US-listed shares of China's ecommerce firms fall as Trump closes trade loophole

U.S.-listed shares of major Chinese retailers fall after Trump signs an executive order that closes a trade loophole known as "de minimis"

"de minimis" allowed packages valued at less than $800 from China and Hong Kong to enter the U.S. duty-free and with minimal inspections

JD.com JD.O and PDD PDD.O down 2.3% and 3.7%, respectively

Imported goods sent through the postal network and valued at or under $800 would now be subject to a duty rate of either 30% of their value or $25 per item, with that rate increasing to $50 per item after June 1

On February 1, Trump ordered an end to duty-free entry for cheap Chinese goods but later paused it due to disruptions for customs, delivery services, and online retailers

PDD Holdings' co-CEO Chen Lei last month told analysts to expect "challenges" for its global business, adding that PDD's response includes exploring new business models and experimenting with "innovative localised supply chain solutions"