Cross-Border Shipping Changes: U.S. De Minimis Ends

Cross-Border Shipping Changes: U.S. De Minimis Ends

On August 29, 2025, the U.S. will remove its de minimis threshold, meaning all Canadian shipments, regardless of value, could face duties, taxes, tariffs of 35% and added clearance steps. This is a major change for cross-border eCommerce, and businesses that ship to U.S. customers need to act now—netParcel is here to help you adapt.

The following represents how the order processing journey will look a little differently. Please see the table below, which demonstrates how you can bill customs, duties and clearance fees as of August 29th.

Cross-border shipping billing options comparison table
  • * UPS and Purolator shipments may only use Broker accounts for shipments with a value of $800+
    ** Canada Post Broker option will require a Zonos account, which will be available ASAP


Your Options, Explained

1. DDP – netParcel Account 

  • Payment for all customs, duties and taxes, along with freight charges, will flow directly through your netParcel account.

2. Carrier Account

  • If you have an existing brokerage account with a specific carrier, billing may flow through that account, provided brokerage is enabled.
  • This does not apply to Purolator account numbers.

3. Bill to third-party broker ( Livingston Intl., ACB Customs, etc.)  

  • Billing would flow through your individual brokerage account. 
  • Please Note: Our carrier partners have advised that communication of information for this approach (between carrier and brokerage) may be delayed, which could result in returned shipments and fees.

4. DDU – Receiver 

  • Your receiver is responsible for duties, taxes and other customs-related fees.
  • If refused, your netParcel account will be billed for any applicable customs or return fees

Rate Cards

Please refer to the carrier rate cards below for clearance and brokerage fee structures.
UPS: Click Here (pages 192-196)
Purolator: Click Here (page 211)
DHL: Click Here
FedEx: Click Here

Things to Consider

IEEPA (International Emergency Economic Powers Act)

Duties are assessed based on the origin of the product (country-specific IEEPA rates). Please Click Here for further details.

CUSMA (United States–Mexico–Canada Agreement)

CUSMA remains in effect. If products are compliant and have a certificate attached to your parcel, netParcel will enable notifications to the carrier/broker in question, which would result in IEEPA exemption. Please Click Here for more information.

NOTE: A CUSMA processing fee may be applicable (for example, the UPS Fee is $21.25 USD per line item on the customs invoice)

Potential Additional Fees

Due to the elimination of the de Minimis rule, shipments may be subject to the fees listed below:

  • – Entry Preparation Fee
  • – Brokerage Disbursement Fee
  • – Merchandise Processing Fee
  • – Bond Fees (if Applicable)
  • – Additional Tariff Lines (if applicable)
  • – FDA Clearance (if applicable)
  • – USDA Clearance (if applicable)

Any shipment going DDU (with Purolator or UPS) will be subject to an ICOD fee of $12 USD. This fee will be applied on top of the applicable duties, taxes, and brokerage fees.

Additional Resources

To help our merchants navigate these changes, we’ve pulled together key resources to keep you informed and prepared. Look up accurate HS Codes, use duty/landing cost calculation tools to estimate costs before shipping, review the most up-to-date U.S. tariff rates by country, and follow the White House website for official announcements and press releases as policies evolve. These resources will help you stay proactive and make informed decisions as the new rules take effect.

Next Steps

netParcel is actively working to support our merchants through these changes by making some changes to our platform and process, including:

  1. Adding real-time duty calculation at checkout
  2. Simplifying the commercial invoice and document uploading
  3. Partnering with industry experts for up-to-date guidance

netParcel is Here to Help

The removal of the U.S. de minimis threshold marks a significant shift in cross-border eCommerce, but with the right tools and preparation, Canadian businesses can continue to serve U.S. customers effectively. At netParcel, our goal is to make this transition as seamless as possible by equipping you with updated resources, more innovative tools, and quality support.

We’ll continue to share updates and guidance as the new rules take effect—helping you stay focused on growth while we help manage the complexity at the border.

Further Reading

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Supreme Court Ruling on U.S. Tariffs

UPDATED February 23, 2026 U.S. Customs and Border Protection (CBP) has issued a notice stating that duties imposed under IEEPA will no longer be assessed/collected beginning at 12:00 a.m. EST on February 24. Starting at 12:01 a.m., those duties will be replaced by a new 10% global tariff under Section 122. In effect, the change […]

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netParcel remains committed to keeping our customers informed on the latest CBP-related news, and would like to share an important update regarding the recent developments in the IEEPA tariff refund process. First Steps As of April 20, 2026, U.S. Customs and Border Protection (CBP) has officially launched the Consolidated Administration and Processing of Entries (CAPE) […]

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