Low-value parcels shipped from China to the U.S. are now subject to a 54% tariff after a trade agreement was reached.

There are different rules for packages handled by commercial delivery firms like United Parcel Service, FedEx and DHL – which handle the majority of Temu and Shein packages.

Following the lowering of reciprocal tariffs, the White House announced that it would slash duties on de minimis shipments from China by more than half.

Cheaper goods from China are no longer exempt from import duties, which could sharply raise prices for consumers.

Temu and Shein had been skirting import duties using the longstanding “de minimis” rule, which let sub-$800 packages enter the U.S. tariff-free. That loophole was closed on May 2 and replaced with a 120% tax, though the Trump administration reduced it to 54% midway through the month.

President Donald Trump's executive order on the "de minimis" tariff rate provided some relief, but are stores like DHgate still affordable?

The end of the 'de minimis' exemption could raise prices and delay shipping for U.S. online shoppers, especially on platforms like Temu and Shein.

Shares in Google-parent Alphabet rose 3.7% Monday after the U.S. and China reached an agreement to temporarily roll back some tariffs. The Trump administration recently closed the so-called de minimis loophole for Chinese imports,