QUICK ANSWER De minimis is the rule, under Section 321 of the Tariff Act, that let shipments valued at $800 or less enter the US duty-free with an informal entry. In 2025 the US moved to end it: first for goods from China and Hong Kong, then broadly for all countries. As of 2026 the de minimis exemption is suspended, so low-value shipments that once entered duty-free now face duty and formal entry.
The de minimis rule was the quiet engine behind cheap direct-from-factory shipping, and its removal is one of the biggest import changes in years. This guide explains what Section 321 and de minimis were, exactly what changed in 2025 and 2026, and what importers who relied on the $800 threshold do now. Because this area is moving fast, confirm the current status against CBP before you plan a shipment on it.
Section 321, the statute behind the exemption
Section 321 of the Tariff Act of 1930 is the statute that created the de minimis exemption. "De minimis" means the value is too small to bother taxing, and the rule let a shipment at or under a set threshold enter the US free of duty and through a simplified, informal entry rather than a full formal one. For years it was the mechanism that let overseas sellers ship low-value parcels straight to US consumers without duty, sidestepping the landed cost a bulk importer pays.
The $800 de minimis threshold
The threshold was $800 in fair retail value per person, per day. A parcel at or under that value could clear as a de minimis shipment, duty-free, often under the simplified Entry Type 86 process. That is what made direct-to-consumer shipping from Asia so cheap: a $40 order faced no duty and minimal formality, while the same goods imported in a container paid duty on every unit.
What changed in 2025 and 2026
The exemption was rolled back in stages. First, de minimis treatment was ended for goods from China and Hong Kong, the largest source of low-value parcels. Then the removal was extended broadly to shipments from all countries. The direction is clear: the $800 duty-free shortcut is closing, and low-value shipments are being pulled back into duty and formal entry.
KEY TAKEAWAY The "under $800 ships duty-free" plan no longer holds. In 2026 the de minimis exemption is suspended, so a low-value parcel that used to enter free now owes duty, any applicable tariff, and a formal entry. If your model was built on de minimis, it needs rebuilding around duty-paid imports. Verify the exact current rules with CBP, since this is still changing.
Section 321 vs a formal entry
The gap between the two is why the change matters so much for small shipments.
De minimis entry vs formal entry
| De minimis (Section 321) | Formal entry | |
|---|---|---|
| Value | Was $800 or less | Any value |
| Duty | None | HTS duty plus any Section 301 |
| Entry type | Informal, often Entry Type 86 | Formal customs entry |
| Broker and bond | Not typically required | Broker files, bond required |
| Data and documents | Minimal | Full entry data set |
What qualified for de minimis
When the exemption applied, a shipment generally qualified if its fair retail value was at or under $800, it was imported by one person on one day, and it was not part of a split consignment designed to dodge the limit. Certain goods were always excluded, including those subject to other agency requirements or specific duties. With the exemption suspended, these tests matter less than the new reality that the duty-free path is closed for most shipments.
What the change means for ecommerce
Direct-to-consumer brands and marketplace sellers built on cheap parcel flows are the most exposed. A model that assumed no duty on sub-$800 orders now carries duty and formal-entry cost on those same parcels, which changes unit economics and pricing. The winners are the sellers who move to duty-paid bulk imports and account for the real landed cost, rather than hoping the old exemption returns. Our ecommerce and DTC brands work is built for this shift.
How importers adapt now
The practical response is to stop treating small shipments as free and start importing like an importer. Consolidate low-value parcel flows into bulk shipments that clear on one formal entry, so the duty is the same but the per-unit handling cost drops. Classify goods correctly so you are not overpaying on top of the new duty. And where sales timing or re-export is uncertain, defer duty with bonded warehouses and FTZs. The goal is a duty-paid model that is priced correctly, not a workaround for a rule that is gone.
How Platton helps you adapt
The end of de minimis turns a lot of parcel sellers into formal importers overnight. Platton runs the import side that model now needs.
Bulk imports instead of loose parcels
We consolidate what used to ship as many small de minimis parcels into full customs clearance on bulk shipments, so the formality is handled once, not per order.
Duty and classification priced up front
Your HTS classification and duty exposure are reviewed and quoted before you commit, so the cost that de minimis used to hide is on the table when you plan.
Duty deferral where it fits
When timing or re-export makes it worthwhile, we structure bonded or FTZ storage so duty is deferred until the goods actually enter US commerce.
One point of contact for the new model
The same coordinator who books your freight runs the duty-paid side on the China to USA lane and beyond, so the shift off de minimis does not stall at the border.
Get a duty-paid import quote for your parcel volume
Common Questions About Section 321 and De Minimis
Is Section 321 de minimis suspended?
Yes, as of 2026 the de minimis exemption is suspended. The US ended it first for goods from China and Hong Kong in 2025, then extended the removal broadly to all countries. Low-value shipments that once entered duty-free under the $800 threshold now generally face duty and a formal entry. Because the rules are still changing, confirm the current status with CBP before relying on any exemption.
What is the de minimis exemption?
It was the rule under Section 321 that let a shipment valued at $800 or less enter the US free of duty and through a simplified informal entry, rather than a full formal one. It made direct-to-consumer parcel shipping from overseas cheap, because small orders paid no duty. That exemption is now suspended, so the duty-free treatment no longer applies to most shipments.
What was the de minimis threshold?
It was $800 in fair retail value, per person, per day. A parcel at or under that value could clear duty-free, often through the simplified Entry Type 86 process, without a formal entry or a customs bond. The threshold is what made sub-$800 orders so cheap to ship, and its removal is what pulls those same orders back into duty and formal entry.
How does the end of de minimis affect ecommerce sellers?
Sellers who shipped low-value orders direct to US consumers duty-free now face duty and formal-entry costs on those same parcels, which changes their unit economics. The practical fix is to import in bulk on formal entries, classify goods correctly, and price the real landed cost into the product. Brands that adapt to a duty-paid model absorb the change better than those waiting for the exemption to return.
What is Entry Type 86?
Entry Type 86 was a simplified electronic process for clearing low-value de minimis shipments, letting qualifying parcels under the $800 threshold enter with minimal data and no duty. It was tied to the de minimis exemption, so as that exemption is suspended, the Type 86 path narrows with it. Shipments that no longer qualify move to a standard formal entry with duty and full entry data.
Related Customs Guides
How US import customs clearance works: the formal entry process de minimis shipments now fall into.
Landed cost: the real per-unit cost once duty applies.
Mitigating tariff impact with bonded warehouses and FTZs: deferring duty on a duty-paid model.
