 14256, as
amended, that are entered for consumption, or withdrawn from warehouse
for consumption, on or after 12:01 a.m. eastern daylight time on May 2,
2025. With respect to postal items containing goods described in
Section 2(a) of Executive Order 14195 and subject to Executive Order
14256, as amended, sent through the international postal network from
the PRC or Hong Kong, the duties set out in the Annex to this document
are effective for such articles that are entered for consumption on or
after 12:01 a.m. eastern daylight time on May 2, 2025, or June 1, 2025,
as applicable.
FOR FURTHER INFORMATION CONTACT: Brandon Lord, Executive Director,
Trade Policy and Programs, Office of Trade, U.S. Customs and Border
Protection, (202) 325-6432 or by email at <a href="/cdn-cgi/l/email-protection#84f0f6e5e0e1f6e1e9e1e0fdc4e7e6f4aae0ecf7aae3ebf2"><span class="__cf_email__" data-cfemail="6a1e180b0e0f180f070f0e132a09081a440e0219440d051c">[email protected]</span></a>. C.
Shane Campbell, Acting Executive Director, Cargo and Conveyance
Security, Office of Field Operations, U.S. Customs and Border
Protection, (202) 344-3401 or by email at <a href="/cdn-cgi/l/email-protection#aedadccfcacbdccbc3cbcad7eecdccde80cac6dd80c9c1d8"><span class="__cf_email__" data-cfemail="bfcbcddedbdacddad2dadbc6ffdcddcf91dbd7cc91d8d0c9">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION: On January 20, 2025, the President declared
a national emergency with respect to the grave threat to the United
States posed by the influx of illegal aliens and drugs into the United
States, in Proclamation 10886 (Declaring a National Emergency at the
Southern Border of the United States) (90 FR 8327, January 29, 2025).
See National Emergencies Act (50 U.S.C. 1601 et seq.) (NEA).
On February 1, 2025, the President expanded the scope of the
national emergency declared in that proclamation to cover the failure
of the People's Republic of China (PRC) government to arrest, seize,
detain, or otherwise intercept chemical precursor suppliers, money
launderers, other transnational criminal organizations, criminals at
large, and drugs. In addition, the President determined that this
failure to act on the part of the PRC constitutes an unusual and
extraordinary threat, which has its source in whole or substantial part
outside the United States, to the national security, foreign policy,
and economy of the United States. To address this threat, pursuant to
the International Emergency Economic Powers Act (50 U.S.C. 1701 et
seq.) (IEEPA), the NEA, section 604 of the Trade Act of 1974, as
amended (19 U.S.C. 2483), and 3 U.S.C. 301, the President imposed ad
valorem tariffs on all imports that are products of the PRC, excluding
those encompassed by 50 U.S.C. 1702(b).\1\ See Executive Order 14195,
Imposing Duties To Address the Synthetic Opioid Supply Chain in the
People's Republic of China (February 1, 2025). Specifically, Executive
Order 14195 adjusted duties on imported products of the PRC by
imposing, consistent with law, an additional 10 percent ad valorem rate
of duty, on products entered for consumption, or withdrawn from
warehouse for consumption, on or after 12:01 a.m. eastern standard time
on February 4, 2025.
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\1\ 50 U.S.C. 1702(b)(1) covers ``postal, telegraphic,
telephonic, or other personal communication[s], which do[ ] not
involve a transfer of anything of value,'' and hence does not
encompass any imported articles of merchandise. 50 U.S.C. 1702(b)(4)
covers ``transactions ordinarily incident to travel to or from any
country, including [1] importation of accompanied baggage for
personal use, [2] maintenance within any country including payment
of living expenses and acquisition of goods or services for personal
use, and [3] arrangement or facilitation of such travel including
nonscheduled air, sea, or land voyages.'' Only the first of the
three categories of exceptions covered by 50 U.S.C. 1702(b)(4)--
products for personal use included in accompanied baggage of persons
arriving in the United States--encompasses imported articles of
merchandise, and such articles are excluded from the scope of the
additional ad valorem duties provided for in new HTSUS headings
9903.01.20 and 9903.01.24 by the terms of those headings and U.S.
note 2(u).
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[[Page 17609]]
Section 2(g) of Executive Order 14195 contemplated that duty-free
de minimis treatment under 19 U.S.C. 1321 was no longer available as of
the effective time of that order. Subsequently, on February 5, 2025,
the President amended Section 2(g) of Executive Order 14195, to suspend
enforcement of Section 2(g) of Executive Order 14195 until notification
by the Secretary of Commerce to the President that adequate systems
were in place to fully and expediently process and collect applicable
tariff revenue pursuant to Section 2(a) of Executive Order 14195 for
covered articles otherwise eligible for de minimis treatment. See
Executive Order 14200, Amendment to Duties Addressing the Synthetic
Opioid Supply Chain in the People's Republic of China (February 5,
2025).
Executive Order 14195, as amended by Executive Order 14200, was
further modified by Executive Order 14228, ``Further Amendment to
Duties Addressing the Synthetic Opioid Supply Chain in the People's
Republic of China.'' See Executive Order 14228 of March 3, 2025.
Executive Order 14228 increased the additional ad valorem tariff rate
from 10 percent to 20 percent for covered products of the PRC (which
include products of Hong Kong),\2\ that were entered for consumption,
or withdrawn from warehouse for consumption, on or after 12:01 a.m.
eastern standard time on March 4, 2025.
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\2\ Executive Order 13936 on Hong Kong Normalization (see 85 FR
43413 (July 14, 2020)).
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On April 2, 2025, the President issued Executive Order 14256,
``Further Amendment to Duties Addressing the Synthetic Opioid Supply
Chain in the People's Republic of China As Applied to Low-Value
Imports,'' which states that the Secretary of Commerce has notified the
President that adequate systems are now in place to process and collect
tariff revenue for covered goods from the PRC otherwise eligible for
duty-free de minimis treatment under 19 U.S.C. 1321(a)(2)(C).
Accordingly, Executive Order 14256 eliminates such duty-free de minimis
treatment for products of the PRC (which include products of Hong Kong)
for all covered products--among such covered products are international
postal packages sent to the United States through the international
postal network from the PRC or Hong Kong. On April 8, 2025, the
President issued Executive Order 14259, ``Amendment to Reciprocal
Tariffs and Updated Duties as Applied to Low-Value Imports from the
People's Republic of China,'' increasing the rates of duty set forth in
Section 2(c) of Executive Order 14256 to ensure that the imposition of
other tariffs imposed pursuant to Executive Order 14259 were not
circumvented and the action contemplated by Executive Order 14259 was
not undermined. Subsequently, on April 9, 2025, to similarly ensure
against the circumvention of tariffs and undermining of actions set
forth therein, the President issued Executive Order 14266, ``Modifying
Reciprocal Tariff Rates to Reflect Trading Partner Retaliation and
Alignment,'' further increasing the rates of duty set forth in Section
2(c) of Executive Order 14256.
Consistent with Executive Order 14256, duty-free de minimis
treatment under 19 U.S.C. 1321(a)(2)(C) shall no longer be available
for products of the PRC described in Section 2(a) of Executive Order
14195, that are entered for consumption, or withdrawn from warehouse
for consumption, on or after 12:01 a.m. eastern daylight time on May 2,
2025. Thus, such articles valued at or under $800, and that would
otherwise qualify for the de minimis exemption, that are entered for
consumption, or withdrawn from warehouse for consumption, on or after
12:01 a.m. eastern daylight time on May 2, 2025, other than articles
sent to the United States through the international postal network,
must be entered under an appropriate entry type (e.g., Type 01 or 11)
in U.S. Customs and Border Protection's (CBP) Automated Commercial
Environment (ACE), by a party qualified to make entry in accordance
with applicable regulations. All applicable duties, including those
imposed by Section 2(a) of Executive Order 14195, as amended by
Executive Orders 14200, 14228 and 14256, must be paid in accordance
with the applicable entry and payment procedures. Shipments valued at
or under $800 that would otherwise be ineligible for the de minimis
exemption, such as shipments of merchandise subject to antidumping or
countervailing duties or quota, must continue to be entered under an
appropriate entry type in ACE consistent with all applicable
requirements.
Pursuant to Executive Order 14256, as amended by Executive Orders
14259 and 14266, all postal items containing goods described in Section
2(a) of Executive Order 14195 and sent to the United States through the
international postal network from the PRC or Hong Kong and transported
by carriers, which are valued at or under $800 and would otherwise
qualify for the de minimis exemption, shall be subject to one of the
following two duty rates as elected by the carrier:
1. Ad Valorem Duty: An ad valorem duty of 120 percent of the value
of the postal item containing goods, entered for consumption on or
after 12:01 a.m. eastern daylight time on May 2, 2025; or,
2. Specific Duty: A specific duty of $100 per postal item
containing goods, entered for consumption on or after 12:01 a.m.
eastern daylight time on May 2, 2025, and before 12:01 a.m. eastern
daylight time on June 1, 2025. For merchandise entered for consumption
on or after 12:01 a.m. eastern daylight time on June 1, 2025, the
applicable specific duty is $200 per postal item containing goods.
All carriers delivering international mail shipments to the United
States from the PRC or Hong Kong must collect and remit either the ad
valorem or the specific duty. Carriers must apply the same duty
collection methodology to all shipments they deliver, but may change
their duty collection methodology once a month or on such other
periodic time frame as CBP determines is appropriate, upon providing 24
hours advance notice to CBP. Carriers must remit to CBP the duties
collected pursuant to Sections 2(b) and 2(c) of Executive Order 14256
on a monthly basis or on such other periodic time frame as CBP
determines is appropriate. CBP will provide separate guidance
instructing carriers on how to remit payments.
Pursuant to Section 2(d) of Executive Order 14256, any carrier that
transports international postal items containing goods to the United
States from the PRC or Hong Kong, by any mode of transportation, must
have an international carrier bond to ensure that the duties are
remitted in accordance with Sections 2(b) and 2(c) of Executive Order
14256. CBP is authorized to ensure that the international carrier bonds
are sufficient to account for the duties the carrier is obligated to
remit.
The duty collected by a carrier pursuant to Sections 2(b) and 2(c)
of Executive Order 14256 will be collected in lieu of any other duties
to which such shipments from the PRC or Hong Kong would otherwise be
subject, including: the 20 percent ad valorem duty established in
Executive Order 14195, as amended by Executive Orders 14200 and 14228;
most-favored nation rates established in the HTSUS; and duties imposed
pursuant to section 301 of the Trade Act of 1974. All such
international postal items containing goods from the PRC or Hong Kong
that would otherwise qualify for the de minimis exemption will be
passed free of any other duties by CBP and without preparation of a
mail entry by CBP. However, CBP may require formal entry,
[[Page 17610]]
in accordance with existing regulations, for any international postal
package that may otherwise be subject to the duty rates in Sections
2(b) and 2(c) of Executive Order 14256. An international postal package
for which CBP requires formal entry will not be subject to the duty
rates in Sections 2(b) and 2(c) of Executive Order 14256, as amended by
Executive Orders 14259 and 14266, and instead will be subject to all
applicable duties, taxes, and fees in accordance with all applicable
laws.
To ensure that the duty required by Sections 2(b) and 2(c) of
Executive Order 14256, as amended by Executive Orders 14259 and 14266,
is properly accounted for and collected, all carriers that transport
international postal packages from the PRC or Hong Kong to the United
States as part of or on behalf of the international postal network must
report to CBP the total number of postal items containing goods, and,
if electing the 120 percent ad valorem duty rate specified in Section
2(c)(i) of Executive Order 14256, as amended by Executive Orders 14259
and 14266, the value of each postal item containing goods, transported
per conveyance, in a time frame and manner that will be prescribed by
CBP. CBP may require submission of documentation and information from
the carrier to verify the total number and value of individual postal
items containing goods to be electronically transmitted through ACE.
The Secretary of Homeland Security has determined that appropriate
action is needed to modify the HTSUS as set out in the Annex to this
notice.
The Annex to this notice modifies the HTSUS to reflect that
products of the PRC and Hong Kong are not eligible for duty-free de
minimis treatment under 19 U.S.C. 1321(a)(2)(C). All shipments of
articles to the United States described in Section 2(a) of Executive
Order 14195, as amended by Executive Orders 14200 and 14228, that are
products of the PRC or Hong Kong valued at or under $800, that would
otherwise qualify for the de minimis exemption at 19 U.S.C.
1321(a)(2)(C), and that are entered for consumption, or withdrawn from
warehouse for consumption, on or after 12:01 a.m. eastern daylight time
on May 2, 2025, other than articles sent to the United States through
the international postal network, must be entered under an appropriate
entry type in ACE. Effective 12:01 a.m. eastern daylight time on May 2,
2025, articles sent to the United States through the international
postal network that are shipped from the PRC or Hong Kong, which are
valued at $800 or less, shall be subject to:
1. An ad valorem duty of 120 percent of the value of the postal
item containing goods, entered for consumption on or after 12:01 a.m.
eastern daylight time on May 2, 2025; or,
2. A specific duty of $100 per postal item containing goods,
entered for consumption on or after 12:01 a.m. eastern daylight time on
May 2, 2025, and before 12:01 a.m. eastern daylight time on June 1,
2025. For merchandise entered for consumption on or after 12:01 a.m.
eastern daylight time on June 1, 2025, the applicable specific duty
rate is $200 per postal item containing goods.
Pursuant to Executive Order 14195, no drawback is available for any
article subject to a duty pursuant to Executive Order 14256. All CBP
regulatory provisions that are not consistent with, or that otherwise
impede CBP's ability to effectuate, the directives in Executive Order
14256, as amended by Executive Orders 14259 and 14266 and implemented
in this notice, are temporarily suspended or amended, as applicable,
pursuant to the authorization in Executive Order 14256 permitting CBP
to take all necessary actions to effectuate the objectives of that
order. The regulations that are hereby temporarily suspended, until
further notice, pursuant to this authorization include, but may not be
limited to: 19 CFR 145.12(b) (pertaining to CBP's preparation of
informal mail entry); 19 CFR 145.31 (pertaining to mail importations
not over $800 in value); the parenthetical exception clause in 19 CFR
143.21(a) (pertaining to articles valued in excess of $250 classified
in Chapter 99, Subchapters III and IV, HTSUS); and any provision of CBP
regulations, other than with respect to mail, that permits filers to
file entries with CBP, for articles valued at or under $800 and that
would otherwise qualify for the de minimis exemption authorized in 19
U.S.C. 1321(a)(2)(C), other than through ACE.
Kristi Noem,
Secretary.
Annex
To Modify Chapter 99 of the Harmonized Tariff Schedule of the United
States
Effective with respect to goods entered for consumption, or
withdrawn from warehouse for consumption, on or after 12:01 a.m.
eastern daylight time on May 2, 2025, subchapter III of chapter 99
of the HTSUS is modified:
1. by inserting the following new subdivision (w) to U.S. note 2
in numerical sequence:
``Products of China and Hong Kong are not eligible for the
administrative exemption from duty and certain taxes at 19 U.S.C.
1321(a)(2)(C)-known as the ``de minimis'' exemption.
Products shipped from China or Hong Kong to the United States
through the international postal network that are valued at or under
$800 and that would otherwise qualify for the de minimis exemption
authorized at 19 U.S.C. 1321(a)(2)(C) shall be subject to either:
(i) an ad valorem duty of 120 percent of the value of the postal
item containing goods, for merchandise entered for consumption on or
after 12:01 a.m. eastern daylight time on May 2, 2025; or (ii) a
specific duty of $100 per postal item containing goods entered for
consumption on or after 12:01 a.m. eastern daylight time on May 2,
2025, and before 12:01 a.m. eastern daylight time on June 1, 2025.
For merchandise entered for consumption on or after 12:01 a.m.
eastern daylight time on June 1, 2025, the applicable specific duty
rate is $200 per postal item containing such goods. This duty is in
lieu of any other duties to which such products shipped from China
and Hong Kong would otherwise be subject. This duty does not apply
to products described in headings 9903.01.21 or 9903.01.22.''
2. By modifying U.S. note 2(u) by deleting the last paragraph
and inserting ``Products of China and Hong Kong are not eligible for
the administrative exemption from duty and certain taxes at 19
U.S.C. 1321(a)(2)(C)-known as ``de minimis'' exemption.'' in lieu
thereof.
3. By amending the article description of heading 9903.01.24 by
deleting ``described in headings 9903.01.21, 9903.01.22, or
9903.01.23'' and inserting ``described in headings 9903.01.21,
9903.01.22, 9903.01.23, or U.S. note 2(w) to this subchapter'' in
lieu thereof.
4. By modifying the article description of heading 9903.01.63 by
deleting ``except for goods loaded onto a vessel at the port of
loading and in transit on the final mode of transit before 12:01
a.m. eastern daylight time on April 10, 2025, except for products
described in headings 9903.01.28-9903.01.33, and except as provided
for in heading 9903.01.34, articles the product of China, including
Hong Kong and Macau, as provided for in subdivision (v) of U.S. note
2 to this subchapter'' and inserting ``except for goods loaded onto
a vessel at the port of loading and in transit on the final mode of
transit before 12:01 a.m. eastern daylight time on April 10, 2025,
except for products described in headings 9903.01.28-9903.01.33,
except as provided for in heading 9903.01.34, and except as provided
for in U.S. note 2(w), articles the product of China, including Hong
Kong and Macau, as provided for in subdivision (v) of U.S. note 2 to
this subchapter.''
[FR Doc. 2025-07325 Filed 4-24-25; 11:45 am]
BILLING CODE 9111-14-P
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