Changes in U.S. Duty-Free Rules Affect Online Shopping Costs

Changes to Duty-Free Exemptions Impact Online Shopping for U.S. Consumers Recent adjustments in U.S. trade policy have introduced new challenges for online shoppers, especially those who favor international brands. The expiration of the duty-free exemption for lower-priced imports could lead to increased costs for many items frequently purchased from abroad, such as skincare products from South Korea. The de minimis exemption, which previously allowed products valued under $800 to enter the U.S. without incurring tariffs, has officially ended. This change primarily affects U.S. consumers who enjoy a variety of global goods, including Korean beauty products and unique international foods. As online shopping becomes a preferred form of retail therapy—especially among younger consumers who prioritize small indulgences—new tariffs are set to apply to all goods shipped from overseas. The assessment structure will charge approximately $80 for items from countries with low tariffs, and up to $200 for those from countries with higher tariffs. These additional expenses may eventually fall on consumers, pushing prices higher for popular imported items. With the new executive order in place, logistics and distribution have been affected. Prior to the expiration of the duty-free exemption, numerous postal services had already halted shipments to the U.S. due to uncertainty regarding tariffs. This includes DHL, which has limited many of its operations concerning U.S. destinations. Notably, the de minimis exemption had already been rescinded for shipments from China back in May as part of ongoing trade tensions. The recent action broadens the scope, affecting an estimated 4 million shipments that U.S. Customs and Border Protection processes daily, marking a notable increase from previous figures. Some businesses have already begun updating their shipping policies. For instance, beauty retailer Olive Young indicated a 15% customs duty on U.S. orders, effective August 27, reflecting the new tariff rate on South Korean products. Similarly, distributors of Japanese matcha, like Emeri, have suspended U.S. deliveries indefinitely, citing unclear costs and processes as a significant concern. As shipping logistics adapt to these new rules, consumers may experience varied impacts. If a package is sent via a courier service familiar with customs processes—such as UPS, FedEx, or DHL Express—it might clear customs more smoothly, relieving some delays. Conversely, other services that have opted to pause deliveries may result in longer wait times or complications in the delivery process. Experts recommend consumers verify the status of their shipments and consider returning packages that may be delayed. There is also a significant concern about backlogged shipments at U.S. customs facilities as postal operators scramble to adjust to new regulations. According to Botond Szebenym, secretary general of PostEurop, careful measures are needed to prevent congestion at arrival points. As companies adapt to these changes, customers should prepare for not only increased shipping costs but also possibly longer wait times for their online orders. Erin Williamson, vice president of a logistics brokerage firm, cautions that the expectation of rapid delivery may be challenged as the situation unfolds: “Everybody is used to getting their package within five days. In my opinion, that’s going to be impacted a little bit.”