U.S. Court of International Trade Denies Relief For Chinese De Minimis Goods

On July 28, 2025, the U.S. Court of International Trade (CIT) denied a motion for a preliminary injunction which sought to block the end of the de minimis exception for imports from China. The decision adds another layer of complexity for importers navigating recent executive actions on trade—especially those relying on low-value shipments that previously entered the U.S. duty-free.

Background

The controversy stems from President Trump’s decision—made under the International Emergency Economic Powers Act (IEEPA)—to eliminate the de minimis exemption for Chinese-origin goods. The de minimis provision currently allows low-value shipments (under $800) to enter the U.S. free of duties and formal entry procedures. The Trump administration argued that this carveout was enabling illicit imports, including fentanyl, and used emergency powers to target the exemption as part of a broader tariff action.

However, earlier this year, the CIT ruled in a related case that the president had exceeded his authority under IEEPA by using emergency powers to impose tariffs and eliminate the de minimis threshold as leverage in trade negotiations with China. The three-judge panel held that IEEPA permits executive action only to “deal with” an identified emergency, not to pursue unrelated trade goals. That decision has since been stayed by the U.S. Court of Appeals for the Federal Circuit pending appeal.

New Relief Denied

In a separate case, the same plaintiff filed a challenge solely focused on the elimination of de minimis treatment for Chinese goods. The company sought a preliminary injunction to halt the enforcement of the policy, arguing that the president must follow formal rulemaking procedures—including notice and comment—before implementing such a change.

The CIT rejected the request. In its ruling, the panel noted that the relief sought had already been granted in the prior IEEPA ruling (now stayed), and the court would not issue duplicative or contingent relief via injunction. As the opinion stated, “We will not grant redundant, contingent relief through a preliminary injunction here.”

What You Need To Know

For U.S. importers and freight forwarders, this means that the end of de minimis for China-origin goods remains in effect—at least for now. While the CIT has questioned the legality of the executive orders behind the policy, the Federal Circuit stay prevents that ruling from taking effect until the appeal is resolved.

Unless and until the stay is lifted or the policy is struck down on appeal, importers should prepare for continued enforcement. That means:

• Chinese goods valued under $800 may now be subject to duties, even if they previously qualified for duty-free entry.
• Formal entries may be required, increasing costs and compliance obligations.
• Tariff planning and supplier coordination are now more critical for e-commerce and small-package importers.

What’s Next

The legal battle is far from over. The Federal Circuit’s final decision on the use of IEEPA for trade policy could reshape the scope of presidential authority in the trade space—and impact a wide range of current tariffs and restrictions. For now, importers should monitor the status of both the appeal and any further action from CBP or the USTR.

Our team is continuing to track these developments closely. If you import small-value goods from China or rely on de minimis for your logistics model, we encourage you to contact us to assess your exposure and explore compliance strategies.

If you have questions about how this policy could affect your importing activities or customs compliance, please contact our office for assistance. As new tariff regulations continue to evolve, navigating these changes requires experienced legal counsel. At Liang + Mooney, PLLC, our seasoned tariff lawyers can answer your questions and concerns with sophisticated legal solutions.  If you seek strategic counsel and insight into how these changes could affect your operations, we invite you to contact us to schedule a consultation.