Amendment to Duties Addressing the Synthetic Opioid Supply Chain

Feb 11, 2025

Summary

Changes the rules for small, tax-free shipments from China related to synthetic opioids, ending the tax break once collection systems are ready.

What problem does this solve?

A previous order may have allowed small shipments of items used to make synthetic opioids to enter the country tax-free. This order closes that loophole by stating that these small shipments will be taxed as soon as the government has a system in place to collect it.

What does this order do?

Ends tax-free status for small shipments

Removes the tax-free allowance for small shipments (de minimis) of certain items from China. This tax break will end as soon as the Secretary of Commerce confirms that systems are in place to collect the tax.

Who does this affect?

U.S. importers
U.S. Department of Commerce
Companies in the Chinese synthetic opioid supply chain

What is the real world impact?

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Closes a potential trade loophole

Ensures that small shipments from China related to the opioid supply chain do not escape taxes. This makes it harder for these items to enter the U.S. without being taxed, aiming to disrupt the supply chain.

When does this start?

This order is effective as of February 5, 2025.