Source: https://rivet.global/blog/canada-ecommerce-selling-to-us-after-de-minimis
Published: 2026-09-29 · Updated: 2026-09-29 · By William Sunjo M.

# Canadian online sellers shipping to the US after the end of de minimis

Since August 2025 low-value parcels to the US no longer enter duty-free. What changed for Canadian online sellers, how CUSMA origin helps, and how to price and collect.

## Key takeaways

- The US suspended duty-free de minimis treatment for low-value shipments from all countries on 29 August 2025.
- Goods that qualify as originating under CUSMA can still enter the US free of most tariffs, but they need the right origin documentation.
- Sellers can collect duties at checkout (delivered duty paid) or leave them to the customer; refused parcels are common with the second option.
- Pricing and settling in US dollars avoids converting each payout.

A Montreal skincare brand sold to American customers for years with no duty and no customs paperwork on parcels under $800. On 29 August 2025 that ended. The first week, a quarter of its US parcels were held for duty payment by customers who had never paid duty on its products before, and the brand's support inbox filled up.

## What changed

Section 321 of US customs law, the de minimis exemption, let shipments worth $800 or less enter duty-free with minimal paperwork. The US suspended it for shipments from all countries from 29 August 2025. Every commercial parcel now needs entry data, and duty applies according to the product's tariff classification and origin.

## CUSMA origin still matters

Goods that qualify as originating under the Canada-United States-Mexico Agreement (CUSMA) can still enter free of most US tariffs. Qualifying is not automatic. The goods must meet the product-specific rule of origin, and the importer needs a certification of origin, which you can provide on the invoice or a separate document.

Skincare made in Quebec from qualifying inputs may pass. Phone cases made in Asia and shipped from a Canadian warehouse do not.

## Who pays the duty

Two approaches:

- Delivered duty paid (DDP): you charge duty and fees at checkout and your carrier or broker pays them on entry. Customers get no surprise at the door.
- Delivered at place (DAP): the customer pays duty and brokerage on delivery. Cheaper for you, and more refused parcels.

Most Canadian brands selling direct to US consumers moved to DDP within months.

## Pricing and settlement

American customers expect US dollar prices. Your payment processor settles US dollar sales either in US dollars or converted to Canadian dollars. Converting every payout leaves the margin to the processor's rate on the day.

Settling in US dollars into a US dollar balance lets you pay US costs from it, such as US fulfilment, ads, duties paid through your broker and US contractors, and convert only the surplus.

## Paying into Canada: the local rail

| What | Detail |
|---|---|
| Local rail | Interac e-Transfer for instant transfers; EFT for batch payments |
| Run by | Interac Corp.; Payments Canada |
| Settlement | Interac e-Transfer in seconds, with limits set by each bank; EFT within one business day |

Source: [Payments Canada: systems](https://www.payments.ca/systems-services). Checked when this guide was last updated; the scheme's own page has the current figures.

## Where Rivet fits

Rivet is not a customs broker or checkout. A Rivet business account gives a Canadian company US account details in its own name on every plan, so US dollar payouts land as dollars, and on the Scale plan Canadian dollar details and balances in 30 currencies. Balances can be spent with Visa company cards, paid to suppliers in 120+ countries, or converted at a rate shown before you confirm. Rivet is not a bank; regulated partner institutions hold the funds.

See [the US de minimis repeal guide](/blog/us-de-minimis-repeal-2027).

## Questions

### What was de minimis?

Section 321 let shipments valued at $800 or less enter the US free of duty and with minimal paperwork. It was suspended for all countries from 29 August 2025.

### Do CUSMA goods still enter duty free?

Goods that meet CUSMA rules of origin, with a valid certification of origin, can still enter the US free of most tariffs. Goods made elsewhere and shipped from Canada do not qualify.

### Who pays the duty?

The importer of record. If you ship delivered duty paid, that is effectively you, through your carrier or broker. If not, the customer pays on delivery.

### Should a Canadian store price in US dollars for American customers?

Yes, most do. Settling in US dollars into a US dollar balance avoids a conversion on every payout.
