Processing De Minimis Shipments from China through ACE (Updated CBP Guidance)

Trade Update • April 21, 2025

ursuant to Executive Order 14256, signed on April 2, 2025, and as subsequently amended by the Trump administration, Customs and Border Protection (CBP) said in this CSMS on Friday, April 18,, the U.S. government has revoked the de minimis exemption for certain Chinese-origin goods.

Effective 12:01 a.m. ET on May 2, 2025, goods originating from China or Hong Kong will no longer qualify for the de minimis exemption. These shipments must be entered using a formal entry type, such as Type 11 or Type 01, and will be subject to all applicable duties, taxes, and fees.

Entry Type 86 is prohibited for covered goods, and any attempt to file under the de minimis threshold will be rejected by CBP.

Manifest Clearance Guidance by Mode of Transport

Air Manifest

CBP has implemented new EDI validations for air bills containing CED lines:

• Error Codes:

  • 181 – Country of origin code invalid

  • 110 – CBP entry line ignored

  • 188 – Express record incomplete

These codes will trigger FER responses indicating denial of de minimis clearance.

Truck Manifest

Truck filers may receive the following messages:

• 470 – Invalid country of origin

• 350 Notification – “Entry Not on File,” applicable for pre-filed bills arriving after May 2

These errors signify that the shipment is not eligible under de minimis and requires correction.

Manifest – All Modes

• If a manifest is filed before but the shipment arrives after the May 2 cutoff, carriers will receive a 1M message.

• For any 1C release message sent prior to arrival, ACE will issue a 4E message to cancel the release upon conveyance arrival.

Cargo Release/ Entry Type 86 (ET86): All Modes

Effective May 2, ACE will reject ET86 entries for covered goods. Filers will see:

• 318 – Country code ineligible for ET86

• SO disposition – “Release-Suspended” with code 33: ET86 ineligible country

CBP emphasized that filers must bring entries into compliance with EO 14256 if such errors occur.

Shipments Entering via International Mail

International postal packages sent from China or Hong Kong and valued at or under $800 will face new duties:

• As of May 2, 2025:

  • 120% ad valorem duty OR;

  • $100 per shipment (filer’s choice)

• As of June 1, 2025: The specific duty increases to $200 per shipment

Carriers delivering international mail must collect and remit the appropriate duty to CBP. Carriers must:

• Apply the same collection method to all covered shipments

• Notify CBP 24 hours in advance if switching methodologies

• Hold an international carrier bond ensuring duty payment

Further postal-specific guidance will be issued in an upcoming CSMS.

How GHY Can Help

Our Global Trade Services team can guide you through the surtax recovery process, ensuring you maximize your refund potential. Whether you need assistance navigating the Duty Drawback Program or other surtax recovery options, we’re here to help streamline the process and secure the refunds you’re entitled to.

Additionally, GHY offers guidance on filing protests, maximizing duty deferral programs, and tailoring solutions to your specific trade needs. With decades of expertise, GHY is your partner in achieving seamless compliance and navigating today’s regulatory landscape.

Contact Us Today! gts@ghy.com, or call +1 (800) 667-0771.