in effect
Executive Order 14324, signed July 30, 2025, ends the longstanding “de minimis” exemption that allowed low-value imported packages (under $800) to enter the United States duty-free. It applies globally to all countries, closing what the order describes as an evasion pathway that drug traffickers exploit to hide illicit substances in small shipments.
Starting August 29, 2025, no package entering the U.S. is exempt from customs duties based on low value alone — the $800 duty-free threshold no longer applies to any country of origin. Packages shipped through normal commercial channels must be formally entered into the Automated Commercial Environment (CBP’s customs processing system) and pay all applicable duties. Packages arriving through the international postal network (such as foreign postal mail) face a temporary alternative: carriers may collect either a percentage-of-value duty (the applicable IEEPA tariff rate for that country) or a flat per-package fee — $80, $160, or $200 depending on whether the country’s tariff rate is below 16%, between 16–25%, or above 25%, respectively. The flat-fee option is only available for six months; after that, all postal shipments must pay the percentage-of-value rate. Carriers delivering international postal shipments must obtain an international carrier bond with CBP to guarantee duty payment.
U.S. consumers who regularly purchase low-cost goods directly from foreign sellers — particularly from China, where a large share of small-package e-commerce originates — will now pay import duties on those purchases that previously cost nothing extra. Foreign online retailers and domestic importers who relied on de minimis treatment to ship goods cheaply into the U.S. market must now account for duty costs and additional customs paperwork. International postal carriers and freight companies are directly responsible for collecting and remitting the new duties and must hold the required bonds.