
De Minimis Exemption Slated to End in 2027
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What It Means for Apparel Brands That Import from Overseas
One of the biggest cost-saving tools for small apparel brands—the de minimis exemption—is set to disappear in 2027.
This exemption currently allows goods valued under $800 to enter the U.S. duty-free, helping direct-to-consumer brands and small importers avoid high tariffs. But with increasing political pressure and trade tensions, especially involving fast fashion giants, the clock is ticking on this advantage.
Here’s what brands need to know, and how to prepare.
What Is the De Minimis Exemption?
Under current U.S. law, imported goods valued under $800 per shipment can bypass tariffs and customs duties. This has been a massive benefit for:
Small brands shipping samples or small-batch goods
DTC brands using fulfillment centers in Asia
Importers testing products in the U.S. market
It’s especially common with express couriers like DHL, FedEx, and UPS.
What’s Changing?
As of 2027, legislation backed by both parties is expected to remove or severely limit this exemption—particularly targeting countries like China.
This would mean:
Every shipment would be subject to duties
Brands would need a customs broker or formal entry process
Increased landed costs on small-value imports
More delays and paperwork at customs
Who’s Affected?
Small brands sourcing directly from overseas
Startups importing samples or testing the U.S. market
DTC brands with no U.S. distribution hub
Ecommerce sellers relying on low-cost fulfillment from China, Vietnam, Bangladesh, etc.
If you’ve been shipping small quantities under $800 per invoice to stay duty-free, this change will directly hit your margins.
How to Prepare Now
The phase-out may be gradual, but brands should start adapting today.
Steps to take:
Plan for duty-inclusive pricing in your forecasts
Consolidate shipments to reduce frequency and manage customs costs
Move inventory to a U.S. fulfillment center or 3PL
Shift to full container or LCL shipping with proper customs clearance
Explore bonded warehouses for deferment
At [smpl], we’re already helping our clients prepare for a post-de minimis world with flexible production plans and smarter shipping options.
The Bottom Line
The de minimis exemption helped small brands grow fast. But by 2027, that chapter may close. If you depend on low-volume international shipping, now’s the time to future-proof your supply chain and rework your landed cost model.
Need help navigating what’s next? [smpl] makes it easier—with sourcing, production, and logistics support built for the new rules.