U.S. Suspends De Minimis Tariff Exemption for Low-Value Imports
Low-value shipments now face higher duties, formal entries, and closer oversight from CBP, while international postal shipments enter a six‑month transition period before ad valorem duties apply.
President Donald Trump has signed an Executive Order (EO) suspending de minimis tariff exemptions for low-value imports into the U.S., effective August 29, 2025, at 12:01 a.m. EDT.
Previously, goods valued at $800 or less were allowed to enter the U.S. duty-free and without a formal customs entry process.
Now, all non-postal imports, regardless of their value, will be subject to the assigned country-specific tariffs under the International Emergency Economic Powers Act (IEEPA).
According to the new EO, the de minimis tariff exemption under 19 U.S.C. 1321(a)(2)(C) will no longer apply to any shipments, regardless of value, country of origin, mode of transportation, or method of entry.
Shipments that previously qualified for the de minimis exemption must now be filed using an appropriate entry type in the Automated Commercial Environment (ACE), and only qualified parties are allowed to file these entries.
As for shipments sent through the international postal network that qualify for the de minimis exemption, they may enter without duties and without the need for a CBP entry only until a new entry process is established and published in the Federal Register.
International postal shipments can still temporarily enjoy de minimis treatment until U.S. Customs and Border Protection (CBP) establishes a new postal entry process, which will be announced in the Federal Register.
Changes to the Harmonized Tariff Schedule of the United States (HTSUS) may occur and, if implemented, will also be published in the Federal Register.
For international postal shipments, transportation carriers are now responsible for collecting and remitting duties to CBP.
There are two methods for calculating duties on these shipments. These are either:
Ad valorem duty method: A duty equal to the effective IEEPA tariff rate applicable to the country of origin of the product shall be assessed on the value of each dutiable postal item (package) containing goods entered for consumption.
Specific duty method: A specific duty shall be assessed on each package containing goods entered for consumption, based on the effective IEEPA tariff rate applicable to the country of origin of the product.
For the specific duty method, the rates will apply as follows:
This method will remain available to use for a period of 6 months as of August 29, 2025.
After this period, all shipments sent through the international postal network must comply with the ad valorem duty method outlined earlier.
Moreover, international postal shipments that are subject to antidumping and countervailing duties, or those under quota restrictions, must continue to be entered under the appropriate entry type in ACE.
CBP is authorized to require a basic importation and entry bond for informal entries valued at $2,500 or less.
Any carrier that transports international postal shipments to the U.S., by any mode of transportation, must have an international carrier bond to ensure payment of the duties.
If you rely on the de minimis threshold for your imports, we recommend the following steps to avoid delays and unexpected costs:
At Cole International, we provide trade consulting and customs brokerage services to help importers navigate changing regulations and ensure a seamless entry process for their shipments.
Please reach out to one of our trade professionals to discuss how the end of the de minimis tariff exemption will affect your business and what to do to ensure compliance.