US low-value package tariff exemption ends, raising costs for shippers, consumers

By David Lawder and Andrea Shalal, Reuters –  7:28 AM ET 8/29/2025

WASHINGTON (Reuters) -The U.S. tariff exemption for package shipments valued under $800 ended on Friday, raising costs and disrupting supply chain models for e-commerce companies, small businesses using online marketplaces and consumers alike.

The U.S. Customs and Border Protection agency began collecting normal duty rates on all global parcel imports, regardless of value, country of origin, (Finland included) or mode of transportation at 12:01 a.m. EDT (0401 GMT) on Friday. It offered a flat-rate duty option of $80 to $200 per package shipped from foreign postal agencies for six months.

The change broadens the Trump administration’s cancellation of the de minimis exemption for packages from China and Hong Kong in May as part of an effort to halt shipments of fentanyl and its precursor chemicals into the U.S..  

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