US imposes new taxes on all low-cost parcels, axing the $800 “de minimis” exemption

by | Aug 29, 2025

From today (29th August 2025), low-cost parcels entering the US will face new taxes as President Trump cuts tariff exemption

Under new US import rules, all packages valued at under $800 (approximately £590) will face the same tariff rate as other goods from their country of origin – for the UK that’s 10%.

Due to these changes, exports to the US that previously qualified for the de minimis will likely see increased costs due to new tariffs and processing fees. And, carriers will face increased customs declaration requirements, which may cause disruption or delays while systems are updated.

If all relevant paperwork is completed by the importer, parcels will face a 10% duty cost. Or, a specific cost will be imposed ranging from $80 to $200 per item. 

Under the changes, businesses will face more paperwork and additional data requirements when shipping to the US.

This change will impact UK beauty businesses selling personal care goods directly and those shipping to third party sellers in the US. 

The Department for Business and Trade have noted that ‘a full customs process will now apply to exports to the US’. 

The information you provide must be complete and accurate, where previously some fields were optional. This includes:

  • Accurate product descriptions
  • Country of origin for each item and component parts, as Section 232 tariffs will also apply to component parts based on their country of origin
  • Harmonized System (HS) codes. Please consult the UK guidance for UK export purposes and US guidance for US import clearance purposes.

According to the Value of Beauty report, the US is the third largest export destination for the UK personal care industry. Under the new rules, this trading relationship will undoubtedly be affected with President Trump introducing measures to promote the making and selling of goods in the country. 

Beauty businesses are taking measures to either absorb the cost or pass this to US consumers. In April this year, Space NK announced it was halting online purchases for U.S. customers whilst it worked on how best to tackle the new measures. 

Victoria Brownlie, Chief Policy and Sustainability Officer at the British Beauty Council said: ‘The imposition of new tariffs on shipments to the US will undoubtedly have a drastic impact on the way we trade with American consumers. What’s more, these changes will have a unique impact on small businesses, of which more than 80% of UK beauty brands are. We are working closely with the Department for Business and Trade to ensure the challenges faced by our sector are reinforced.’ 

We actively encourage brands and businesses to get in touch to discuss the impact of the new rules on their businesses. Please get in touch with the team via joinme@britishbeautycouncil.com.

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