Understanding De Minimis Values in International Shipping

De Minimis Value refers to the threshold below which goods can enter a country without incurring customs duties or taxes. This value plays a critical role in international e-commerce, as it impacts shipping costs, delivery timelines, and customer satisfaction. Knowing each country’s de minimis value helps businesses manage expectations, set prices strategically, and avoid surprise charges for customers.

Recent changes have impacted this landscape significantly. For example, the United States has removed the $800 de minimis exemption for imports from China, meaning low-value shipments from China now face duties and require formal customs clearance. Meanwhile, the EU and UK continue to apply VAT on nearly all imports, regardless of value, but still maintain customs duty thresholds.

Each country maintains its own de minimis rules. These may differ for duties and taxes (like VAT or GST). For example, a country might exempt shipments under $150 from customs duty but still charge VAT.

⚠️ If the de minimis value is 0, all imports are subject to duty and/or tax, regardless of value.

Recent update highlights:

Some countries have special rules:

Australia applies GST to all imports, even below its AUD $1,000 threshold for duty. Merchants exceeding the GST registration threshold must collect GST at checkout on low-value goods.

Brazil generally has a very low de minimis threshold, though informal postal shipments may sometimes avoid taxes under USD $50. However, VAT and other import taxes apply widely.

Canada has a low threshold for most countries (CAD $20), but thanks to the USMCA (CUSMA) agreement, shipments from the U.S. and Mexico can be exempt from duties up to CAD $150, and exempt from GST/HST up to CAD $40.

China has no de minimis threshold for e-commerce or courier shipments, meaning duty and tax fees apply to all e-commerce imports. For personal consumption imports, the de minimis threshold is 50.00 CNY. Duty and tax are only charged on personal imports with a CIF value exceeding 50.00 CNY. Personal shipments with an order value below this threshold are considered duty and tax-free imports.

Although Colombia's general tax de minimis is 0, personal shipments from the United States to Colombia have a tax de minimis threshold of 200 USD.

The European Union removed its €22 VAT exemption in 2021. Now, all goods are subject to VAT, regardless of value. However, customs duties are still waived below €150. Many merchants now use the IOSS system to handle VAT at checkout for smoother delivery.

Hong Kong does not impose duties or taxes on imports.

The duty and tax de minimis do not apply to certain products from Japan that receive preferential treatment. However, these products must meet specific qualifications to be eligible.

The de minimis values apply only to B2C (business-to-consumer) shipments.

For shipments to South Korea, the de minimis threshold is 200 USD for shipments from the United States and Puerto Rico and 150 USD for shipments from the rest of the world.

In Liechtenstein, duty is waived if the amount payable is under 5 CHF, and VAT is waived if the VAT payable is under 5 CHF. For instance, if the VAT payable is under 5 CHF but the duty payable exceeds 5 CHF, the VAT is waived, but the duty still applies.

Macau does not impose duties or taxes on imports.

New Zealand has a NZD $1,000 duty threshold, but requires GST (15%) on all imports. Overseas sellers may need to register and collect GST depending on annual turnover.

Under Norway’s VOEC scheme, if your annual sales to Norway exceed 50,000 NOK, you must register and remit VAT on shipments where all items are valued at or below 3,000 NOK, bypassing the customs clearance process. The VAT is remitted quarterly to the tax authority by the registered sender. The VAT de minimis is 0 within this scheme, and no duty is charged. Outside the VOEC scheme, the VAT and duty de minimis values are 350 NOK.

Qatar’s duty and tax de minimis threshold is 0 QAR for non-personal shipments and 1,000 QAR for personal shipments.

Russia’s de minimis threshold is 200 EUR, with an accompanying weight limit of 31kg. If the value or the weight exceeds these thresholds, the shipment is no longer considered a low-value personal shipment, and the importer must hire a broker for customs clearance.

Although Singapore's de minimis threshold is 400 SGD, if you sell 100,000 SGD (cost of goods only) worth of low-value goods into Singapore within a 12-month period or if you sell, or expect to sell, more than 1 million SGD (CIF) globally within a 12-month period, you must register, collect, and remit GST on all orders into Singapore.

Svalbard does not impose duties and taxes on imports.

The United Kingdom follows a similar structure to the EU post-Brexit: no VAT exemption, and no customs duty for shipments under £135. VAT is typically collected at the point of sale for items under this amount.

The United States maintains an $800 de minimis threshold for most countries, allowing duty-free imports below this value. However, this no longer applies to shipments from China or Hong Kong. As of early 2025, those shipments must go through full customs processing and may incur duties.

For high-value orders, consider splitting shipments to keep each under the De Minimis Value, where possible. This can help avoid additional taxes and duties.

Communicate with your international customers about potential duties and taxes for orders exceeding the De Minimis Value. Transparency can build trust and prevent unexpected costs.

Implement Swap Global to automatically calculate duties and taxes at checkout based on the destination country’s tax rules. This ensures accurate pricing and a smoother customer experience.

De Minimis Values can change due to policy updates. Staying informed about these changes ensures compliance and allows you to adjust your shipping strategies accordingly. Regularly review international trade regulations and consult with experts to keep your business up-to-date. This article is not a substitute for legal advice.