Importing goods can be a tedious process to navigate the customs process. But with section 321 customs, eCommerce retailers can avoid expensive taxes and fees that often come with importing items from overseas.

Entry Type 86 Test is accessible to owners, purchasers, consignees and designated custom brokers of low-value shipments imported via all modes of cargo transportation. This test allows traders to electronically submit de minimis entries through the Automated Commercial Environment (ACE).

Cost-effectiveness

Section 321 customs are an excellent way to save money on international shipping and logistics expenses. This law permits shipments with a retail value of under $800 to enter the US duty-free and taxed.

Businesses importing goods from China can benefit from Section 321 by avoiding tariffs and duties imposed during the US-China trade war (Section 301).

Furthermore, Section 321 can help expedite the importing process. As shipments are cleared more quickly, everyone in the supply chain benefits.

Finally, Section 321 offers businesses who require quick product shipping a cost-effective option. By using strategically located hubs, they can streamline the process and speed up shipments to buyers.

Section 321 customs have provided companies with the opportunity to save money on import costs, but it’s essential that shipments be filed correctly with the correct forms and that they meet the de minimis value threshold. Having a reliable customs broker who understands these requirements can be essential in avoiding penalties or costly errors.

Time-saving

Section 321 customs can assist e-commerce merchants in circumventing some of the most time-consuming challenges in international supply chains. This could reduce shipping delays, cut costs associated with logistics operations and enable them to scale their business more effectively.

In a post-COVID19 world, Section 321 shipments can be especially beneficial as ecommerce grows and businesses need to quickly respond to sudden surges in demand by importing goods duty free. Furthermore, section 321 allows for simplified processes which in turn improve customer experience.

The de minimis value threshold for these shipments has now been raised to $800, making clearance processing simpler and cross-border trade more accessible. Furthermore, this reduces paperwork for low-value shipments entering the United States.

Tax-free

Section 321 customs is an efficient solution for businesses to import goods from abroad at lower costs. It utilizes CBP’s Automated Commerce Environment (ACE), allowing shipments with a de minimis value of $800 USD or less to enter the US duty-free.

eCommerce businesses will find this to be an advantageous solution, as it simplifies importing processes and saves them money. However, it’s essential to note that Section 321 has a daily limit of one shipment per company per day.

Importers who fail to properly file their shipments can face serious compliance issues. To guarantee the correct process, hiring a professional customs broker is the best course of action.

It’s essential to be aware that certain goods do not qualify for Section 321 shipments, such as cigarettes, products requiring inspection and merchandise subject to anti-dumping or countervailing duties. Before importing goods from China and other countries, be sure to be aware of all restrictions.

Competitiveness

eCommerce brands with a well-designed supply chain that utilizes section 321 customs to import products into the US can gain an edge in the competition. Not only does this eliminate delays in their deliveries, but it also allows companies to scale up faster.

This exemption from tariffs and formal entry requirements enables importers to ship their goods with less paperwork, cutting the cost of doing business in the U.S. It can also increase the visibility of goods entering the country.

However, there is a catch: companies must submit only one 321 claim per day or else risk incurring an expensive fine.

Furthermore, section 321 shipments may only be worth $800 or less in total value. This small price to pay for the opportunity to impress Customs and Border Protection with transparency and innovation is well worth it.