Our glossary simplifies common industry terms in freight and logistics into clear, easy-to-understand explanations.
The De Minimis Threshold (DMT) is the minimum value above which importing countries exempt low-value goods from customs duties or taxes. Typical values include €150 or $800 (regulations vary by country and are subject to change). Cross-border e-commerce businesses can leverage the DMT threshold to reduce customer tax burdens and increase conversion rates by properly splitting orders and making compliant declarations, without violating any laws. However, be aware of the differences in regulations between countries regarding whether shipping and insurance costs are included in the DMT.
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