End of the U.S. Customs De Minimis Exemption

Non classifié(e)

August 25, 2025

Overview

Effective August 29, 2025, the long-standing de minimis exemption for low-value imports in the United States will be eliminated.

Shipments valued under USD $800 that were previously exempt will now be subject to full customs duties and applicable taxes.

The same measure was first applied selectively to imports from China and Hong Kong (effective May 2, 2025) before being expanded to all countries.

This change is expected to have a major effect on cross-border online sales, especially for businesses that ship products directly to customers from overseas.

End of the De Minimis Treatment

Under prior U.S. customs rules, individual shipments with a fair market value below USD $800 qualified for duty- and tax-free entry into the U.S. This de minimis treatment allowed e-commerce platforms to import large volumes of consumer goods with minimal customs processing.

The updated rules aim to prevent deceptive shipping practices, particularly the import of illicit substances, including synthetic opioids hidden in low-value packages to exploit the exemption.

The July 30^th, 2025 Executive Order “Suspending Duty-Free De Minimis Treatment for All Countries” removes the de minimis exemption for certain Canadian and Mexican goods, as well as all other goods from global origins imported into the United States.

Duty rates

Transportation carriers delivering shipments to the United States through the international postal network must collect and remit duties to the Customs and Border Protection (CBP) on all shipments valued under USD $800 entering the United States based on the product’s country of origin under the IEEPA (International Emergency Economic Powers Act) tariff rates:

Standard method (ad valorem duty): A percentage-based duty, equal to the effective IEEPA tariff rate for the product’s country of origin, applied to the value of each package.
Temporary alternative method (specific duty): For the first six months after the rule takes effect, carriers may instead choose a flat fee per package containing goods entered for consumption:
- $80 per item from countries with an IEEPA tariff rate under 16%;
- $160 per item from countries with a rate between 16% and 25%;
- $200 per item from countries with a rate above 25%.

After the six-month period, all shipments must apply the standard ad valorem duty methodology.

Exemptions remain for U.S. travelers returning to the U.S. with up to USD $200 in personal goods and to receive bona fide gifts valued at US $100 or less.

Impact of the Change

Ending the U.S. de minimis exemption will affect importers, e-commerce platforms, consumers, and customs professionals.

Importers must now declare all shipments regardless of value, and pay any duties or taxes required by U.S. Customs and Border Protection (CBP).
E-commerce platforms that sell directly to U.S. customers will need to adjust pricing, shipping, and tax collection processes, and may have to collect duties or taxes at checkout.
Consumers can expect higher prices and possible delivery delays.
Customs brokers and agencies will face more paperwork and heavier compliance demands.

To respond effectively, businesses shipping goods to the U.S. should update compliance procedures to include low-value shipments, review supply chains and consider domestic warehousing to reduce costs and delays. Proactive adaptation to these regulatory changes will be key to maintaining operational continuity and cost efficiency in cross-border trade.

End of the U.S. Customs De Minimis Exemption

Andersen Canada Contacts