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Mexico increases de minimis threshold for US goods

Sep '18
Courtesy: Sylvie Tittel on Unsplash
Courtesy: Sylvie Tittel on Unsplash
Accepting a key request of the Trump administration, the Government of Mexico has raised ‘de minimis’ threshold from earlier $50 to $100. The term de minimis refers to the value below which goods can be shipped into a country before duties and taxes are assessed. As a result, Mexicans will now be able to import goods valued up to $100 duty-free from the US.

“This decision is a positive step forward for promoting trade and economic opportunities for small businesses,” Ebay said in a statement. “Lowering trade barriers is critical to supporting small business growth and creating more access to goods for buyers on a global basis.”

Countries have different de minimis thresholds that allow low-value shipments to cross borders with minimum effort, allowing for stronger global trade. Currently, the threshold of Canada is $20, i.e. Canadian citizens can import products valued only up to $20 duty-free from the US. On the other hand, the threshold of US is $800, which means US citizens can import $800 worth of goods duty-free from abroad.

The Ebay Government Relations team has long advocated that countries raise their de minimis thresholds to promote trade. “We will continue to advocate for higher de minimis levels on behalf of our customers,” the statement said. (RKS)

Fibre2Fashion News Desk – India

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