30 January 2020 / 0 min read
President Trump recently signed legislation to implement a revamped version of the U.S.-Mexico-Canada Agreement (USMCA) that was originally drafted in 2018.
Once in effect*, the USMCA will replace the North American Free Trade Agreement (NAFTA).
Below are a few key highlights of this new deal.
The new de minimis values will not apply to postal shipments, which will remain unchanged at the de minimis values of $20 CAD for duty and tax in Canada and $50 USD for duty and tax in Mexico.
An increase in de minimis values means less ecommerce orders will be charged duties and taxes, and will positively impact conversion for orders imported into Canada and Mexico.
Click here to read the USMCA deal’s fact sheet in detail.
*The USMCA is currently in the final stages of being ratified by Canada’s House of Commons and may become effective as early as 90 days after ratification. We expect this deal to go into effect as early as Spring 2020.
Christina Trocco is proud to help build first-class documentation and content at Zonos, the leading landed cost calculation software for cross-border ecommerce. She is a writer at heart with over 10 years of content writing experience in a variety of industries. At Zonos, she whole-heartedly believes in Zonos' company vision in breaking down the complexities of international trade to make cross-border accessible to everyone.