As of Wednesday, July 1, 2020, the new U.S.-Mexico-Canada Agreement ( or USMCA) has been implemented. This new trade deal creates new opportunities for businesses. But how the USMCA help your eCommerce business?
Trading with Canada and Mexico will now be easier than ever for companies that already sell there. Getting started with international eCommerce will now be easier than ever.
The USMCA is simplifying trade between the three countries by adopting new procedures. These new processes allow data to move freely across each country’s borders.
Stronger protections for intellectual property rights, including tools to guard against counterfeit goods and piracy are also included.
Grab our USMCA fact sheet here.
Key highlights of how the USMCA can help your eCommerce business:
- New customs processes
- Increased de minimis values
- use of e-signatures
- Prohibits customs duties on digital products
- New rules of origin provision
Benefits of the USMCA:
Increase in De Minimis Values
The agreement increases the de minimis value (or price threshold for taxes charged on shipments) in Mexico for duties from $50 to $117. However, the current level of $50 will be kept for taxes.
In Canada, the de minimis value for duties is $150, and taxes $50, double above the current level.
Fewer Customs Formalities
The USMCA increases the informal entry document levels in both Mexico and Canada. This means most small goods moving regionally will require less paperwork.
Pre-Arrival Processing for Express Shipments
Depending on your shipping provider, pre-arrival processing is allowed for single packages. Packages will need less documentation and can benefit from immediate release on arrival.
So, what does this mean for small to medium businesses that are eager to dip their feet in international eCommerce?
It’s easier than ever before to get started with international eCommerce – especially if you start with Canada and Mexico.
Grab the fact sheet here.
Learn more here:
Director of Marketing & Media
Kristin loves coffee and reading, in that order! She drinks the coffee and makes the things for eGlobalUSA.
Director of Marketing & Media
Kristin loves coffee and reading, in that order! She drinks the coffee and makes the things for eGlobalUSA.
[…] regulations (thanks to the USMCA) make it easier than ever to start international eCommerce. Simplified processing with Mexico and […]