This policy change to end de minimis, which came into effect on 29 August 2025, was enacted through an executive order signed by President Donald Trump on 30 July 2025.
All commercial shipments are now required to adhere to uniform regulations which include providing customs documentation detailing the origin of goods, their classification, and ensuring the payment of relevant duties and fees.
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The ‘de minimis’ provision, known formally as Section 321, has been a facilitator for e-commerce and small-scale international trade by permitting goods valued at $800 or less to enter the US duty-free without a formal customs declaration.
NCTO said the rule will provide “long overdue relief” to the domestic textile industry
“The Trump administration has taken decisive action to close the de minimis loophole, a trade measure said to be exploited by Chinese e-commerce giants and other foreign shippers to circumvent US trade laws.
“The administration’s executive action closes this channel and delivers long overdue relief to the US textile industry and its workers, while strengthening America’s economic and national security,” said Kim Glas NCTO president and CEO.
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By GlobalDataThe action builds upon a previous presidential directive that terminated the de minimis exemption for imports from China and Hong Kong earlier in May.
The new policy will ensure that all small package shipments undergo thorough inspection and information verification, with duties collected as necessary.
Goods shipped via international postal services will now incur duties calculated by either ad valorem duty, based on the product’s country of origin under the International Emergency Economic Powers Act (IEEPA), or specific duty, ranging from $80 to $200 per item depending on the IEEPA tariff rate.
Glas added: “This reform brings critical accountability back into the trade system and restores confidence for American manufacturers who have been competing on an uneven and destructive playing field.”
De minimis shipments currently represent a significant 92% of all cargo entering the US, with an exponential growth trend highlighted by customs data.
The Whitehouse said there was a dramatic increase in de minimis shipments from 134m in 2015 to over 1.36bn by 2024. Consequently, Customs and Border Protection (CBP) processes over 4m de minimis shipments daily.
Glas said: “Those addicted to the profits of de minimis have been raising alarms about the change to the status quo perpetuating false information, but the fact remains that consumers will still receive their online orders.”
She added: “These packages — over 90% of which enter the United States as express shipments— will now come in under a system that is fair, transparent, and enforceable. US Customs and Border Protection (CBP) is equipped to handle this change and has the systems in place. The US Postal Service is ready and has the systems in place. The US is not stopping international mail.”
