Increased de minimis threshold for USA shipments
11 March 2016
Update on recent trade bill for US shipments
Continuing with our commitment to provide you with up-to-date industry news, here's a little on the impact of the signing of a recent Trade Bill on 24th February...
This increase in the U.S. exemption level on imported items will be an important step in facilitating trade, especially for SMEs. It is hoped that it will reduce the costs for importers and make it easier and more affordable to do business globally.
What does de minimis mean?
This is the minimum dollar value of qualifying goods below which no formal customs procedures are required and no duties/taxes are levied.
There will still be some goods which require formal customs entries or FDA clearance regardless of value, but fear not, Carousel is able to advise on these for clients.
What is the impact?
The value of Duty Free Imports into the United States will increase from the present $200.00 (since 1993) to the new value of $800.00. This will be effective from March 11, 2016 and is planned to have an effect on making deliveries to the US quicker and strengthening opportunities for companies looking to grow internationally.
For express shipments, previously all those valued greater than $201.00 required a broker to make an entry, were then subject to delay and incurred additional costs. Under the new regulations all shipments valued below $800.00 will be released immediately to our partner, without incurring duty fees.
Shipments greater than $801.00 will still require additional entry processing.
For freight shipments previously valued below $200, a broker could organize an entry for Duty free Customs release and these shipments typically require several days for clearance and release. Under the new regulations our broker can make a Duty Free Entry up to the value of $800.00 and the release times should improve with these new regulations in place.
Should you require any more information on the new de minimis threshold contact me on 01795 413 600.
If you would like to speak with us about anything else, we'd love to hear from you. You can reach us on 01795 413 602 or email email@example.com.