Translation: Physical Goods / De Minimis = Physical goods (customs exemption threshold for parcels).

Simplified Definition: It is the permission to pass parcels of tangible goods (such as Shein clothing and Temu electronics) across borders without imposing customs duties on them, provided their value is below a certain threshold, aiming to accelerate trade and reduce paperwork.

What Does It Mean for You?

If the exemption continues: you buy cheap goods and they reach your home without additional customs costs.

If the exemption is canceled (as is happening now): you will pay customs on any international parcel no matter how cheap, which raises the final price you pay.

Common Question: Do countries have the legal right to cancel this exemption?

Answer: Yes. The Trade Facilitation Agreement (TFA) in the World Trade Organization encourages it to simplify procedures, but it does not require a specific rate, and the decision to cancel it is considered a sovereign right.