Proposed changes to American import regs could hit UK exporters
US legislators are planning to scrap or make major changes to the $800 ‘de minimis’ limit, below which no taxes are paid on imports.
COMMERCIAL SHIPMENTS arriving in the USA valued at under $800 currently face no duties and little scrutiny. America’s ‘de minimis’ rules allow for the free entry of low-cost products to the USA, particularly from international e-commerce platforms. This $800 threshold has helped fuel the growth of online platforms such as Temu and Shein, which sell China-sourced products, but it is also of huge value to UK exporters to America.
However, now British exporters of products valued under $800 and, in particular, clothing, textiles and leather goods, could find themselves caught up in America’s crackdown on Chinese competition and the smuggling of illegal goods and drugs such as fentanyl.
Parcelhero’s Head of Consumer Research, David Jinks M.I.L.T., says: “A number of different bills and government initiatives have been proposed. The simplest solution, but the one with the most potentially damaging results for UK businesses, would be to abolish the scheme entirely or significantly lower the USA’s $800 threshold. This could result in America mirroring the European Union (EU) de minimis threshold of 150 euros (around $166 or £126). An even more severe reduction would be to follow Canada’s Customs duty and tax remission value of up to $20 Canadian dollars (approximately $15 USD).”
