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U.S. Ends $800 Exemption as Duties Take Effect on All Incoming Parcels

Many national postal services have paused U.S.-bound shipments pending clarity on duty collection.

Overview

  • The new regime took effect on August 29 and applies customs duties to every parcel entering the United States regardless of declared value.
  • During a six-month transition, shippers can opt to pay a flat fee of $80 to $200 per package depending on tariff classification.
  • Limited carve-outs remain for gifts under $100 and for travelers’ personal effects up to $200 brought in directly.
  • Mexico’s national post suspended U.S. deliveries, joining roughly 25 countries that have temporarily halted postal shipments, according to the Universal Postal Union.
  • The White House cites tariff evasion and illicit drug shipments as justification, pointing to duty-free parcel volumes rising from 134 million in 2015 to 1.36 billion in 2024, with analysts warning of higher costs for platforms like Shein and Temu.