U.S. ends de minimis exemption

- U.S. Customs and Border Protection ended duty-free de minimis treatment for all commercial imports worth $800 or less on August 29, 2025. - China and Hong Kong parcels lost the exemption first on May 2, 2025; CBP later expanded the rule worldwide and collected $1 billion. - The shift rewired low-cost e-commerce shipping and customs compliance for every market. (cbp.gov)

The United States no longer lets most commercial imports worth $800 or less enter duty-free under the de minimis rule. (cbp.gov) U.S. Customs and Border Protection says the global suspension took effect at 12:01 a.m. Eastern Daylight Time on August 29, 2025, and applies to goods from all countries. (cbp.gov) (federalregister.gov) The first phase came earlier. Products of China and Hong Kong stopped qualifying for de minimis treatment on May 2, 2025, after President Donald Trump signed an April 2, 2025 executive order. (whitehouse.gov) (fedex.com) De minimis had been the customs shortcut for low-value packages. If a shipment stayed at or below $800, it could usually enter with no duty and lighter paperwork. (cbp.gov) (dhl.com) That shortcut became central to cross-border e-commerce. The White House said de minimis shipments rose from 134 million in 2015 to more than 1.36 billion in 2024, with Customs processing more than 4 million a day. (whitehouse.gov) The administration tied the change to fentanyl, counterfeit goods, and low-scrutiny imports. CBP Commissioner Rodney Scott said the agency was closing a channel that had let criminal networks move shipments without duties. (cbp.gov) (whitehouse.gov) For shippers, the practical change is paperwork and cash. FedEx says all commercial imports, including those valued at $800 or below, now require duties and taxes, and non-postal shipments need a formal customs entry path. (developer.fedex.com) (federalregister.gov) Postal shipments were handled differently at first. Customs guidance for China mail said carriers could collect either 120% of declared value or a flat $100 per package until broader systems were in place. (cbp.gov) By January 2026, CBP said it had collected more than $1 billion in duties on more than 246 million low-cost shipments since the phaseout began in May 2025. (cbp.gov) Carriers have had to keep updating customers as the wider tariff fight shifted. FedEx said a February 20, 2026 Supreme Court ruling knocked out tariffs imposed under the International Emergency Economic Powers Act, but said other duties and tariffs still applied. (fedex.com) The result is that the old $800 shortcut is gone, and low-value imports now move through the same duty system that used to apply mainly to bigger shipments. (cbp.gov) (federalregister.gov)

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