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Customs Exemptions

De Minimis Rule

The US de minimis threshold is $800 per shipment — the world's highest. Below this value, goods enter duty-free under Section 321. But recent policy changes are narrowing who qualifies.

2026 Update: Section 301 goods from China no longer qualify for de minimis

What is de minimis?

De minimis (Latin: "of minimum importance") is a customs concept that allows low-value shipments to enter a country without paying import duties, and in some countries, without paying VAT or GST. Every country sets its own threshold.

In the United States, the de minimis exemption is governed by Section 321 of the Tariff Act of 1930. Shipments valued at $800 or less per day per importer enter duty-free and tax-free, provided they don't contain alcohol, tobacco, or other restricted items.

The $800 threshold was raised from $200 in 2016 under the Trade Facilitation and Trade Enforcement Act — a massive expansion that enabled the rise of direct-to-consumer cross-border e-commerce. The US threshold remains the highest in the world and is a significant competitive advantage for low-cost importers.

2026 Policy Change: Section 321 Restriction for Chinese Goods

Executive orders issued in 2025 suspended the Section 321 de minimis exemption for goods subject to Section 301 tariffs — which covers a large portion of goods originating in China. These shipments, regardless of value, must now clear formal customs entry and pay applicable duties. This directly affects platforms like Temu, Shein, and AliExpress that relied heavily on the exemption. Importers sourcing from China should verify current CBP guidance before relying on the $800 threshold.

US customs entry types by shipment value

$0 – $800

Section 321 (De Minimis)

No duties, no formal entry, minimal documentation. One release per person per day. Exceptions: alcohol, tobacco, Section 301 goods.

$801 – $2,500

Informal Entry

Duties apply, but reduced documentation requirements. No formal CBP bond required. Standard rates apply.

$2,501+

Formal Entry

Full documentation required: commercial invoice, packing list, CBP Form 7501, and importer bond. CBP may examine goods.

De minimis thresholds by country (2026)

Thresholds are approximate and subject to policy changes. Always verify with current official sources.

CountryThresholdLegal basisNote
United States$800Section 321World's highest threshold
European Union€150EU Customs CodeVAT always applies above €0
United Kingdom£135HMRC rulesVAT applies to all orders
CanadaCAD $20Customs ActOne of the lowest globally
AustraliaAUD $1,000Low Value ThresholdGST applies above AUD $0
Japan¥10,000 (~$65)Customs Tariff LawVery restrictive
Turkey€150Turkish Customs LawPlus 18% VAT
UAEAED 1,000 (~$272)FCA rulesVAT applies above AED 375

De minimis FAQ

What is the de minimis rule?

The de minimis rule (from the Latin 'de minimis non curat lex' — the law does not concern itself with trifles) is a customs provision that exempts low-value shipments from import duties, tariffs, and in some cases VAT/GST. Each country sets its own de minimis threshold — the value below which duties are not collected.

What is the US de minimis threshold in 2026?

The US de minimis threshold is $800 per shipment, established under Section 321 of the Tariff Act. Shipments valued at $800 or less can enter the US duty-free and tax-free (with some restrictions on alcohol, tobacco, and certain controlled items). This is the highest such threshold in the world.

Is the US $800 de minimis threshold changing?

There have been legislative proposals and executive actions to modify or close the Section 321 de minimis exemption, particularly for goods of Chinese origin. As of 2026, the exemption has been restricted for goods subject to Section 301 tariffs — meaning many products from China no longer qualify. Check the latest CBP guidance for current status.

Do Section 301 tariffs affect de minimis eligibility?

Yes. Recent executive orders have suspended the Section 321 de minimis exemption for goods subject to Section 301 tariffs (primarily goods of Chinese origin). These goods must now clear formal customs entry regardless of value, and standard Section 301 duties apply.

Can I split shipments to stay under the de minimis threshold?

Intentionally splitting shipments (commonly called 'smurf shipping' or 'split shipping') to avoid customs duties is illegal under US law and the laws of most importing countries. CBP and other customs authorities actively monitor for this practice. Penalties can include seizure of goods and significant fines.

What is the difference between de minimis and informal entry?

De minimis (Section 321) applies to shipments at or below $800 — these clear with no duties and minimal documentation. Informal entry applies to shipments between $801 and $2,500 — these require a CBP entry but at reduced documentation requirements. Formal entry (with full commercial invoice, etc.) is required above $2,500.

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