In the current climate, cross-border retailers are feeling unsettled as the trade negotiations are set to begin between the UK and the EU. With a “hard Brexit” on the cards and the recent general election, this unease isn’t surprising. Fortunately, changes over the past year made selling to the US simpler.
This is due to the increase in the de minimis customs value. As well as explaining what the de minimis value is, below some ways are outlined how you can capitalise on this change, and expand your customer base by selling to the US.
What does it mean?
The de minimis customs value is the amount Americans can import free of duties and taxes. In 2016, this figure was increased from $200 to $800 after remaining the same for 20 years. UK businesses can therefore avoid tariffs previously in place for parcels over $200 when shipping parcels into the US, making cross-border selling easier – and far more appealing.
For companies already selling to the US, this is a great opportunity to sell higher-end products and grow your customer base. Alternatively, for those who haven’t yet taken the plunge, this could be a time to consider looking at the possibility of expanding to the States.