Until recently, sending packages valued at US$800 or less to the United States was a straightforward affair — these parcels could enter duty-free under the simplified “de minimis” exemption. But as of 29 August 2025, that convenience has ended.
The US government has removed this exemption, meaning low-value shipments that once sailed through without duties will now be subject to taxes, customs charges, and added paperwork. What does this shift mean for South African online retailers, and how can you successfully navigate these changes?
What’s Changed?
The key update is the removal of the automatic duty-and-tax exemption for shipments under the US$800 threshold. Starting 29 August 2025, nearly all parcels entering the US, even those valued below $800, will face duties, taxes, and formal customs processing.
During a transition period, duties may be calculated either via an ad valorem method — based on the product’s tariff rate and declared value — or a flat-rate specific duty in certain categories or countries. Eventually, the ad valorem approach will become the norm.
Another important detail: the old rule applied on a “per person, per day” basis. This meant splitting orders into multiple smaller parcels under $800 was risky, and customs have been cracking down on this practice. This per-recipient, per-day interpretation was a cornerstone of how US Customs and Border Protection (CBP) applied the de minimis exemption.
Why This Matters for South African E-tailers
The end of this exemption can significantly impact your bottom line. Products once entering the US duty-free will now attract tariffs or fixed fees, cutting into the already tight margins common in e-commerce. On top of that, shipments will require more detailed paperwork: correct HS/HTS codes, accurate commercial invoices, and, for some products, additional clearances from agencies like the FDA, CPSC, or FCC. Errors in documentation can cause costly delays.
This creates a new challenge at checkout. Unexpected duties at delivery often lead US customers to reject parcels or abandon their purchases altogether. The solution lies in clear, upfront communication about who covers these costs, alongside transparent landed-cost pricing at checkout to maintain trust and prevent lost sales.
South African E-commerce and the US Market: A New Reality
For many South African small businesses, artisans, and online stores, the US market was once accessible thanks to the $800 de minimis rule — a low barrier that allowed testing products like fashion, jewellery, art, and electronics accessories with minimal fuss and cost. That era has now passed.
Still, the US market remains within reach if you plan carefully. Factor duties into your pricing, partner with carriers skilled in customs, and pick fulfilment methods that handle documentation and landed-cost estimates. Working with express couriers offering Delivered Duty Paid (DDP) solutions can smooth out the buyer experience and make cross-border selling manageable as your business grows.
Important Logistics and Financial Considerations
Even when the de minimis rule was active, compliance wasn’t automatic. It applied on a per shipment, per day, per recipient basis, and customs were vigilant against attempts to split orders artificially to dodge duties.
South African exporters also had to keep a close eye on the fluctuating ZAR/USD exchange rate. Since the $800 limit is dollar-denominated, shifts in the exchange rate could push shipment values over the threshold unexpectedly. Careful monitoring of USD values remains crucial.
Strategic Tips for Managing Global Logistics
Start by recalculating your landed costs, including duties, taxes, customs brokerage, and carrier fees. Use conservative duty estimates at first, then refine once you know the exact HTS classification of your products. Building a margin buffer will help protect your profits.
Accurate product classification is essential. Incorrect HS/HTS codes are the top cause of surprise duties. Work with customs professionals or leverage carrier tools to ensure duties are estimated accurately before shipment.
Consider shipment consolidation to reduce customs processing fees per parcel, but balance this against delivery speed. Some carriers offer services to split or consolidate shipments for optimal cost and timing.
Think about storing inventory in US fulfilment centres. Having stock stateside means you can deliver domestically, avoiding customs hassles for your customers and eliminating repeated cross-border duties — a smart move for volume sellers.
Update your checkout to offer prepayment of duties or show transparent landed-cost estimates. Make sure your international returns policy is clear about who covers return shipping and duties, so customers know what to expect.
Avoid trying to ‘game the system’ by splitting one order into multiple parcels to dodge duties. This tactic is high-risk and likely to trigger penalties or seizure due to stricter enforcement.
Partnering with a Courier That Knows the Ropes
DHL offers automated landed-cost estimators, documentation checks, HTS classification support, DDP services, and shipment consolidation options to help ease this transition.
With DHL Express, you benefit from fast customs clearance and reliable door-to-door delivery — key for low-value exports that once sailed under simplified rules. Our global network and experience reduce transit uncertainties and administrative headaches.
For South African sellers new to US import regulations, DHL’s customs expertise lightens the load by handling paperwork and customs interactions, ensuring your shipments clear on time and without surprise costs.
Final Thoughts
The removal of the US$800 de minimis exemption marks a major shift for South African e-commerce sellers. Exporting to the US is no longer a simple, low-barrier process but one that demands careful planning and compliance.
By adjusting their pricing strategies, embracing Delivered Duty Paid models, and partnering with logistics providers that offer deep customs knowledge and smart solutions, South African businesses can adapt and continue tapping into the vast potential of the US market — all while keeping customers happy and confident.
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