By Anita Hamilton
Americans are about to feel a fresh blow from new levies on imports. Starting Friday, items valued at $800 or less that are shipped directly to consumers from abroad will no longer be exempted from tariffs. Some countries, including Mexico, Japan, Taiwan, and Australia, have already stopped such shipments in anticipation of the rule change.
For packages that do make it to the U.S., tariffs will be either the same rate imposed on the country of origin or a flat fee of $80 to $200, also depending on origin. Personal gifts valued at $100 or less will remain duty free as will $200 in personal items that U.S. travelers bring back with them.
The rule change comes amid a steep increase in the number of low-value imports shipped directly to consumers. Over the past 10 years, these so-called de minimis shipments have risen from 139 million to 1.36 billion, according to U.S. Customs and Border Protection. Those tariff-free shipments were valued at an estimated $64.6 billion in 2024 and accounted for 92% of all cargo entering the country.
A rule change in 2016 that raised the value of goods exempted from tariffs from $200 to $800 helped drive the increase in shipments as online shopping took off. Retailers such as Temu and Shein along with Etsy vendors located outside the U.S. were able to capitalize on the loophole to grow sales.
Because many de minimis shipments previously came from China, the Trump administration suspended the exemption for Chinese goods back in May. The move was also intended to stop the flow of synthetic opioids into the U.S. from there.
Part of the reason why countries have pre-emptively stopped shipments to the U.S. is to give them time to work out the payment process for the goods. Some international couriers have halted commercial shipments to the U.S. over similar concerns.
Write to Anita Hamilton at anita.hamilton@barrons.com
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August 28, 2025 15:44 ET (19:44 GMT)
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