Shipping To The US After The
$800 Duty-Free Allowance Ended
Since August 29, 2025, every parcel a European brand ships to a US customer goes through US customs and pays duty, however small the order. The $800 duty-free allowance that made direct shipping from Europe easy no longer applies to any country. Brands now have three choices: pay the duties up front (delivered duty paid), let the customer pay on delivery, or import in bulk to a US warehouse and ship orders locally. For brands with steady US sales, the third option is usually the cheapest and gives customers the best experience.
What The $800 De Minimis Exemption Was
De minimis was a US customs rule that let a single shipment worth $800 or less enter the country without duties and with very light paperwork. For years it meant a European brand could ship a dress, a pair of shoes or a skincare set straight to a US customer and the parcel arrived like a domestic order.
The US first removed the exemption for goods from China and Hong Kong, then suspended it for all countries from August 29, 2025. Parcels now need proper customs entry, and duties are charged at the rate that applies to the product and its country of origin.
Will It Come Back?
Unlikely. After the Supreme Court struck down the IEEPA tariffs in February 2026, the de minimis suspension stayed in place. Since mid-2026 it rests on US Customs (CBP) rules rather than those tariffs, and a 2025 US law permanently repeals the exemption from July 1, 2027. Brands should not plan for it to return.
What It Means For European Brands
- Duty on every parcel. Each order pays the applicable US duty. Rates depend on the product and where it was made, and have changed several times recently.
- Customs and carrier fees. Carriers charge for clearing each parcel. On a small order these fees can be a large share of the value.
- Delays. More parcels go through formal checks, and missing or wrong data (product description, tariff code, country of origin) holds them up.
- Surprise charges at the door. If duties are not paid in advance, the customer is asked to pay before delivery. Many refuse, and the parcel comes back.
- Cart abandonment. When the final cost is unclear at checkout, more US shoppers leave without buying.
Your Three Options
1. Delivered Duty Paid (DDP)
You charge the duties at checkout, or absorb them, and the carrier bills you. The customer pays nothing on delivery. It protects the experience, but you still pay duty and clearance on every parcel and carry the cost of returns sent back to Europe.
2. Duties Paid By The Customer (DDU / DAP)
You ship as before and the customer pays duties and fees on delivery. It is the simplest for you and the worst for the customer. Expect refused parcels, complaints and lost repeat orders.
3. Import In Bulk To A US Warehouse
You send stock to the US in one shipment by air or sea, clear customs once, and pay duty on the whole shipment. Orders then ship inside the US in a few days, and returns go to a US address. You arrange shipping the stock to the US. It needs an importer of record and some upfront stock, but it is the model US marketplaces and department stores expect.
A Simple Cost Comparison
Illustrative numbers only. These figures are made up to show how the costs stack up. Your duty rate, carrier fees and freight will be different. Example: a $150 retail order, using 15% purely as an example duty rate on the product's customs value of $60.
There is no single US duty rate for EU goods. Since July 2026 most EU goods pay at least 10% in total, and many clothing and footwear lines pay more under their normal tariff rates, so check the rate for your specific product code.
| Cost per order (illustrative) | DDP from Europe | DDU from Europe | US warehouse |
| Duty | $9 | $9 (customer pays) | $9 |
| Clearance fee | $10 | $10+ (customer pays) | About $0.50 shared across bulk entry |
| Shipping | $25 international | $25 international | $3 freight share + $9 US delivery |
| Delivery time | 3 to 7 days | 3 to 7 days, plus delays | 2 to 5 days |
| Return to | Europe | Europe | US address |
| Your cost | $44 | $25 | About $21.50 |
In this example DDU looks cheapest for you, but the customer pays about $19 extra at the door and many will refuse. Once volumes are steady, the US warehouse route costs the brand less per order than DDP and gives the customer a domestic experience. Warehouse storage, receiving and pick and pack fees also apply and should be included in your own numbers.
When A US Warehouse Makes Sense
- You have steady US orders, or a clear plan to build them.
- You want to sell on US marketplaces or department stores, which expect fast domestic delivery and US returns.
- Your range is focused enough to forecast stock for a few months.
- Duty and clearance fees on single parcels are eating your margin.
- Returns from US customers are costly or slow to process from Europe.
If you are only testing the US with a handful of orders, DDP from Europe can be a sensible first step. Move to US stock once demand is proven.
How HORIZON.HUB Helps
You arrange shipping your stock to the US. HORIZON.HUB can act as importer of record, or work through a simple consignment agreement, and supports you through the customs process. Once stock arrives, we store it in our Florida warehouse, ship orders and handle returns inside the US, and list your products on US channels under your own brand name. See our logistics and fulfilment, marketplace onboarding and US market entry strategy services. If department stores are your goal, read how to sell on Nordstrom, Saks and Bloomingdale's.
Related Services
Frequently Asked Questions
Has the $800 de minimis exemption really ended?
Yes. The US suspended duty-free de minimis treatment for imports from all countries from August 29, 2025. Low-value parcels that used to enter duty free now go through customs and pay the applicable duties.
Does this apply to parcels sent by post as well as by courier?
Yes. Postal shipments are covered too. Since July 2026 postal parcels go through a postal entry process, and from January 20, 2027 (postponed from October 22, 2026) postal entries for dutiable goods must be filed electronically and include the 10-digit US tariff (HTS) code. Rules can still change, so check the current requirements with your carrier.
Who pays the duty: me or my customer?
Either. With delivered duty paid shipping you pay the duties and the customer pays nothing extra on delivery. With delivered duty unpaid shipping the customer is asked to pay duties and carrier fees before the parcel is handed over.
When is a US warehouse worth it?
Usually once you have steady US demand in a focused range of products, when you want to sell on US marketplaces or department stores, or when per-parcel duties and fees are eating your margin. Importing in bulk means one customs entry instead of many.
Talk It Through With Us
Every brand starts from a different place. Book a call and we will look at your categories, your prices and your stock, and tell you plainly what we would do.
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