White House flags $19–$26bn tariff loss from transshipping

The White House said on Thursday that transshipped imports are costing the United States an estimated $19 billion to $26 billion a year in lost tariff revenue. Officials said the estimate targets goods routed through third countries in ways that hide their true origin and are used to avoid U.S. import duties.

In the Thursday summary, officials identified China as the primary source of the goods involved. They said the practice lowers collections connected to tariffs that are intended to protect U.S. industries.

How officials framed the estimate Officials described the

How officials framed the estimate

Officials described the $19 billion to $26 billion Officials described the $19 billion to $26 billion figure as an annual range rather than a precise measurement. The White House did not publish a single-year breakdown in the summary released on Thursday. Officials presented the estimate as a policy signal that could shape enforcement options and potential changes to customs scrutiny. The administration did not specify in the summary which tools or procedures would be prioritized. Customs checks and added compliance demands Officials said the trade-policy implications focus on enforcement costs and the administrative burden on customs authorities. They said efforts aimed at detecting concealed origin could shift more workload into verification, documentation review, and follow-up checks. Officials also said stricter origin checks or requirements for additional documentation could lengthen import processing times. They added that compliance costs for traders could rise if paperwork demands increase or if shipments are held and examined more frequently. Potential timing: guidance expected by December 31, 2026 Officials said proposals or guidance on enforcement measures are expected by December 31, 2026. They also warned that, if the administration moves toward tighter enforcement, changes could materialize before the end of the year. The White House The White House did not provide further detail in the Thursday summary on how quickly any measures would be implemented after guidance is issued. Officials also did not spell out how potential effects on processing times would be managed.

Officials underscored uncertainty around the exact size of the estimated revenue loss and how much could be tied to specific import channels, reiterating that the figure is a range rather than a precise count.