The earlier 120% tariff rate on small packages from China valued under $800 will be lowered, the White House said Monday.

Chinese online retailers had previously relied on the "de minimis" loophole to ship low-value items to the US.

The U.S. has cut tariffs on small parcels arriving from mainland China and Hong Kong to 54% from 120%, the White House said late Monday. The reduction in the low-value 'de minimis' tariffs will boost Chinese companies such as Temu and Shein,

With his tariff 'deals,' President Trump leaves international trade relationships even more unsettled than before.

U.S. and Chinese officials said they had reached a deal to roll back most of their recent tariffs and call a 90-day truce in their trade war for more talks on resolving their trade disputes.