The Biden-Harris administration Friday acted to strengthen enforcement of laws to address abuse of the de minimis exemptions on items shipped from overseas, particularly from China.

The Biden administration is moving to narrow a trade loophole that Chinese online retailers like Shein and Temu have used to ship a torrent of packages containing cheap goods into the US every day.

Following months of escalating pleas from lawmakers and industry groups, the administration has announced a new executive strategy to crack down on foreign de minimis shipments.

Key Takeaways The Biden administration proposed new rules to limit a loophole around U.S. tariffs that are especially used by Chinese e-commerce firms.The de minimis exemption allows for imported products valued at less than $800 to avoid paying duties and processing fees.

White House officials attribute the more than fivefold increase from several years ago to the growth of Chinese e-commerce platforms such as Shein and Temu, and administration officials name-checked both of those popular fast-fashion retailers in a briefing with journalists on Thursday.

PDD (PDD) shares under pressure as U.S. government takes steps to stop Chinese merchants from exploiting de minimis exemption. Read more here.