Formal Entry Explained: Every Parcel from China Now Needs One
A package that once would have cleared U.S. customs in minutes — without paperwork and without duty — now is subject to the same entrance process as a container of industrial machinery. That’s the reality on the ground for any entity moving goods from China to the United States in 2026. The provision, known as de minimis, that used to protect low-value imports from formal customs processing has been stopped – first for China and Hong Kong, then for the rest of the globe. What follows is not a modest paper shuffle: This is a structural change in the way cross-border e-commerce works and will affect everyone from major marketplaces sending out millions of shipments a month to a tiny vendor sending out only a couple of samples.
This essay will explain what formal entry really is, how the laws have changed, how much it now costs to bring a parcel into the country and what practical solutions are available to sellers who established their business around the old model. Numbers, dates, and terminology herein are reflective of current U.S. Customs and Border Protection guidance as of mid-2026.
It is worth specifying to whom this applies. And not only the big marketplaces. If you’re a dropshipper fulfilling 10 orders a week, an Amazon seller refilling a warehouse, or a boutique brand importing a single sample run, everyone transporting goods from a Chinese facility into the United States is now working inside the same entry framework. The size of the shipment alters the paperwork load, but not the requirement for an entry whatsoever.
Besides the financial adjustment, there’s a psychological adjustment too. Customs has been background noise for sellers for a long time, but now they have to put it at the front end of planning – from product costs to delivery schedules. The hardest part of adjustment is typically the change of perspective, more than any one charge.
The End of an Era: What De Minimis Used to Mean
For about a decade, section 321 of the Tariff Act enabled any shipment valued at $800 or less to enter the United States without a formal customs entry, without duties, and with just minimal data supplied at the border. It dates back to the 1930s, when it was created to save customs officers the bother of dealing with goods too small to be worth the paperwork. As cross-border e-commerce exploded, that limited administrative advantage became the backbone of a whole economic paradigm. Direct-from-factory shipping platforms shipped goods from Shenzhen, Yiwu or Guangzhou right to the customer’s doorstep in the United States, with no duty collected and almost no friction with customs on the way.
CBP was expected to be processing four million de minimis shipments a day at its peak. Clothing, electronics accessories, minor household goods and myriad private-label products went through this channel and the prices consumers saw online had zero duty and near-zero clearance cost. That assumption is no longer valid.
It’s easy to overlook how firmly embedded that idea was into the wider e-commerce ecosystem. Almacenamiento decisions, product margins, advertising budgets, even the design of shopfront pricing pages — all based on a supply chain where customs was a nonevent. Erasing that non-event is not just a line item on a spreadsheet. It necessitates a rethinking of the whole cost structure behind a China-sourced product.
The Timeline That Changed Everything
The change did not come overnight. It happened in stages, each level tightening the regulations. The key dates are shown in the table below.
| Fecha | Qué cambió |
| 2 de mayo de 2025 | De minimis duty-free treatment ends for goods originating in China and Hong Kong. Every parcel, including postal items, now needs a formal or informal entry. |
| 29 de agosto de 2025 | The suspension is extended worldwide. Shipments from every country lose access to the $800 exemption, closing the loophole of routing Chinese goods through third countries. |
| Febrero 20, 2026 | A presidential action reconfirms the suspension with no restoration date, and CBP steps up parcel audits and penalties for non-compliant filers. |
| 24 de junio de 2026 | CBP formally suspends the de minimis administrative exemption for shipments valued at $800 or less through updated regulations, and announces a new electronic informal entry process, Entry Type 13, for international mail. |
| 24 de julio de 2026 | The new postal informal entry process takes effect, requiring a customs bond and a detailed electronic data set for mail shipments. |
| 22 de octubre de 2026 | Full compliance deadline for shipments carrying Partner Government Agency requirements or Chapter 98/99 provisions, which are excluded from the simplified mail process and must go through formal channels. |
It is a pattern worth observing. Each step filled the gap created by the previous one. When China and Hong Kong lost de minimis access in May 2025, several vendors started routing items through third nations to maintain the exemption. The global suspension in August 2025 closed the loophole. When informal postal shipments still provided a simplified one, the revisions in June and July 2026 added bond requirements and extensive electronic filing to an already restricted road. The same applies to the direction of travel. More coverage, more documentation and less opportunity for informal handling.
What Formal Entry Actually Means
Formal entry is the normal customs procedure used by the United States for commercial goods. It requires a full entry summary, a ten-digit Harmonised Tariff Schedule classification for each product, a declared country of origin, a bond covering possible duties and penalties, and payment of all applicable duties, the Merchandise Processing Fee, and, for ocean shipments, the Harbour Maintenance Fee. In the past, formal entry was required primarily for shipments valued at more than $2,500 or for goods that were under particular regulatory control such as food, pharmaceuticals or goods regulated by a Partner Government Agency.
Informal entry, in comparison, is a lighter technique generally used for goods valued $2,500 or less. It does require a customs declaration and duty payment, but it skips much of the paperwork involved in a formal entrance and, in many situations, does not require a bond. Because most single e-commerce shipments are well below the $2,500 threshold, informal entry has become the more popular route for direct-to-consumer shipments after the end of de minimis. That said, the difference between the two is more than just value.
Formal vs Informal Entry at a Glance
Value is the first filter CBP uses, but not the only one. Even a shipment under $2,500 can be pushed into the formal entry lane if it contains goods subject to antidumping or countervailing duties, or subject to quota restrictions, or subject to Section 301, 232 or IEEPA tariffs under certain HTSUS chapters, or if it requires sign-off from an agency such as FDA or the Consumer Product Safety Commission. As of October 2026, CBP has completely eliminated the simplified mail informal entry process for goods claiming duty-free treatment under Chapter 98, goods subject to duties under Chapter 98 or 99, goods claiming FTA preference and goods with Partner Government Agency requirements, thereby directing them to formal channels regardless of value.
Documents a Formal Entry Requires
A full formal entry package typically consists of a commercial invoice with accurate product descriptions and declared values, a packing list, bill of lading or air waybill, the proper HTSUS classification for each line item, proof of the customs bond, and any licenses or certificates required by a Partner Government Agency, if applicable. More often than not, a single shipment is not released on time but is being held at the port because of missing or incorrect information on any one of the documents.
The Real Cost Per Parcel
The financial impact depends on the goods and the origin and kind of entry, but the components are rather stable across shipments. The table below provides a summary of the major cost categories that now apply to a China-origin package that did not apply under de minimis.
| Artículo de costo | Rango típico | Notas |
| Entry filing / brokerage fee | $33 – $134 por entrada | Varies by broker and whether the shipment is informal or formal |
| Tarifa de procesamiento de mercancías (MPF) | 0.3464% of value, minimum applies | Charged on formal entries; a lower flat MPF applies to informal entries |
| Tasa de mantenimiento del puerto (HMF) | 0.125% del valor | Applies to ocean freight, not air or postal shipments |
| Section 301 / 232 / IEEPA duties | Product and origin dependent | Can stack, producing a combined rate well above the base tariff line |
| Fianza aduanera | $50,000 minimum continuous bond, or single-entry equivalent | Continuous bonds suit importers with recurring shipments |
| Retraso en el tránsito | 2 – 5 additional days | Reflects the added time for entry review and documentation checks |
To put this in perspective a real world example. Now, a $50 consumer product out of China can end up with a combined duty rate of around 35 percent when Section 122 and Section 301 measures are stacked on top of each other, which is about $17 or $18 in tariffs alone before entry fees and broking costs. In the case of postal shipments, carriers may instead use a flat duty per item that might be in the hundreds of dollars, and typically select whichever approach yields the lesser price for a given parcel. Either way, the days of $50 duty-free orders are ended.
Why Sellers Are Rethinking Their Fulfillment Model
Given these extra costs, direct-to-consumer vendors who built their company on delivering individual boxes from China are contemplating a handful of options. One is to carry on posting parcel by parcel and just absorbing or passing on the extra duty and entry fee. For low-value, low-margin products, this often renders the direct-ship model untenable, as a thirty-dollar entrance fee can be more than the profit on a single order.
Another choice is to ship in bulk to a U.S. warehouse, where customs are cleared once for the entire container, rather than for each individual parcel, and then fulfil domestic orders from that inventory. This dilutes the fixed cost of entry and broking over hundreds or thousands of units vs. one. It also reduces the delivery time customers experience as orders ship from within the US vs. crossing the Pacific separately. A third alternative, which is less frequently utilised but still applicable for some categories, is transferring sourcing to locations with lower overall tariff rates. However, this brings with it its own sourcing, quality and lead-time tradeoffs.
The risk profile of each of these pathways differs. Parcel-by-parcel shipments constrain working capital and prevent the upfront expense of massive inventory, but also locks in the highest per-unit entry cost and leaves margins vulnerable to any tariff adjustments. Consolidated fulfilment does bring down the per-unit cost dramatically, but it does require cash locked up in inventory sat in a warehouse in the US, and also the operational discipline to estimate demand well enough to avoid overstocking. While diversifying sourcing might lessen tariff risk over time, it’s seldom a quick process to approve a new facility, verify quality and re-establish supply chain ties.
For most established sellers moving meaningful volume, the second method, consolidated ocean or Flete aéreo combined with U.S. fulfilment, has become the more economically sensible route in 2026. It involves more forethought upfront, with a compliant customs bond, precise HTSUS categorisation across a comprehensive product catalogue, and a partner you can trust on both ends of the supply chain, but it removes the per-parcel entry penalty that currently applies to individual shipments.
How Topway Shipping Helps Sellers Adapt
And this is exactly the kind of shift that Topway Shipping was created to help with. Established in 2010, Topway Shipping in Shenzhen has been committed to China to U.S. for over fifteen years. logistics and customs clearance. The founding team adds that same depth of experience to the official entry scenario sellers today face.”
Topway Shipping takes care of the whole logistics chain a seller needs when moving away from parcel-by-parcel shipping: first-leg transportation from Chinese factories and warehouses, overseas warehousing in the United States, customs clearance performed with careful attention to proper HTSUS classification and paperwork, and last-mile delivery when the goods arrive at domestic customers. Topway Shipping also provides flexible full container load and less than container load ocean freight services from China to major ports around the world for sellers consolidating shipments, making it practical to combine SKUs from multiple suppliers into a single, properly documented formal entry instead of filing dozens of separate small parcel entries.
For the seller looking to transition from a de minimis-reliant approach to a bulk-import, US-fulfillment model without losing momentum, having one partner coordinate first-leg pickup, ocean freight, customs entry, warehousing and final delivery reduces a lot of coordination risk. It also implies that classification and documentation are done by a team that has been handling China-U.S. commercial conformity since long before the current formal entrance rules were in force.
That sort of end-to-end coordination is more important today than it was under de minimis, because a mistake anywhere along the chain, a missed HTSUS code, an expired bond, an inconsistent invoice, no longer merely risks a late delivery. It risks a hold, a penalty or surprise storage fees piling up at a U.S. port. When you consolidate all those moving components under one skilled logistics supplier, there are fewer locations for things to go wrong for a formal entrance and it’s less about convenience.
Practical Steps for Sellers Shipping From China
Basics Come Before Formal Entry. Obtain a U.S. importer number and an EIN if you don’t already have one. Establish a relationship with a licensed customs broker before your next shipment is scheduled to arrive, not after it’s held up at the port. Then, review your product catalogue and provide a proper ten-digit HTSUS code to each SKU. Misclassification is one of the easiest ways to cause delays, penalties or an unfavourable duty rate.
Then, pick a bond strategy. For someone who ships regularly, the continuous bond makes sense, because it covers all entries within a twelve-month period, rather than providing a fresh bond for each shipment. And it is worth verifying the product level documentation before the items have left China, not after they have arrived at a US port. Most often the customs hold is caused by a vague product description on the commercial invoice, a declared value that is rounded down or an inconsistent country of origin statement and a hold at the border almost always costs more in storage and demurrage fees than getting the paper work right the first time would have.
And finally, get the actual figures in your fulfilment model, not assumptions. Work out the landing cost of moving parcel by parcel against the cost of bulk shipments and fulfilling domestically including entry fees, bond charges and the duty stack that applies to your unique products. The comparison alone makes the case for a partner that can handle first-leg transit, customs clearance and U.S. warehousing under one roof for many sellers.
Common Documentation Pitfalls Worth Avoiding
Surprisingly, much of the delay sellers face following the de minimis suspension has little to do with the tariff rate itself, and everything to do with documentation that does not line up. One of the fastest methods to trigger a manual review is to submit a commercial invoice that describes the item generically (i.e., accessories, gift item, etc.) instead of the exact product name. Declared values that appear rounded, or that are suspiciously close to a value threshold, often attract comparable attention.
Another common trip point is country of origin statements, especially for vendors sourcing components from a handful of different nations and building the goods in China. But getting that declaration wrong isn’t a mere clerical error — it can prompt a formal audit and, in some situations, fines under CBP’s enforcement goals. Those have been ratcheted up in tandem with the overall push for greater parcel-level scrutiny. One of the easiest ways to keep a formal entry running on schedule is to make examining invoices, packing lists and HTSUS codes a practice before items ship rather than an afterthought to documentation.
Conclusión
Surprisingly, much of the delay sellers face following the de minimis suspension has little to do with the tariff rate itself, and everything to do with documentation that does not line up. One of the fastest methods to trigger a manual review is to submit a commercial invoice that describes the item generically (i.e., accessories, gift item, etc.) instead of the exact product name. Declared values that appear rounded, or that are suspiciously close to a value threshold, often attract comparable attention.
Another common trip point is country of origin statements, especially for vendors sourcing components from a handful of different nations and building the goods in China. But getting that declaration wrong isn’t a mere clerical error — it can prompt a formal audit and, in some situations, fines under CBP’s enforcement goals. Those have been ratcheted up in tandem with the overall push for greater parcel-level scrutiny. One of the easiest ways to keep a formal entry running on schedule is to make examining invoices, packing lists and HTSUS codes a practice before items ship rather than an afterthought to documentation.
Preguntas Frecuentes
Q: Is the de minimis exemption for China coming back?
A: There is nothing to suggest that. Since May 2025, the suspension has been extended and reconfirmed several times, and CBP has incorporated the present formal and informal entry requirements into its standard operating procedures, rather than establishing them as a temporary measure.
Q: What is the value threshold between formal and informal entry?
A: Informal entry is often used for shipments valued at $2,500 or less, and formal entry is typically for shipments exceeding that amount. Some controlled commodities may require official admission, regardless of value.
Q: Do I need a customs bond for every shipment from China?
A: Most formal entries demand a bond and many casual entries require a bond under the new postal entry guidelines. A continuous bond is generally more convenient than a single entry bond if you ship regularly.
Q: Is bulk shipping to a U.S. warehouse cheaper than shipping individual parcels?
A: For most product categories it is, as the expenses of entry, broking and bond are spread across a full cargo rather than being charged on each individual box. It also has the tendency to reduce delivery times for the final customer.
Q: Can Topway Shipping help with the full customs clearance process?
A: Yep. Topway Shipping offers the first leg transportation, overseas warehousing, customs clearance and last mile delivery plus flexible FCL and LCL ocean freight from China to key ports across the world which covers the entire path from a Chinese plant to a U.S. consumer.
