U.S. Escalates Crackdown on Trade Rule Behind Shein and Temu

U.S. officials have escalated a crackdown on the controversial customs exemption that Temu, Shein and other e-commerce firms use to send cheap items from overseas to American shoppers without paying tariffs. The U.S. Customs and Border Protection agency in recent weeks suspended several customs brokers from a program that makes it easier and quicker to arrange such shipments.

Seko Logistics, which says that it processes millions of parcels under the rule each month at airports in several states including New York, California and Illinois, warned clients last week that customs officials had suspended its participation in the Entry Type 86 program, which speeds up how fast low-valued packages can clear customs, according to a copy of the letter viewed by The Information. Seko said that it had been barred from handling Type 86 imports for at least 90 days, and that a number of other customs brokers had also recently been suspended.