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January 10, 2019

Congressman David Schweikert Leads Letter to Representative Lighthizer Seeking Higher De Minimis Threshold in Mexico and Canada Under USMCA

WASHINGTON, DCICYMI – This past December, Congressman David Schweikert and forty-three members of Congress wrote a letter to United States Trade Representative (USTR) Robert Lighthizer regarding de minimis standards in the United States- Mexico- Canada Agreement (USMCA), the renegotiation of the North American Free Trade Agreement (NAFTA).

The letter to Ambassador Lighthizer highlights the importance of pushing Canada and Mexico to increase their de minimis thresholds. Modernizing the trade agreement to include higher de minimis levels is particularly important for American small businesses, especially in border states, who have seen substantial growth with a higher de minimis threshold. For example, higher threshold levels will encourage more online shopping from Mexican and Canadian buyers from U.S. companies, which benefits U.S. sellers.

Currently, Canada and Mexico have two of the lowest de minimis levels in the industrialized world, Canada at $16 United States dollars (USD) and Mexico at $50 USD. These thresholds are a great distance from the U.S. $800 de minimis threshold, hindering trade unfairly.

By increasing the threshold, U.S. small and medium businesses will see increased delivery rates for trade, lower cost for a wide array of product, and increased competition in North America.  

To read the full letter click here.

Schweikert Kind De Minimis USTR 12.21.2018 (002).pdf

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