Shein and Temu Face Delays from U.S. Customs Crackdown
Border Protection has suspended multiple customs brokers from an expedited clearance program, causing potential delays
A new U.S. crackdown on customs brokers handling inexpensive online shopping orders from companies like Shein and Temu is expected to cause delivery delays, according to Reuters.
U.S. Customs and Border Protection (CBP) announced it had suspended multiple brokers from an expedited clearance program for duty-free imports over concerns about contraband entering the country. This effort includes increased inspections at U.S. airports and reviews of electronic submissions by customs brokers.
“All ports of entry are being affected, so there really isn’t a way to avoid delays,” said Chad Schofield, co-founder of e-commerce logistics platform BoxC.
The crackdown comes as over 1 billion packages, averaging $50 in value, are expected to arrive in the U.S. this year due to high consumer demand for fast fashion. Companies like Shein and Temu rely on the expedited clearance process for direct-to-consumer shipments valued at $800 or less.
The CBP action is also influenced by political pressure on the Biden administration to protect U.S. businesses and curb illegal drug flows. Critics argue that duty-free import rules give e-commerce firms in China an unfair advantage over domestic retailers.
Illinois-based SEKO Logistics, one of the affected brokers, has filed a lawsuit against CBP, claiming improper notice and lack of specified violations. SEKO CEO James Gagne expressed disappointment with CBP’s decision, noting their high compliance rate.
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