The Trump administration has ended the duty-free treatment for imports valued at USD 800 or less, effective 29 August 2025.
US President Trump signed an executive order on 30 July 2025, suspending the duty-free de minimis treatment for low-value shipments valued at USD 800 or less, effective 29 August 2025.
Under the new rule, all imported goods that previously qualified for the de minimis exemption will be subject to applicable duties.
From 29 August, duties on low-value imports will be calculated using either an ad valorem or specific duty method. The ad valorem duty will apply the effective tariff rate under the International Emergency Economic Powers Act (IEEPA), based on the product’s country of origin and the shipment’s value.
The specific duty option will be available for six months before all shipments must switch to ad valorem calculations. Specific duty rates are set at USD 80 per item for countries with IEEPA tariffs under 16%, USD 160 per item for tariffs between 16% and 25%, and USD 200 per item for tariffs exceeding 25%.
Exemptions under 19 U.S.C. 1321(a)(2)(A) and (B) remain in effect, allowing US travellers to bring back up to USD 200 in personal items and receive bona fide gifts valued at USD 100 or less duty-free.
Businesses affected by the change are advised to reassess import strategies, update compliance procedures, and consult trade advisors to manage potential increases in duties and ensure adherence to the new assessment methodologies.
Earlier, the White House released a joint statement, on 12 May 2025, announcing that the US will lower the “de minimis” tariff on low-value shipments from China to 30%, easing tensions in the trade war between the two largest economies.
