Story perspectives

White House: China transships via 40+ countries, costing $19B–$26B

8/14/2026

Summary

Story summary

A White House report finds China routes goods through more than 40 countries to evade U.S. tariffs, costing the Treasury $19 billion to $26 billion each year.
Trade adviser Peter Navarro said the scheme began in 2018 and includes shipments from Mexico to Malaysia.
U.S. Customs and Border Protection is testing artificial-intelligence software to block transshipped shipments.
Importers who falsify origins can be retroactively tariffed for about a year.

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Story summary

A White House report finds China routes goods through more than 40 countries to evade U.S. tariffs, costing the Treasury $19 billion to $26 billion each year.
Trade adviser Peter Navarro said the scheme began in 2018 and includes shipments from Mexico to Malaysia.
U.S. Customs and Border Protection is testing artificial-intelligence software to block transshipped shipments.
Importers who falsify origins can be retroactively tariffed for about a year.