Murphy seeks to end China’s ability to bypass U.S. import tariffs

U.S. Rep. Greg Murphy (R-NC) on Jan. 28 reintroduced legislation that he says will prevent China from evading United States tariffs on Chinese goods.

“We must not allow China to systematically bypass tariffs at the expense of American businesses and workers,” Rep. Murphy said. “Nearly two-thirds of all imports that come into the U.S. under a privileged existing exemption are from China.”

In 2018, President Trump imposed new tariffs on more than half of Chinese imports pursuant to Section 301 of the Trade Act of 1947, according to the lawmaker. Under current law, goods valued at under $800 are free of duty, and of any tax, if a shipment is imported by one person to another on the same day. 

Many Chinese firms have avoided paying these tariffs on imports less than $800 in value as a result of the de minimis privilege, he said.

The congressman sponsored the End China’s De Minimis Abuse Act, H.R. 805, to prohibit certain U.S. imports from receiving de minimis treatment and to establish related civil penalties. The bill also would prohibit imports from receiving de minimis treatment if they are subject to specified trade remedies.

“By updating our de minimis law, we are creating a fairer playing field for American businesses to compete and ending abuse by Chinese companies,” said Rep. Murphy. “This bill is a great first step in addressing our flawed de minimis laws, and I look forward to working with President Trump on a comprehensive proposal that will support American workers.”

The congressman first introduced the same-named H.R. 7979 on Apr. 15, 2024 with two Republican cosponsors. The bill on Apr. 17, 2024 received approval from the U.S. House Ways and Means Committee with a 24-18 vote, but the measure never made it to the floor of the full chamber for action.

“President Trump continues to make significant progress in addressing China’s unfair trade practices,” said Rep. Murphy on Tuesday. “Congress must now act to codify necessary reforms in support of his agenda.”