Kate Muth, Executive Director at International Mailers Advisory Group (IMAG) brings us up-to-date with the latest news on de minimis and EU customs reform. Indefinite suspension on US de minimis Customs and Border Protection (CBP) testing new informal entry type for shipments under $2500 Changes to de minimis around the world Implications for postal operators Tariffs and the post De minimis exemption for genuine gifts EU customs reform Impact on goods under €150 entering the EU DDP, DDU, and EU customs reform Other cross-border and customs news

Ep 398: De minimis changes and EU customs reform

Postal Hub podcast

# Full Transcript

**Podcast:** Postal Hub podcast

## Transcript

Welcome to episode 398 of the Postal Hub Podcast. I'm Ian Kerr. Joining me in a moment is Kate Muth, Executive Director at iMAG and we're going to talk about de minimis in the USA as well as the changes that are happening across border e-commerce in the EU. So coming up in just a moment, Kate Muth, Executive Director at iMAG.

Joining me on the line is Kate Muth. Kate is Executive Director at iMAG International Mailers Advisory Group. And Kate, we've got some breaking news from our friends at CBP, Customs and Border Protection, regarding de minimis and things like that. What's happening, Kate? Kate Muth, Executive Director, IMAG International Mailers Advisory Group. Yes, lots of breaking news. This is fresh off the press in our, what we call our Federal Register. Rulemaking from CBP actually is a couple of things.

First of all, there was the indefinite suspension of the de minimis exemption for mail shipments and for all modes of entry into the US. So this is an extension of the executive order from last year's recall that ended the de minimis for low value goods. Now this gets carried out until it actually takes, until de minimis is actually ended by statute through legislation on July 1st, 2027. But the bigger piece of this is that the rulemaking creates this new postal informal entry process, which I'll describe here in a minute.

And then there was also CBP released what they call a general notice to conduct a test of a new electronic informal entry type for mail, for international mail or what they're calling type 13.

And so informal entry is the process for mail shipments valued at under $2,500 or less. This is going to replace the interim process that we have right now, which is that whole qualified party process that allows for a qualified party to collect and remit duties to CBP from the foreign postal operators.

So we have what we will have an interim process, which will kind of expand that manual qualified party program. And then a test will undergo a more automated process for mail shipments that will take effect in the future, which will also require another rulemaking down the road to make it permanent.

So you mentioned that it's going to be legislation to permanently remove de minimis. So is that really going to, how shall I put it now, remove some of the uncertainty that there's been over the last 11, 12 months with regard to de minimis and items in the postal channel going into the U.S.? Is that going to be certainty, do you think, from that point on?

Yeah, I mean, that's actually legislation that's already passed. It's in law now. That came out of last year's budget bill, the one big, beautiful bill, if you recall that bill, which was part of it is to end the de minimis exemption on July 1st, 2027.

So this effectively kind of ends it for good. We've got this indefinite suspension that will take us to then. And also, I think if I'm reading the tea leaves, th...

Ep 398: De minimis changes and EU customs reform

Transcript

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Ep 398: De minimis changes and EU customs reform

Transcript

Built for investment professionals

Every day you wait, your competitors are findingedge in conversations you're not hearing.

Every day you wait, your competitors are finding
edge in conversations you're not hearing.