Tariffs and Trade Update
by Stephanie Buka, Government Affairs Manager May 2, 2025

China Tariffs Update

On Friday, May 2, China said it is reviewing U.S. requests to resume trade talks but insisted negotiations must start with the U.S. reversing recent tariff hikes. The Chinese Commerce Ministry criticized the administration's actions as unilateral and warned that without a rollback, U.S. outreach lacks sincerity.

That same day, the "de minimis exemption" expired. This loophole had allowed shipments under $800 to enter the U.S. duty-free, enabling low-cost Chinese retailers like Shein, Temu, and AliExpress to flood the market.

The action restores an executive order from President Donald J. Trump in February that was quickly suspended due to a lack of screening procedures for sub-$800 shipments that sparked chaos at airports and caused millions of packages to pile up.

The U.S. Postal Service (USPS) and Customs and Border Protection (CBP) say they are prepared this time around. The volume is staggering; CBP processed 1.36 billion de minimis packages last fiscal year.

opens new tabNow shipments from China, regardless of size, will be subject to tariffs of 145% plus any prior duties, except for products such as smartphones, which were excluded last month. Items valued at up to $800 and sent from China via postal services are treated differently. They are now subject to a baseline tariff of 120% or a flat fee of $100 per package, rising to $200 on June 1.

With the de minimis exemption no longer in effect, Americans may see higher prices on many popular low-cost imports.

Auto Tariff Policy

On Tuesday, April 29, President Trump signed a pair of executive orders modifying U.S. auto-related tariff policy while aboard Air Force One. The first executive order prevents overlapping tariffs from “stacking” on the same import, ensuring that products already subject to auto-specific tariffs are not also hit with additional duties under other authorities, such as those for steel, aluminum, or border-related actions.

The second executive order introduces a two-year, phased tariff offset for automakers assembling vehicles in the U.S., allowing partial relief on duties for imported parts tied to domestic production. Both measures aim to reduce cost burdens while encouraging onshore manufacturing. The same day, Commerce Secretary Howard Lutnick said the changes resulted from direct engagement with automakers and emphasized the administration’s goal of reviving domestic auto manufacturing.

On Friday, May 2, the administration confirmed that auto parts qualifying under the US-Mexico-Canada Agreement (USMCA) will continue to face a 0% tariff, maintaining an exemption that had previously been set to expire. Imported vehicles and most parts from non-USMCA countries still face a 25% levy. Mexico’s President Claudia Sheinbaum welcomed the decision, calling it “good news” and noting continued cooperation with the U.S.

PRINTING United Alliance will continue to closely monitor tariff developments and advocate for policies that promote fair trade, protect consumers, and support the interests of our members.

In this article, Stephanie Buka, Government Affairs Manager, PRINTING United Alliance, discusses China tariffs and auto tariff policy. More information can be found at Business Excellence-Legislation or reach out to Steph should you have additional questions specific to how these issues may affect your business: sbuka@printing.org.   

To become a member of the Alliance and learn more about how our subject matter experts can assist your company with services and resources such as those mentioned in this article, please contact the Alliance membership team: 888-385-3588 / membership@printing.org.      

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Stephanie Buka Government Affairs Manager
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Stephanie Buka is the Government Affairs Manager for PRINTING United Alliance. In this role, she supports Ford Bowers, CEO, the Government Affairs team, and coordinates efforts with contracted lobbying firm, ACG Advocacy. Buka is the chief editor of the Industry Advocate newsletter. She is responsible for advocacy campaigns, policy analysis, strategy development and team leadership, all aimed at promoting the Alliance's legislative agenda. She is also responsible for the administration of the Alliance's political action committee, PrintPAC.

Prior to joining the Alliance, Buka served as a senior legislative researcher, and later as a constituent services coordinator, for the 15-member legislative body representing 1.3 million residents of Allegheny County, Commonwealth of Pennsylvania. In addition to drafting legislation and addressing constituent concerns, Buka cultivated strong relationships with appointed and elected officials at the local, state, and federal levels of government.

Buka holds a master’s degree in Public Policy and Management from the University of Pittsburgh, Graduate School of Public and International Affairs (GSPIA). She also earned a master's degree in Criminology from Indiana University of Pennsylvania, along with a Certificate in Forensic Science and Law from Duquesne University.

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