The end of US de minimis: what July 2027 means for cross-border sellers

The US de minimis rule let parcels worth up to $800 enter the country duty free with a light customs entry. Whole business models grew on it, especially sellers shipping single orders from warehouses abroad straight to US customers. It is gone now, in two steps.

What happened to de minimis

So the 2027 date does not add a new burden for most sellers. It turns a suspension into permanent law, which matters for planning: there is no realistic case for the old rule coming back.

What sellers now have to do

Every commercial shipment needs a proper entry. In practice that means:

1. Classify each product under the Harmonized Tariff Schedule. The code sets the duty rate.
2. Declare the value and the country of origin correctly. Country of origin also decides which additional tariffs apply.
3. Decide who is importer of record. That party pays duty and answers to CBP.
4. Pay the duty, directly or through a carrier or customs broker who bills you.

Postal shipments have their own duty method under the 2025 order, collected through the carrier. Ask your carrier which applies to you.

Who should pay: seller or buyer?

This is an Incoterms choice. Under DDP (delivered duty paid), you pay and the customer gets no surprise at the door. Under DAP (delivered at place), the customer pays before delivery, and many refuse the parcel. For consumer sales, DDP almost always converts better. See Incoterms explained for the full list.

The money side

• Price duty in. Work out landed cost per product: price, shipping, duty, broker fee.
• Keep records that match. Each duty payment should tie to an entry number and an order. Your accountant will need them, and so will CBP if it audits.
• Mind currency. If you earn in euros or pounds and pay US duty in dollars, a USD balance avoids a conversion on every bill. Our guide to FX risk shows how small rate moves eat thin margins.
• Watch cash flow. Duty is paid when goods enter, often weeks before the sale settles.

The article on how tariffs get paid walks through the payment mechanics with CBP and brokers.

Paying duty and brokers from Rivet

A Rivet USD account comes with ACH and wire details in your company's name, so carriers and customs brokers can be paid in dollars without a conversion each time. See Bank accounts.