As global cross-border e-commerce continues to expand, the import of low-value goods has become increasingly common. However, recent policy changes are forcing sellers to reconsider this seemingly convenient trade practice. U.S. Customs and Border Protection (CBP) is intensifying inspections of imported goods, particularly low-value shipments, requiring heightened vigilance from online sellers.
1. Stricter Examination of Low-Value Shipments
To combat undervaluation and misdeclaration, U.S. Customs has implemented more rigorous inspection measures, with special attention on Type 86 clearance entries for low-value goods. Under new regulations, sellers must submit comprehensive datasets—including detailed product descriptions and HS codes—either before or upon a shipment's arrival in the U.S. Failure to provide this information within the specified timeframe may result in cargo holds, preventing entry into the country. In severe cases, penalties and administrative sanctions may apply.
Type 86 refers to voluntary filings for e-commerce shipments with a total country-of-origin value under $800. Previously, sellers had 15 days after arrival to submit detailed data, but the revised rules significantly shorten this window, demanding more immediate compliance.
2. Reasons Behind the Increased Oversight
U.S. Customs officials cite the dramatic rise in small parcel imports as contributing to various violations, including counterfeit goods, intellectual property infringement, undervaluation, and product misrepresentation. These issues have complicated and prolonged the clearance process. The new regulations aim to streamline operations and reduce the administrative burden on customs officials.
Notably, the heightened scrutiny isn't limited to low-value shipments. Inspection rates for conventional goods are also climbing, with particular focus on categories like infant products and electronics—areas where sellers should exercise extra caution.
3. Historical Context and Emerging Trends
The upward trend in customs inspections didn't emerge overnight. Similar patterns have occurred annually. Last September, CBP announced stricter examinations due to widespread discrepancies between declared and actual shipment contents. Violations can lead to cargo seizures, prompting significantly higher inspection rates at major U.S. ports during peak seasons. Key locations like Los Angeles, Long Beach, and Chicago have become focal points, while examination stations in Seattle, Houston, and Miami face operational congestion.
This regulatory shift isn't unique to the U.S. European customs authorities are also adopting stricter inspection protocols. Delays or seizures not only disrupt sellers' operations but may also impact freight forwarders. In this environment, compliance with international trade regulations becomes paramount for successful cross-border e-commerce.
4. Recommended Actions for Sellers
As global trade policies evolve, compliance has become essential for sustainable growth. Sellers should:
- Prepare all required documentation in advance
- Ensure accurate and complete declaration of all shipment details
- Familiarize themselves with destination countries' customs regulations
- Implement proactive measures to address potential inspection requests
By maintaining thorough preparation and strict adherence to regulations, sellers can navigate these challenges while capitalizing on the opportunities in the dynamic cross-border e-commerce market.
As regulatory pressures intensify, sellers' ability to recognize risks and maintain compliance will prove crucial for long-term success in an increasingly complex global marketplace.
