Vertical Financials
Importing & Logistics

De Minimis (Section 321)

Definition

The U.S. rule that once let low-value shipments (under $800) enter duty-free. Duty-free de minimis treatment has been suspended for imports from all countries since August 2025, and that suspension remains in effect.

The change hit brands that relied on direct-from-overseas fulfillment hardest, because every parcel now needs formal duty treatment. Many have moved to importing in bulk and fulfilling domestically.

Trade policy has changed often, so confirm current rules with your customs broker before planning a shipment. Watch for: old landed-cost models that still assume duty-free parcels, which overstate margins.

Example

A brand that shipped individual orders directly from an overseas warehouse duty-free now pays duty and entry costs on each one, raising landed cost on its lowest-priced products the most.

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