Section 321 Imports Compliance and Best Practices in 2025

Section 321 imports refer to a U.S. Customs regulation that allowed shipments valued at $800 or less to enter the country duty- and tax-free. This exemption aimed to simplify low-value imports by reducing costs and paperwork, making it easier for businesses and consumers to ship goods internationally without facing the usual customs charges.

As of August 29, 2025, the Section 321 de minimis exemption has been fully suspended for all countries and shipments, meaning all imports now require formal customs entry and may incur duties and taxes regardless of value. This change marks a significant shift in how low-value goods are processed and directly impacts ecommerce businesses and consumers used to duty-free imports under this threshold.

Understanding what Section 321 once offered and how its suspension affects current shipping practices is crucial for anyone involved in cross-border trade. Adjusting to these new rules will influence costs, compliance strategies, and supply chain decisions going forward.

Understanding Section 321 Imports

Section 321 imports allow low-value shipments to enter the U.S. duty-free, offering specific financial and operational advantages. This provision’s criteria and benefits shape how businesses manage cross-border shipping and customs compliance.

Definition of Section 321 Imports

Section 321 is a U.S. customs regulation that permits shipments valued at $800 or less, per recipient per day, to enter the country without paying duties or taxes. This is often called the “de minimis” rule. It applies primarily to goods imported for personal use or resale by e-commerce businesses. The regulation simplifies customs processing by exempting low-value parcels from formal entry requirements, reducing paperwork and clearance times.

Shipments exceeding the $800 threshold do not qualify and must comply with standard import duty rules. Section 321 is designed to accelerate international trade for small shipments while easing the administrative burden on both importers and customs agencies.

Eligibility Criteria

To qualify under Section 321, shipments must meet several requirements:

• Value limit: The total retail value must not exceed $800 per recipient per day.
• Shipment type: Applies to merchandise entering the U.S. as a single international shipment or combined by the carrier.
• Importer: The recipient must be a person or company that can legally receive imports under U.S. customs law.
• Purpose: Goods should not fall under restricted categories or require special permits.

Compliance with these criteria is essential to avoid delays or penalties. Carriers and importers must ensure accurate declaration of shipment value and details to leverage this provision effectively.

Program Benefits

Section 321 imports offer several tangible benefits:

• Duty and tax exemption: Goods valued at $800 or less enter duty-free and tax-free, reducing costs.
• Faster clearance: Shipments are processed more quickly since they bypass full customs entry and extensive inspections.
• Paperwork reduction: Minimal paperwork is required, cutting administrative workload.
• Improved supply chain efficiency: Faster transit and lower costs enhance operational workflows, especially for e-commerce businesses.

These benefits make Section 321 a valuable tool for companies managing frequent, low-value cross-border shipments, improving competitiveness and customer satisfaction.

Section 321 Import Procedures and Compliance

Section 321 imports require careful attention to customs declaration, necessary documentation, and adherence to specific regulatory limits. Compliance with these elements ensures shipments remain eligible for duty-free treatment and avoids delays or penalties.

Customs Declaration Process

Importers must accurately declare shipments qualifying under Section 321. This involves submitting detailed shipment information to U.S. Customs and Border Protection before arrival. The declaration includes the shipment’s fair retail value, description of goods, and consignee details.

Because Section 321 shipments are eligible for expedited processing, proper and timely declarations can significantly reduce clearance times. Carriers or customs brokers often assist with submission, ensuring compliance with customs security and safety standards.

Failure to declare shipments correctly may result in the loss of duty exemption and increased inspections, negatively impacting transit speed and cost.

Common Documentation Requirements

Key documents for Section 321 imports include:

• Shipment invoice detailing item descriptions and values
• Bill of lading or airway bill outlining transport details
• Proof of delivery or purchase order supporting the transaction
• Importer’s identification such as an EIN or social security number

All documents must clearly reflect the shipment’s value, not exceeding $800 per recipient per day. Proper documentation enables customs to verify eligibility for duty-free entry.

Importers should maintain accurate records in case of audits or compliance reviews. Incomplete or inaccurate paperwork can lead to shipment delays, duty charges, or refusal.

Regulatory Restrictions

Section 321 shipments must comply with federal regulations that prohibit or restrict certain goods. Items such as alcohol, tobacco, firearms, and some hazardous materials are excluded from duty-free status regardless of value.

Additionally, the total value per recipient per day cannot exceed $800. Combining multiple shipments to circumvent this limit is a violation.

Importers must also adhere to any product-specific safety or import restrictions, including labeling and licensing requirements. Non-compliance risks seizure or fines, even if the shipment is under the value threshold.

Regular updates to U.S. Customs regulations may affect Section 321 eligibility, so staying informed about current restrictions is essential.