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pdfFederal Register / Vol. 90, No. 148 / Tuesday, August 5, 2025 / Presidential Documents
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Executive Order 14324 of July 30, 2025
Suspending Duty-Free De Minimis Treatment for All Countries
By the authority vested in me as President by the Constitution and the
laws of the United States of America, including the International Emergency
Economic Powers Act (50 U.S.C. 1701 et seq.) (IEEPA), the National Emergencies Act (50 U.S.C. 1601 et seq.), section 604 of the Trade Act of 1974,
as amended (19 U.S.C. 2483), and section 301 of title 3, United States
Code, it is hereby ordered:
Section 1. Background. In Executive Order 14193 of February 1, 2025 (Imposing Duties To Address the Flow of Illicit Drugs Across Our Northern Border),
I declared a national emergency regarding the unusual and extraordinary
threat to the safety and security of Americans, including the public health
crisis caused by fentanyl and other illicit drugs and the failure of Canada
to do more to arrest, seize, detain, or otherwise intercept drug trafficking
organizations, other drug and human traffickers, criminals at large, and
illicit drugs. In that order, I determined that it was necessary and appropriate
to, among other things, suspend duty-free de minimis treatment under 19
U.S.C. 1321(a)(2)(C) for articles described in section 2(a) and section 2(b)
of that order. In Executive Order 14226 of March 2, 2025 (Amendment
to Duties To Address the Flow of Illicit Drugs Across Our Northern Border),
I paused the suspension of duty-free de minimis treatment on such articles
until I received a notification from the Secretary of Commerce (Secretary)
that adequate systems are in place to fully and expeditiously process and
collect duties for such articles that would otherwise be eligible for dutyfree de minimis treatment.
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In Executive Order 14194 of February 1, 2025 (Imposing Duties To Address
the Situation at Our Southern Border), I declared a national emergency
regarding the unusual and extraordinary threat to the safety and security
of Americans, including the public health crisis caused by fentanyl and
other illicit drugs and the failure of Mexico to do more to arrest, seize,
detain, or otherwise intercept drug trafficking organizations, other drug and
human traffickers, criminals at large, and illicit drugs. In that order, I determined that it was necessary and appropriate to, among other things, suspend
duty-free de minimis treatment under 19 U.S.C. 1321(a)(2)(C) for articles
described in section 2(a) of that order. In Executive Order 14227 of March
2, 2025 (Amendment to Duties To Address the Situation at Our Southern
Border), I paused the suspension of duty-free de minimis treatment on
such articles until I received a notification from the Secretary that adequate
systems are in place to fully and expeditiously process and collect duties
for such articles that would otherwise be eligible for duty-free de minimis
treatment.
In Executive Order 14195 of February 1, 2025 (Imposing Duties To Address
the Synthetic Opioid Supply Chain in the People’s Republic of China),
I declared a national emergency regarding the unusual and extraordinary
threat from the failure of the Government of the People’s Republic of China
(PRC) to arrest, seize, detain, or otherwise intercept chemical precursor
suppliers, money launderers, other transnational criminal organizations,
criminals at large, and illicit drugs. In that order, I determined that it
was necessary and appropriate to, among other things, suspend duty-free
de minimis treatment under 19 U.S.C. 1321(a)(2)(C) for articles described
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in section 2(a) of that order. In Executive Order 14200 of February 5, 2025
(Amendment to Duties Addressing the Synthetic Opioid Supply Chain in
the People’s Republic of China), I paused the suspension of duty-free de
minimis treatment for articles described in section 2(a) of Executive Order
14195 until I received a notification from the Secretary that adequate systems
are in place to fully and expeditiously process and collect duties for such
articles that would otherwise be eligible for duty-free de minimis treatment.
I subsequently received notification from the Secretary that adequate systems
have been established to process and collect duties for articles of the PRC
and Hong Kong that would otherwise be eligible for duty-free de minimis
treatment, and in 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), I suspended dutyfree de minimis treatment under 19 U.S.C. 1321(a)(2)(C) for products of
the PRC and Hong Kong described in section 2(a) of Executive Order 14195,
as amended by Executive Order 14228 (Further Amendment to Duties Addressing the Synthetic Opioid Supply Chain in the People’s Republic of
China). In addition, I instructed the Secretary to submit a report regarding
the impact of Executive Order 14256 on American industries, consumers,
and supply chains and to make recommendations for further action as he
deems necessary.
In Executive Order 14257 of April 2, 2025 (Regulating Imports With a
Reciprocal Tariff To Rectify Trade Practices That Contribute to Large and
Persistent Annual United States Goods Trade Deficits), I declared a national
emergency with respect to underlying conditions indicated by the large
and persistent annual U.S. goods trade deficits. I also provided that dutyfree de minimis treatment under 19 U.S.C. 1321(a)(2)(C) would remain available for products described in section 3(a) of that order until I received
a notification by the Secretary that adequate systems are in place to fully
and expeditiously process and collect duties applicable for articles otherwise
eligible for duty-free de minimis treatment.
The Secretary has notified me that adequate systems are now in place
to fully and expeditiously process and collect duties for articles otherwise
eligible for duty-free de minimis treatment on a global basis, including
for products described in section 2(a) and section 2(b) of Executive Order
14193, section 2(a) of Executive Order 14194, and section 3(a) of Executive
Order 14257.
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In my judgment, I determine that it is still necessary and appropriate to
suspend duty-free de minimis treatment under 19 U.S.C. 1321(a)(2)(C) in
the manner and for the articles described below to deal with the unusual
and extraordinary threats, which have their source in whole or substantial
part outside the United States, to the national security, foreign policy, and
economy of the United States.
I determine that it is necessary and appropriate to suspend duty-free de
minimis treatment under 19 U.S.C. 1321(a)(2)(C) for certain Canadian goods
to deal with the emergency declared in Executive Order 14193, as amended.
In my judgment, this suspension is necessary and appropriate to ensure
that the tariffs imposed by Executive Order 14193, as amended, are effective
in addressing the emergency declared in Executive Order 14193 and that
the purpose of this action and other actions to address the emergency
declared in Executive Order 14193 is not undermined. For example, many
shippers go to great lengths to evade law enforcement and hide illicit substances in imports that go through international commerce. These shippers
conceal the true contents of shipments sent to the United States through
deceptive shipping practices. Some of the techniques employed by these
shippers to conceal the true contents of the shipments, the identity of
the distributors, and the country of origin of the imports include the use
of re-shippers in the United States, false invoices, fraudulent postage, and
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deceptive packaging. The risks of evasion, deception, and illicit-drug importation are particularly high for low-value articles that have been eligible for
duty-free de minimis treatment.
Independently, I determine that it is necessary and appropriate to suspend
duty-free de minimis treatment under 19 U.S.C. 1321(a)(2)(C) for certain
Mexican goods to deal with the emergency declared in Executive Order
14194, as amended. In my judgment, and for substantially similar reasons
as above, this suspension is necessary and appropriate to ensure that the
tariffs imposed by Executive Order 14194, as amended, are effective in
addressing the emergency declared in Executive Order 14194 and that the
purpose of this action and other actions to address the emergency declared
in Executive Order 14194 is not undermined.
Independently, and after considering information newly provided by the
Secretary, among other things, I determine that it is still necessary and
appropriate to continue to suspend duty-free de minimis treatment under
19 U.S.C. 1321(a)(2)(C) for certain goods of the PRC and Hong Kong to
deal with the emergency declared in Executive Order 14195, as amended.
In my judgment, and for substantially similar reasons as above, this suspension is still necessary and appropriate to ensure that the tariffs imposed
by Executive Order 14195, as amended, are effective in addressing the emergency declared in Executive Order 14195 and that the purpose of this
action and other actions to address the emergency declared in Executive
Order 14195 is not undermined.
Also independently, I determine that it is necessary and appropriate to
suspend duty-free de minimis treatment under 19 U.S.C. 1321(a)(2)(C) on
a global basis to deal with the emergency declared in Executive Order
14257, as amended. In my judgment, this suspension is necessary and appropriate to ensure that the tariffs imposed by Executive Order 14257, as amended, are not evaded and are effective in addressing the emergency declared
in Executive Order 14257 and that the purpose of this action and other
actions to address the emergency declared in Executive Order 14257 is
not undermined.
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Each of my determinations to suspend or continue to suspend duty-free
de minimis treatment under 19 U.S.C. 1321(a)(2)(C) are independent from
the other. And each determination is made only for the purpose to deal
with the respective emergency and not for the purpose of dealing with
another emergency.
Sec. 2. Suspension of Duty-Free de minimis Treatment. (a) The duty-free
de minimis exemption provided under 19 U.S.C. 1321(a)(2)(C) shall no longer
apply to any shipment of articles not covered by 50 U.S.C. 1702(b), regardless
of value, country of origin, mode of transportation, or method of entry.
Accordingly, all such shipments, except those sent through the international
postal network, shall be subject to all applicable duties, taxes, fees, exactions,
and charges. International postal shipments not covered by 50 U.S.C. 1702(b)
shall be subject to the duty rates described in section 3 of this order.
Entry for all shipments that—prior to the effective date of this order—
qualified for the de minimis exemption, except for shipments sent through
the international postal network, shall be filed using an appropriate entry
type in the Automated Commercial Environment (ACE) by a party qualified
to make such entry.
(b) Shipments sent through the international postal network that would
otherwise qualify for the de minimis exemption under 19 U.S.C. 1321(a)(2)(C)
shall pass free of any duties except those specified in section 3 of this
order, and without the preparation of an entry by U.S. Customs and Border
Protection (CBP), until such time as CBP establishes a new entry process
and publishes that process in the Federal Register.
Sec. 3. Duty Rates for International Postal Shipments. (a) Transportation
carriers delivering shipments to the United States through the international
postal network, or other parties if qualified in lieu of such transportation
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carriers, must collect and remit duties to CBP using the methodology described in either subsection (b) or (c) of this section. Each transportation
carrier shall apply the same methodology across all covered shipments during
any given period but may change its methodology no more than once per
calendar month, or on another schedule determined to be appropriate by
CBP, upon providing at least 24 hours’ notice to CBP.
(b) A duty equal to the effective IEEPA tariff rate applicable to the country
of origin of the product shall be assessed on the value of each dutiable
postal item (package) containing goods entered for consumption.
(c) A specific duty shall be assessed on each package containing goods
entered for consumption, based on the effective IEEPA tariff rate applicable
to the country of origin of the product as follows:
(i) Countries with an effective IEEPA tariff rate of less than 16 percent:
$80 per item;
(ii) Countries with an effective IEEPA tariff rate between 16 and 25 percent
(inclusive): $160 per item; and
(iii) Countries with an effective IEEPA rate above 25 percent: $200 per
item.
(d) For all international postal shipments subject to the methodologies
described in subsections (b) and (c) of this section, the country of origin
of the article must be declared to CBP.
(e) The specific duty methodology provided for in subsection (c) of this
section shall be available for transportation carriers to select for a period
of 6 months from the effective date of this order. After such time all shipments
to the United States through the international postal network must comply
with the ad valorem duty methodology in subsection (b) of this section.
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(f) Shipments sent through the international postal network that are subject
to antidumping and countervailing duties or a quota must continue to be
entered under an appropriate entry type in ACE to the extent required
by all applicable regulations.
Sec. 4. Implementation. (a) The requirements and procedures established
by sections 2 and 3 of this order shall be 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 August 29, 2025.
(b) The provisions of this order supersede section 2 of Executive Order
14256, as amended, with respect to goods entered for consumption, or
withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern
daylight time on August 29, 2025.
(c) Consistent with applicable law, the Secretary of Homeland Security
is directed and authorized to take all necessary actions to implement and
effectuate this order—including through temporary suspension or amendment
of regulations or through notices in the Federal Register and by adopting
rules, regulations, or guidance—and to employ all powers granted to the
President by IEEPA as may be necessary to implement and effectuate this
order. The Secretary of Homeland Security, in consultation with the United
States International Trade Commission (ITC), shall determine whether modifications to the Harmonized Tariff Schedule of the United States are necessary
to effectuate this order and may make such modifications through notice
in the Federal Register. The Secretary of Homeland Security shall consult
with the Secretary of State, the Secretary of the Treasury, the Attorney
General, the Secretary of Commerce, the United States Trade Representative,
the ITC, and the Postmaster General, where appropriate. The Secretary of
Homeland Security may, consistent with applicable law, redelegate any of
these functions within the Department of Homeland Security. All executive
departments and agencies shall take all appropriate measures within their
authority to implement this order.
(d) To ensure remittance of duties in accordance with this order, and
to assure compliance with other legal requirements, CBP is authorized to
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require a basic importation and entry bond as described in 19 CFR 113.62
for informal entries valued at or less than $2,500. Any carrier that transports
international postal shipments to the United States, by any mode of transportation, must have an international carrier bond as described in 19 CFR
113.64 to ensure payment of the duties described in section 3 of this order.
CBP is authorized to ensure that the international carrier bonds required
by this subsection are sufficient to account for the duties described in
section 3 of this order.
Sec. 5. Definition. As used in this order, the term ‘‘effective IEEPA tariff
rate’’ means the total duty rate imposed on articles to address a national
emergency declared under IEEPA, including Executive Order 14257, as
amended; Executive Order 14193; as amended, Executive Order 14194, as
amended; and Executive Order 14195, as amended, in accordance with
the stacking rules set out in Executive Order 14289 of April 29, 2025
(Addressing Certain Tariffs on Imported Articles), and any subsequent order
or proclamation addressing stacking or the applicability of tariffs imposed
under IEEPA.
Sec. 6. Severability. (a) If any provision of this order or the application
of any provision of this order to any individual or circumstance is held
to be invalid, the remainder of this order and the application of its provisions
to any other individuals or circumstances shall not be affected.
(b)(i) If the additional duties imposed under Executive Order 14193, as
amended, Executive Order 14194, as amended, Executive Order 14195, as
amended, or Executive Order 14257, as amended, are held to be invalid,
the suspension of, or continued suspension of, duty-free de minimis treatment, as detailed in this order, shall not be affected. Duty-free de minimis
treatment would still be suspended, whether pursuant to my authority under
50 U.S.C. 1702(a)(1)(B) to ‘‘regulate . . . importation’’ or my authority under
that provision to ‘‘nullify’’ or ‘‘void’’ ‘‘exercising any right . . . or privilege
with respect to . . . any property,’’ in the way and to the extent explained
in this order, to deal with the emergencies declared in Executive Order
14193, as amended, Executive Order 14194, as amended, Executive Order
14195, as amended, or Executive Order 14257, as amended. Such suspensions
are still necessary and appropriate to address the unusual and extraordinary
threats to the national security, foreign policy, and economy of the United
States. Each determination to suspend or continue to suspend duty-free
de minimis treatment is still independent from the other determination
and made only with the purpose to deal with the respective emergency
and not for the purpose of dealing with another emergency. CBP is directed
and authorized to take all necessary actions consistent with applicable law
to implement and effectuate this order in line with this section—including
through temporary suspension or amendment of regulations or through notices in the Federal Register and by adopting rules, regulations, or guidance—
and to employ all powers granted to the President by IEEPA as may be
necessary to implement and effectuate this order in line with this section.
(ii) Duty-free de minimis treatment under 19 U.S.C. 1321(a)(2)(C) shall
remain available for postal shipments until notification by the Secretary
to the President that adequate systems are in place to fully and expeditiously process and collect duties applicable for postal shipments otherwise
eligible for duty-free de minimis treatment. After such notification, dutyfree de minimis treatment under 19 U.S.C. 1321(a)(2)(C) shall not be
available for postal shipments.
Sec. 7. General Provisions. (a) Nothing in this order shall be construed
to impair or otherwise affect:
(i) the authority granted by law to an executive department or agency,
or the head thereof; or
(ii) the functions of the Director of the Office of Management and Budget
relating to budgetary, administrative, or legislative proposals.
(b) This order shall be implemented consistent with applicable law and
subject to the availability of appropriations.
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(c) This order is not intended to, and does not, create any right or benefit,
substantive or procedural, enforceable at law or in equity by any party
against the United States, its departments, agencies, or entities, its officers,
employees, or agents, or any other person.
(d) The costs for publication of this order shall be borne by the Department
of Homeland Security.
THE WHITE HOUSE,
July 30, 2025.
[FR Doc. 2025–14897
Filed 8–4–25; 11:15 am]
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File Modified | 2025-08-05 |
File Created | 2025-08-05 |