Recent updates to de minimis thresholds across global markets are significantly impacting e-commerce fulfillment operations.
These regulatory changes, which determine duty-free import value limits, directly affect shipping costs, delivery times, and compliance requirements for online retailers.
This article examines the latest de minimis rule modifications and provides practical strategies for e-commerce businesses to maintain efficient cross-border operations while ensuring regulatory compliance.
What Is the De Minimis Rule?
The de minimis rule, section 321, determines the threshold value of goods that can be imported into a country without being subject to duties, taxes, and other import fees. Essentially, it sets the bar for the minimum value at which goods can enter without triggering customs fees.
In the U.S., the de minimis threshold is $800, meaning that shipments valued under this amount can enter without incurring customs and border protection tariffs. However, Canada and the EU, have lower thresholds, around $20 to $150, resulting in additional charges.
Recent Changes to De Minimis Rules
Governments worldwide are tightening de minimis regulations to protect domestic industry sources, increase tax revenue, and improve supply chain oversight. Here’s what’s changing as recently as 2025 as a result of an exemption executive order given by President Trump:
- Lower Thresholds: Some countries are reducing their de minimis thresholds, meaning more shipments will be subject to paid tariffs.
- Additional Documentation: Importers may now be required to provide more detailed paperwork, such as product descriptions, HS codes, and proof of value.
- Stricter Enforcement: Customs agencies are increasing scrutiny on low-value shipments, from companies like Temu and Shein, to ensure compliance classification.
How These Changes Affect E-commerce Fulfillment
The significant shift in de minimis shipments has an extensive influence on international ecommerce fulfillment:
- Increased Import Costs: Lower thresholds mean more shipments will incur duties and taxes, raising costs for both businesses and customers.
- Potential Delays: Additional documentation and formal customs scrutiny can lead to longer processing times, delaying deliveries and frustrating customers.
- Compliance Challenges: E-commerce sellers must navigate complex regulatory changes and ensure accurate paperwork to avoid penalties or shipment rejections.
- Pricing Adjustments: To maintain profitability, businesses may need to adjust pricing strategies or absorb additional costs.
How E-commerce Businesses Can Adapt
Ecommerce brands don’t have to navigate the major changes alone. Instead, they can adopt these fulfillment solutions and stay compliant with customs rules, reduce costs, and maintain smooth shipment processes.
Update Pricing & Shipping Policies
The first step in adapting to new de minimis thresholds is reviewing your pricing. Be transparent about shipping costs that might arise due to imposed tariffs and communicate these updates clearly with your customers.
Leverage Third-Party Warehousing
Consider using fulfillment centers within key markets to avoid direct cross-border shipping. This can help businesses bypass de minimis restrictions and reduce delivery times.
Optimize Customs Documentation
One of the easiest ways to prevent delays and ensure compliance is by optimizing customs documentation. Properly labeling products, using accurate HS (Harmonized System) codes, and ensuring that all paperwork is in order can simplify shipment processing.
Use Technology & Automation
Automated tools and software solutions can help calculate customs duties, taxes, and ensure that all relevant paperwork is submitted correctly. Many ecommerce platforms now integrate with customs clearance tools to streamline the process and stay compliant.
Explore Alternative Fulfillment Strategies
Evaluate fulfillment options like duty-free zones, bonded warehouses, or local distribution networks to minimize costs and improve efficiency. Work with logistics partners who specialize in customs compliance and cross-border shipping.
Future-Proof Your Global Shipping: Your De Minimis Compliance Roadmap
The changes to section 321 are a reminder that e-commerce businesses must stay aware and proactive in the face of evolving regulations.
Here’s a quick checklist to help you navigate the proposed changes:
- Stay updated on trade regulations in target markets, especially those you’re shipping to most frequently.
- Collaborate with logistics services companies that specialize in international trade and customs compliance for e-commerce.
- Educate your customers about potential changes in pricing, delivery times, and duties to set clear expectations.
