ShipBob announced its De Minimis Defense Program to help merchants impacted by the Executive Order suspending duty-free de minimis for all countries. This suspension starts at or after 12:01 a.m. Eastern Daylight Time on August 29, 2025. With this Executive Order, merchants are now having to navigate another macro policy change just months before the peak holiday season commences.
ShipBob's De Minimis Defense Program includes:
"We launched the De Minimis Defense Program because our current and future customers needed a fast, strategic response to one of the biggest cross-border changes in years," said Divey Gulati, COO and co-founder of ShipBob. "Merchants that relied on low-duty or duty-free imports are suddenly facing massive cost, cash flow, and compliance pressures. Many merchants need our infrastructure, technology, and support to protect their margins and future-proof their business."
To complement its De Minimis Defense Program, multiple Foreign-Trade Zone (FTZ) warehouses are also now available across the ShipBob network.
ShipBob's network includes bi-coastal FTZ warehouses located in California and Pennsylvania near ShipBob's West Hub and Northeast Hub, respectively. While FTZ warehouses are physically in the U.S., there are potential key benefits to FTZ warehousing, including duty deferral, duty elimination, inverted tariff relief, simplified logistics and compliance, and cash flow optimization.
FTZs turn "pay duty on arrival" to "pay duty on sale" so merchants unlock impactful leverage right now, as they can pull forward revenue, protect margin, and de-risk their operations. With de minimis suspended and the massive influx in demand ShipBob has seen as a result, it's clear that merchants across all categories, but especially apparel and beauty, are seeking the outsized benefits available from using FTZs and need to quickly find a U.S.-based fulfillment network and reliable long-term supply chain partner.
In addition, compared to bonded customs warehouses, FTZs provide an indefinite storage cap and more flexibility. All ShipBob Plusqualified brands will have access to the bi-coastal FTZ warehouses.
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