Section 321 customs clearance allows goods valued at $800 or less to enter the United States duty-free and with simplified processing. This rule helps importers avoid complex customs procedures and reduces costs on low-value shipments.

The provision applies mainly to e-commerce and small parcel shipments, making it easier for businesses and consumers to receive imports quickly. Understanding how Section 321 works can save time and money while ensuring compliance with U.S. Customs regulations.

Many find Section 321 beneficial for managing international shipments without the usual paperwork or fees. Knowing the limits and restrictions of this clearance process is essential for anyone involved in cross-border trade.

Understanding Section 321 Customs Clearance

Section 321 allows certain low-value shipments to enter the U.S. without formal customs entry or duty payments. It reduces paperwork and speeds up processing for eligible imports. Specific rules govern the types of goods, shipment values, and the parties involved.

Definition and Legal Basis

Section 321 is a provision in the Tariff Act of 1930, codified under 19 U.S.C. § 1321. It permits importers to bring goods valued at $800 or less into the U.S. without formal customs entry.

This rule was established to ease import burdens, especially for e-commerce and low-value shipments. It applies when shipments are for personal use or resale and do not trigger other legal restrictions.

The legal basis allows Customs and Border Protection (CBP) to waive duties and formal entry requirements under specific conditions, streamlining the import process.

Eligibility Requirements

To qualify, the shipment’s value must not exceed $800. The goods must be sent by one person to another without removal or processing in the U.S.

Eligible shipments must be imported by a single importer and intended for personal use or resale. Certain product types, such as alcohol, tobacco, or items subject to FDA or other regulatory controls, are excluded.

Importers must ensure that correct documentation accompanies the shipment. The importer’s identity and shipment details must be clear to CBP for processing under Section 321.

Benefits for Importers

Section 321 speeds up customs clearance by eliminating the need for formal entry documents like customs declarations or bonds.

Importers save on customs duties, fees, and brokerage costs, making it cost-effective for low-value shipments. This is particularly useful for small businesses and individual consumers.

Use of automated systems like the Automated Commercial Environment (ACE) further enhances efficiency. It allows importers and carriers to submit data electronically, reducing delays.

Limitations and Restrictions

Section 321 does not apply to shipments exceeding $800 in value. Shipments subject to other import restrictions, such as quotas or licenses, are excluded.

Certain goods, including alcohol, tobacco, firearms, and hazardous materials, cannot clear under Section 321. Submission of accurate information is essential to avoid penalties.

Repeated abuse of Section 321 by importers may lead to increased scrutiny or suspension of this clearance privilege by CBP.

Process of Section 321 Customs Clearance

Section 321 allows importers to clear shipments valued at $800 or less without formal entry procedures. The clearance process requires accurate filing, specific documentation, and strict adherence to U.S. Customs and Border Protection (CBP) rules to avoid delays or penalties.

Entry Filing Procedures

Importers must electronically file entry information through the Automated Commercial Environment (ACE) system. This includes submitting shipment details such as the description, value, and quantity.

The shipment must not exceed the $800 de minimis value. If it does, a formal entry and duties apply. Carriers or customs brokers typically handle the filing on behalf of the importer.

For Section 321, the filer uses a simplified declaration to enable expedited processing. Timely and accurate entry filing reduces hold-ups at customs and accelerates delivery.

Required Documentation

The shipment requires a Commercial Invoice or a detailed statement showing the contents, value, and seller information. This document supports the accuracy of the declared value.

A bill of lading or airway bill is also needed for transportation verification. While no formal customs bond is required under Section 321, importers must maintain proofs for compliance purposes.

Labels or markings identifying the origin and nature of goods are helpful during inspection. Failure to provide proper documents can result in seizure or delays.

Compliance With U.S. Customs and Border Protection

Importers must comply with tariff classifications and product restrictions under CBP rules. Prohibited or restricted items are not eligible for Section 321 clearance.

CBP enforces random inspections and reserves the right to detain shipments for review. Non-compliance can lead to fines, seizure, or denial of Section 321 eligibility.

Importers are responsible for ensuring that all imported goods meet regulatory requirements such as FDA or FCC standards when applicable. Accurate recordkeeping is crucial for audits.