Businesses have counted on the de minimis exemption for years to import goods valued at less than $800 into the United States duty-free and tax-free. The policy allowed e-commerce brands to expand quickly by leveraging worldwide sourcing and inexpensive fulfillment models. But not anymore.

In a dramatic about-face, the White House has signed an executive order closing down this loophole, effective at once. Though the initial timeline had been 2027, the expedited rollout has companies in need of coming into compliance by August 29.

It is an unexpected and acute issue for companies that utilize low-value foreign shipments to bring product to American consumers. Prices will increase, timelines will change, and hundreds of brands will be scrambling.

But there’s a different perspective.

Disruption always brings opportunity for those who’re willing to make the transition.

American Warehouse is already helping brands change their fulfillment models to keep pace with this shift. If you’re shipping internationally and need a reliable 3PL partner for local fulfillment, or you’re bringing stock back to rehash the compliance complexity, we’re able to help you stay competitive. And we can do it fast.

Our Portland, Oregon, facility well-positioned, along with our history of working through tough-to-navigate regulatory landscapes, is your assurance that you don’t have to go it alone.

What you need to do next:

  • Evaluate your existing fulfillment method  
  • Shelf stock to in-market partners prior to the implementation of the new regulations
  • Select a 3PL provider that can scale with you and easily adjust
  • E-commerce is not slowing down. Customer expectations remain high. What’s shifting is how companies will have to get it done. 
  • We should urge companies to get ahead now if they wish to succeed in this new reality. Procrastinating will equate to delays, increased expense, and lost customer trust.