President Donald Trump's push to ease gun regulations could benefit an online firearms retailer where his eldest son, Trump Jr., serves, critics say.
The U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) is pursuing a rule revision that would allow firearms to be shipped directly to buyers' homes after they complete identity verification and background checks online, according to Reuters and The Washington Post on Tuesday.
Current federal regulations prohibit mailing handguns to individuals, requiring buyers to complete identity checks and take delivery in person at a licensed firearms dealer. The ATF estimated that if the system takes effect, about 3.3 million people per year — roughly half of all firearm buyers — would choose direct delivery. The industry expects actual users to exceed that figure, given the convenience of online purchases.
A prominent company expected to benefit from the eased regulations is GrabAGun, where Trump Jr. serves as a director and adviser. The company currently ships ammunition and firearm accessories directly to consumers in some states, but firearms themselves are barred from delivery and must go through a local dealer.
GrabAGun, which bills itself as the "Amazon of the gun industry," went public last year through a reverse merger with a company listed on the New York Stock Exchange (NYSE). The process was led by 1789 Capital, a venture capital firm where Trump Jr. is a partner. Trump Jr. holds a 1.1% stake, or more than 300,000 shares, in the company.
However, with the stock price falling about 85% over the past year, the value of Trump Jr.'s holdings has shrunk from $5 million (about 7.7 billion won) to around $700,000 (about 1.078 billion won). Some in the industry expect the stake's value could rebound to the millions of dollars if the eased regulations materialize.
As the controversy grew, GrabAGun CEO Mark Nemati drew a line, saying that Trump Jr. has been a businessman his entire life and an advocate of Second Amendment gun ownership rights, but has never contacted the federal government on the company's behalf or been involved in the decision. The White House also stated that no contact with the president's son related to this matter has been recorded or identified.
Among groups supporting gun control, there are concerns that direct mail delivery could encourage illegal distribution, theft, and straw purchases. Mariana Meacham, senior adviser at the gun control advocacy group Everytown for Gun Safety, pointed out that the ATF has long emphasized gun specialty stores as the front line of safety, and that this measure conflicts with that principle. Among retailers, there are also complaints that the profit structure sustained by background-check fees (around $30 per firearm) could be shaken, putting them in financial difficulty.
The ATF plans to conduct public comment collection on the rule revision until early August, and the final confirmation timing could be pushed to late this year or early next year, with the possibility remaining that the proposal could be withdrawn or amended.
