Good News for Merchants: $800 De Minimis Rule Remains Intact Amid New U.S. Tariffs
Merchants shipping to the U.S. can breathe a sigh of relief—despite the recent executive order imposing 25% tariffs on certain goods from Canada, the $800 de minimis threshold remains unchanged. This means that shipments valued at $800 USD or less can continue to enter the U.S. duty-free, ensuring smooth and cost-effective cross-border trade.
Understanding the New Tariff Update
On March 4, 2025, the White House enacted new tariffs aimed at addressing illicit drug trafficking, applying a 25% duty on select Canadian imports. However, as confirmed in Section (b) of the executive order, the de minimis threshold—which allows low-value shipments to bypass duties and customs delays—remains fully intact.
This decision is crucial for eCommerce merchants and small businesses that rely on cross-border shipping. The de minimis provision has long been a key advantage for Canadian businesses selling to U.S. customers, enabling faster delivery and lower costs.
De Minimis Policy: What It Means for You
- Shipments valued at $800 USD or less remain duty-free when entering the U.S.
- The new 25% tariff applies only to specific goods above $800 USD, meaning most small eCommerce orders won’t be affected.
- Businesses can continue leveraging netParcel’s discounted shipping options to provide competitive pricing for U.S. customers.
Industry Reaction & Next Steps
This decision follows months of speculation about potential changes to de minimis rules. While some policymakers have pushed for stricter restrictions, reports indicate that attempts to lower the threshold have been postponed for now.
As highlighted by Supply Chain Dive, former U.S. President Donald Trump also delayed potential revisions to de minimis rules, signaling ongoing debate over its future. While changes may come down the road, merchants can continue operating under the existing $800 exemption for now.
How netParcel Helps You Stay Ahead
With shifting trade policies, merchants need reliable and cost-effective shipping solutions. netParcel provides discounted shipping rates for U.S. and international deliveries, ensuring you can maximize margins while maintaining fast and affordable shipping.
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