On April 2, 2025, an Executive Order eliminated duty-free de minimis treatment for low-value imports from China and Hong Kong, effective May 2 at 12:01 a.m. ET. This change signals a significant shift for international ecommerce, especially for brands that have long relied on the $800 threshold to offer fast, affordable shipping to U.S. consumers without triggering duties and taxes.
The de minimis exemption has been a key driver of growth for cross border ecommerce—helping global sellers keep costs down and margins intact. But as policymakers scrutinize trade imbalances and seek greater compliance, the landscape is evolving fast.
SEKO, in partnership with CustomsCity, is helping companies adapt to this new environment by launching a next-generation solution that blends compliance-first logistics, automated duty calculation and flexible routing—empowering international sellers to remain competitive, even as regulations tighten.
The Impact of Losing De Minimis
For years, ecommerce brands shipping from overseas have leaned on de minimis as a strategic advantage. It simplified U.S. customs clearance and allowed merchants to offer duty-free pricing to consumers without backend complexity.
With the removal of this exemption for China and Hong Kong—and the potential for further rollbacks globally—the implications are clear:
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Duties and taxes now apply to many low-value shipments.
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Total landed costs are rising, affecting price competitiveness.
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Manual customs processes can slow deliveries, creating uncertainty for customers.
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Compliance risks increase, particularly around product classification and valuation.
This shift puts pressure on ecommerce brands to rethink how they manage cross border fulfillment, pricing and customer experience.
Why the Right Logistics Strategy Still Wins
While the rules of the game are changing, the expectations of online shoppers have not. They still want affordable shipping, fast delivery and transparency at checkout. That means sellers must find new ways to meet these demands without depending on outdated clearance models.
Relying on legacy postal systems or absorbing rising duties isn’t sustainable. Instead, brands need to adopt a post–de minimis logistics strategy that ensures:
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Compliance with evolving customs regulations
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End-to-end shipment visibility
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Upfront pricing accuracy
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Operational efficiency at scale
The key is to blend technology and logistics in a way that delivers both control and flexibility—and that’s exactly what SEKO is offering.
The SEKO + CustomsCity Solution
To help international sellers adapt quickly and confidently to the Executive Order, SEKO and CustomsCity have partnered to develop an integrated logistics and compliance platform.
This isn’t a temporary patch. It’s a comprehensive, scalable solution tailored for modern ecommerce, offering:
1. Duty and Tax Calculator at Checkout
Consumers want to know exactly what they’ll pay at the time of purchase. SEKO’s duty calculator, powered by CustomsCity, provides real-time landed cost visibility—including duties, taxes and shipping—so customers aren’t surprised by post-delivery fees.
2. Automated Classification and eManifest Filing
SEKO’s platform supports Type 1 and Type 11 entry filings, ensuring accurate, efficient customs declarations. The system automates classification based on product data and integrates directly with Customs and Border Protection (CBP) via CustomsCity’s Automated Commercial Environment (ACE)-compliant technology.
3. Seamless Integration of Logistics and Clearance
Unlike fragmented solutions, SEKO combines logistics, clearance and compliance into one streamlined service. Brands can use SEKO’s end-to-end offering or simply license the tech—whichever best fits their existing operation.
4. Hybrid Routing for Speed and Cost Efficiency
By blending the strengths of parcel and postal networks, SEKO offers faster-than-post transit at rates that remain lower than express options, giving sellers the control they need without compromising cost-effectiveness.
Why This Model Works Post–De Minimis
As ecommerce sellers adjust to new customs requirements, many are searching for a de minimis alternative that allows them to preserve shipping reliability without exposing themselves—or their customers—to unexpected duties and delays.
SEKO’s solution directly addresses those concerns by offering:
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Transparent pricing at the point of sale
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Automated compliance tools to reduce manual intervention
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Multiple entry types to suit different shipment profiles
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A flexible service model with options for logistics, tech or both
This approach not only ensures CBP compliance—it also protects the customer experience, which is critical for maintaining brand trust and repeat business.
How Global Sellers Can Future-Proof Their U.S. Strategy
Losing de minimis doesn’t mean losing competitiveness. It simply requires smarter planning. SEKO recommends international sellers consider the following strategies:
Reposition Inventory Strategically
Consider using bonded warehousing to defer duty payments until goods are sold or withdrawn from inventory. This improves cash flow and gives brands more flexibility in handling returns and demand surges.
Automate Compliance Wherever Possible
Manual customs clearance is time-consuming and error-prone. Automating classification, documentation and declarations through SEKO’s platform reduces delays and keeps shipments moving.
Adapt Routing Based on Shipment Value and Volume
SEKO’s ability to file both Type 1 and Type 11 entries allows sellers to select the most appropriate option for each shipment. This adaptability is key as policy enforcement continues to evolve.
SEKO’s Commitment to Reliable, Compliant Ecommerce Logistics
More than a logistics provider—SEKO is a strategic partner with deep experience in ecommerce import compliance, cross border fulfillment and technology integration.
SEKO has been tracking regulatory developments closely and is building the tools needed to keep your supply chain agile and informed. Whether you need:
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A turnkey logistics + compliance service
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A duty calculator integration
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Advice on adapting your strategy
SEKO is here to help—with the infrastructure, insights and support you need to compete in a post–de minimis environment.
Compete Smarter in the Post–De Minimis Era
The removal of de minimis exemptions for China and Hong Kong marks a turning point for global ecommerce logistics. But with SEKO, it doesn’t have to be disruptive.
SEKO’s new platform—powered by CustomsCity—combines real-time landed cost calculation, automated customs entry and flexible shipping solutions into one unified experience. Whether you’re a marketplace, direct-to-consumer (D2C) brand or retailer, SEKO helps you stay fast, compliant and cost-effective.
Redefine your ecommerce shipping with SEKO. Contact SEKO today to build a post–de minimis logistics strategy that keeps you ahead of the curve.