In partnership with
By Sherry Sanchez
The End of the De Minimis Rule and How It Blows Up US Shipping Costs
(Keywords: de minimis rule end, US shipping costs, tariff changes 2025)
Let’s get real. If you’re still shipping parcels to the U.S. without sweating tariffs, welcome to the past. The infamous de minimis rule—where shipments under $800 slipped into America duty-free—is officially dead as of August 29, 2025. This means the blissful era of duty-free US shipping for low-value parcels is over. Hello, new tariffs, customs fees, and bureaucracy. Your small business and your wallet? Brace for impact.
But first let’s hear from today’s sponsor for some business and positive news:
Your career will thank you.
Over 4 million professionals start their day with Morning Brew—because business news doesn’t have to be boring.
Each daily email breaks down the biggest stories in business, tech, and finance with clarity, wit, and relevance—so you're not just informed, you're actually interested.
Whether you’re leading meetings or just trying to keep up, Morning Brew helps you talk the talk without digging through social media or jargon-packed articles. And odds are, it’s already sitting in your coworker’s inbox—so you’ll have plenty to chat about.
It’s 100% free and takes less than 15 seconds to sign up, so try it today and see how Morning Brew is transforming business media for the better.
What the De Minimis Rule Was—and Why It Got Axed
(Keywords: de minimis exemption, duty-free shipping, low-value parcels US)
De minimis was a loophole turned lifeline for small exporters and nimble e-commerce hustlers. But Uncle Sam—citing lost revenue, smuggling, and counterfeit concerns—pulled the plug. Now, everything under $800 gets slapped with tariffs from 10% up to 50%, plus extra fees that hit like a bad Tinder date: unexpectedly and painfully.
How Shipping Costs Got a Not-So-Fun Upgrade
(Keywords: increased tariffs shipping, customs fees US, landed cost calculation)
If you’re calculating landed costs like it’s 2024, stop. The game has changed. Shipping to the US now means factoring in new customs duties, brokerage fees, and possibly switching to more expensive couriers because USPS and others are throwing their hands up. There goes your cheap cross-border shipping strategy.
How To Nail Your New Landed Cost Game
(Keywords: landed cost calculation, import tariffs US, customs brokerage fees)
Here’s your new math problem:
Don’t cry over it. Just get savvy. Know your HTS code like a boss, calculate tariffs on the combined product and shipping cost, and add all those brokerage and customs clearance fees.
Mixed SKUs? How to Play Tariff Whack-a-Mole
(Keywords: mixed SKU cartons tariff allocation, allocate tariffs per unit, landed cost mixed shipments)
If you’re shipping mixed cartons with different SKUs, don’t sweat it. Assign tariffs by value share or weight per SKU, then divide by units. Fair, smart, and keeps your accounting from spiraling like your last “quick” spreadsheet.
Why Should Everyone Care: Consumers, Economists, and Marketers
(Keywords: impact on consumers, economic effects tariffs, marketing pricing strategy)
Consumers? Say hello to pricier goods and a tighter wallet. Economists? This tweak rewires global trade, squeezing small exporters and recalibrating supply chains. Marketers? Time to rethink pricing and delivery promises without scaring off customers. Spoiler: creativity is your best friend now.
The Bottom Line: This Isn’t Just a Shipping Change—It’s a Market Shakeup
(Keywords: cross-border shipping changes, US tariff impact, future of ecommerce shipping)
The de minimis death tells a larger story: the borderless ecommerce party is getting a bouncer. Small businesses must get laser-focused on landed costs, tariff planning, and smarter logistics—or risk drowning in fees. For shoppers, it means adjusting expectations on pricing and shipping times. The future? Less “free” and more “fair” in cross-border shipping.
FAQ: De Minimis Ends & Your Shipping Questions Answered
Q: What exactly ended with the de minimis rule?
A: The US stopped letting shipments under $800 enter duty-free, adding tariffs and fees to nearly every parcel.
Q: How much will tariffs add to my shipping costs?
A: Tariffs can be 10%-50% of the product’s value, plus fixed fees between $80-$200 during the transition period.
Q: How do I calculate landed cost now?
A: Include product price, shipping, tariffs, customs brokerage fees, insurance, and other fees, divided by the number of units per shipment.
Q: What if I ship mixed-SKU cartons?
A: Allocate tariffs based on each SKU’s value or weight proportion in the shipment, then divide by units.
Q: Will this affect consumer prices?
A: Yes. Increased business costs will likely translate into higher prices and longer shipping times for customers.