U.S. Shipping Updates: Tariffs, Duties, Compliance & More

Find all the latest updates regarding U.S. shipping specific to tariffs, duties, regulations

Update: August 28, 2026

At Chit Chats, we’re committed to helping Canadians across the country access low-cost, effective shipping solutions. However, shipping across the border can sometimes come with unexpected hiccups, and we want to keep you informed every step of the way.

At this time, we are currently experiencing delays with U.S.-bound shipments, excluding those sent with Chit Chats International Tracked, as shipments are pending review with our customs broker.

This delay currently affects shipments that were scheduled to cross the border between August 26 and August 28.

What is next?

We understand that delays can impact your business and your customers, which is why we want to be as transparent as possible. If you have U.S. customers waiting on their orders, we recommend keeping them informed of the delay and adjusting delivery expectations accordingly.

Our team is actively working with our broker to have these shipments reviewed and moving across the border as soon as possible.We’ll continue to monitor the situation closely and provide additional updates, such as an estimated date of completion, as more information becomes available.

We sincerely apologize for the inconvenience and appreciate your patience and understanding while we work to get things moving again.

Thank you for trusting Chit Chats to help you ship smarter.


Update: August 21, 2026

Discussions between Canada and the U.S. have concluded. Unfortunately, no resolution was reached. As a result, the previously announced three-day pause has ended, and Section 338 tariffs are now in effect.

What does this mean for your shipments?

If you paid the applicable Section 338 tariff fees for a shipment that has already been dropped off, no further action is required. Your shipment will continue to be processed as usual.

If you have not paid the applicable Section 338 tariff fees for a shipment that has already been dropped off, any applicable fees will be recalculated and added as a postage adjustment to your Chit Chats account when the shipment is manifested (prepared to cross the border). There is no need to recreate your postage.

Similarly, if you’ve purchased postage but have not yet dropped off your shipment at Chit Chats, any applicable Section 338 tariff fees will be recalculated and added as a postage adjustment to your account when the shipment is manifested. There is no need to recreate your postage.

I dropped off my shipment earlier this week, has it crossed the border?

If you dropped off your shipment on or before the dates below, it would have already crossed the border:

  • Ontario: August 20
  • Quebec: August 20
  • British Columbia: August 20
  • Alberta: August 19
  • Atlantic Canada: August 19

You can also confirm your shipment’s status by reviewing its tracking events. These updates provide visibility into your shipment’s journey and will indicate when it has cleared customs and crossed the border.

A Few Important Reminders

Please keep in mind that Section 338 tariffs apply to certain Canadian-origin goods that fall under the applicable HTS codes. At this time, CUSMA (Canada-United States-Mexico Agreement) does not apply to this tariff category, meaning affected products remain subject to the 50% tariff rate.

We know this is frustrating news for clients who ship affected products, and we understand the impact these tariffs can have on your business. We’ll continue to monitor the situation closely and work with our partners to stay informed of any updates or changes.

At Chit Chats, we’re always looking for ways to help you ship smarter and keep your costs down. Whether it’s finding more efficient packaging options, reducing postage costs, or exploring other ways to optimize your shipments, our team is here to help.

If you’d like assistance finding ways to reduce your shipping costs, schedule a call with our team. We’re here to support Canadian businesses and help you keep your shipments moving, even during challenging times.


Update: August 19, 2026

As the U.S. and Canada continue discussions surrounding the previously announced Section 338 tariffs, which would apply an additional 50% tariff to certain Canadian-made goods, a 3-day pause has been announced. As a result, the Section 338 tariffs have been temporarily removed from the Chit Chats platform.

What does this mean for your shipments?

If you paid Section 338 tariff fees on a shipment that has already been dropped off, those fees will be refunded when your shipment is manifested (prepared to cross the border). At that time, the applicable duties will be recalculated.

Similarly if you’ve purchased postage for a shipment but have not yet dropped it off at Chit Chats, any applicable Section 338 tariff fees will be recalculated when the shipment is manifested. There is no need to recreate the postage.

Tariff refunds will be added to your Chit Chats account as a credit. You will be able to see this in the transaction history of your account. 

What’s next?

We know that changes to tariffs and customs requirements can make shipping across the border feel complicated. We’ll continue to keep a close eye on the situation and share updates as more information becomes available, including whether the Section 338 tariffs will be pushed back once again.

Thank you for your patience and for continuing to trust us to help keep your shipments moving!


Update: August 11, 2026

Starting August 19, 2026, the new 50% Section 338 tariff will apply to certain goods imported into the United States. If you’re shipping products affected by this tariff, we recommend dropping off your shipments before the dates below to give them the best chance of being processed before the new tariff takes effect.

  • Ontario – Aug 17
  • Quebec – Aug 17
  • British Columbia – Aug 17
  • Alberta – Aug 14*
  • Atlantic Canada – Aug 14*

*Section 338 tariffs are expected to be live on the Chit Chats platform by the evening of Monday, August 17, any shipments created and dropped off in Atlantic Canada or Alberta on August 17 will be recalculated to ensure the correct tariff fees are applied when the shipment crosses the border.

These dates are based on our current processing and transportation timelines and are recommendations only, not guarantees. We encourage you to drop off your shipments as early as possible to help avoid potential delays or recalculated tariff fees.

Reminder

CUSMA preferential treatment does not apply to affected HTS codes for this tariff category when the country of origin is Canada. However, if the country of origin for the affected HTS code is the United States or Mexico, CUSMA preferential treatment will continue to apply.

Using an alternative drop-off option?

If you use an alternative drop-off service, such as Chit Chats SmartDrop, Chit Chats Drop Spots, Maritime Bus Drop Spots, or another method, your shipment will need additional time to reach a Chit Chats facility.

To account for this, we recommend dropping off your shipment 2–3 business days earlier than the dates listed above.

For example, if your recommended drop-off date is August 17, we suggest using an alternative drop-off location around August 12–13 to allow enough time for your shipment to reach a Chit Chats facility.

What happens if I miss the recommended date?

Shipments containing applicable HTS codes that are dropped off after the recommended date may be subject to the new Section 338 tariff.

If a shipment is created before the tariff is implemented on the Chit Chats platform but arrives at our facility after the applicable cut-off, the shipment will be recalculated to reflect the applicable tariff fees, or a postage adjustment may be applied to your Chit Chats account.

Ship early to help avoid surprises

With the August 19 implementation date approaching, we recommend reviewing your upcoming shipments and sending any affected goods as early as possible.

If you’re unsure whether your shipment contains an HTS code affected by Section 338, please reach out to our support team for assistance.

We’re here to make shipping easier and help you navigate these changes every step of the way! 


Update August 7, 2026

It is now possible to keep your CUSMA certificates up to date. Effective today, you can renew your certificates directly from your Chit Chats account, and we’ve introduced a built-in reminder system to help you stay on top of upcoming expiration dates.

We’ll send you dashboard and email reminders before your certificates expire, so you can continue benefiting from CUSMA preferential tariff treatment on your eligible shipments without interruption.

Want to learn more? Check out our dedicated blog for an overview of the renewal process, then visit our support article for step-by-step instructions on renewing and managing your CUSMA certificates.


Update July 22, 2026

Upcoming Chit Chats Webinar

Need help navigating the latest tariff updates? Watch the recording of our Chit Chat Webinar that was held on July 27 for an overview of the recent changes and an opportunity to ask your questions.

Our team covered key tariff updates, shared guidance on ways to help manage your shipping costs, and answered your questions about CUSMA and other related topics.

Learn more

Removal of Section 122 & Countries Added to Section 301

Beginning Friday, July 24, the U.S. administration will remove Section 122 tariffs, which served as a blanket tariff on imported goods to the U.S., regardless of country of origin, unless an exemption applied.

At the same time, the administration will expand the application of Section 301 tariffs to include additional countries. This category is used to address countries that have trade practices that the U.S. administration considers to be unfair or discriminatory. Previously, these tariffs only applied to products of Chinese origin. However, under the updated policy, they will also apply to imports from the 60 countries that the U.S. administration is investigating, unless an exception applies.

The additional duty rate will vary depending on the country of origin.

The following countries of origin will be subject to an additional 10% duty, in addition to any other applicable duties, as they have met certain requests and trade objectives established by the administration:

  • Argentina
  • Bangladesh
  • Cambodia
  • Canada
  • Ecuador
  • El Salvador
  • Certain products of the European Union (all 27 member states)
  • Guatemala
  • Honduras
  • India
  • Indonesia
  • Jordan
  • Malaysia
  • Mexico
  • Pakistan
  • Sri Lanka
  • United Kingdom
  • Certain products of Taiwan
  • Trinidad and Tobago

All other countries of origin that the U.S. is currently investigating will be instead subject to an additional 12.5% duty, in addition to any applicable duties.

Exception:

The U.S. administration has announced that certain products originating from Brazil will be subject to a 25% duty under Section 301, effective July 22.

This tariff applies to all HTS codes from chapter 1 through 97, with some exclusions. You can view the full list of excluded HTS codes here.

What does this mean?

For most clients, these changes will have little to no impact on shipping costs.

If the products you ship originate from one of the countries listed above, there will generally be no change to your shipping costs when sending shipments to the U.S., as these countries will continue to be subject to the same 10% additional duty.

However, if the country of origin of the products is not included in the list above but is a part of the 60 economies affected, you may notice a small increase in shipping costs. This is because the blanket tariff applied to those countries will increase from 10% to 12.5%.

Important :

Some specific HTS codes are qualified for an exemption from this tariff category However, not all HTS codes listed qualify. Some exemptions are limited to products intended for specific uses (e.g., civil aircraft or pharmaceutical manufacturing), while others require entry under trade programs that are not supported through our method of entry into the U.S.

At this time, CUSMA is the only trade agreement we support for preferential tariff treatment. We do not currently accept exemptions under other trade agreements, such as CAFTA. If this changes in the future, we’ll be sure to share an update.

New Section 338 Tariffs Announced for Select Industries

The U.S. government has announced a new tariff category, Section 338, that is expected to take effect on August 19. This additional import charge will apply to products from certain Canadian industries that the U.S. has identified as having unfair trade practices.

For now, the tariffs are expected to affect industries such as motor vehicles, alcohol, and dairy, with additional products of other industries affected.

If applicable, products will be subject to an additional 50% duty, in addition to any other duties, tariffs, or fees that may already apply.

Below is a list of the most commonly used HTS codes that will be affected by this upcoming change: 

SubheadingsDescription
3919.90.50Self-adhesive plates, sheets and other flat shapes, of plastics
3926.40.00Statuettes and other ornamental articles, of plastics
7117.19.90Imitation jewelry of base metal
3926.90.99Other articles of plastic
9503.00.00Toys, including riding toys other than bicycles; puzzles; reduced-scale models
7113.11.50Silver articles of jewelry and parts thereof
3304.30.00Manicure or pedicure preparations
4820.10.20Diaries, notebooks and address books, bound; letter and memorandum pads and similar articles, of paper or paperboard
3926.10.00Office or school supplies, of plastics
4911.91.40Pictures, designs and photographs, excluding lithographs on paper or paperboard, printed not over 20 years at time of importation

Important:

CUSMA preferential treatment does not apply to affected HTS codes for this tariff category when the country of origin is Canada. However, if the country of origin for the affected HTS code is the United States or Mexico, CUSMA preferential treatment will continue to apply.

Our team is reviewing these changes to understand how they may affect our clients. We know keeping up with tariff updates can feel overwhelming, so we’re closely monitoring developments and will continue to share clear, practical guidance to help you ship with confidence.

Shipping to the U.S. with Canada Post?

If you ship to the U.S. using Canada Post, you may already be familiar with Zonos, the prepayment platform used to submit customs information and collect duties before your shipment is sent.

It has recently been announced that the flat 10% tariff fee will no longer apply. Instead, tariff fees will be calculated dynamically based on the applicable duties and tariffs for each shipment.

As a result, those shipping to the U.S. through Canada Post will see higher tariff costs, since fees will now reflect the actual duties owed rather than a flat 10% surcharge.

Your Solution: CUSMA

CUSMA (Canada–United States–Mexico Agreement) can help you reduce or eliminate these additional costs.

With CUSMA registration available directly through your Chit Chats account, approved products with a country of origin of Canada, the United States, or Mexico can enter the U.S. duty-free or at a significantly reduced cost. This helps lower your shipping costs and remain competitive when selling to the U.S. market.

Need assistance? Book a call with one of our specialists, and we’ll be happy to guide you through the registration process and answer any questions you may have.


Update July 9, 2026

We continue to closely monitor updates from the U.S. Consumer Product Safety Commission (CPSC) to keep you informed of any changes that may impact your shipments to the United States.

For the latest information on compliance requirements, required documentation, and answers to frequently asked questions, visit our dedicated CPSC blog.

We encourage you to check this resource regularly to stay informed and ensure your shipments continue to meet current requirements.

Visit our dedicated CPSC blog for the latest updates.


Update July 7, 2026

Starting July 12, USPS will implement new compliance requirements:

  • stricter compliance requirements for all shipments involving hazardous materials (HAZMAT). In order to comply with these changes our platform will allow you to identify any HAZMAT materials starting July 7 (by end of day). Find the full details on this new blog post
  • enforcing stricter penalties for shipments that are submitted with incorrect package dimensions or weight – see the details below.

What’s changing?

When a package’s declared length, width, height, or weight does not match its actual measurements, USPS may issue a postage adjustment. If the discrepancy is not identified before the shipment enters the USPS mail stream, the additional postage charged by USPS is passed on to your Chit Chats account.

Beginning July 12, USPS will apply an additional $3 USD non-compliance fee to shipments over 1 cubic foot or longer than 22 inches that require a postage adjustment due to incorrectly declared dimensions or weight. This fee will be charged in addition to any applicable postage difference and will be reflected in your Chit Chats account.

Note: According to USPS, this non-compliance fee will be extended to all shipments, no matter the weight and size, in early 2027.

Services impacted:

  • Chit Chats U.S. Select
  • Chit Chats U.S. Edge
  • USPS Priority Mail
  • Chit Chats U.S. Connect

How can I avoid this fee?

The best way to avoid postage adjustments and the new non-compliance fee is to ensure every shipment is measured and weighed accurately before purchasing postage.

We recommend:

  • Using a properly calibrated shipping scale.
  • Measuring the length, width, and height of every package after it has been fully packed and sealed.
  • Carefully entering the correct weight and dimensions when creating your shipment.

Taking a few extra moments to verify your shipment details can help prevent unexpected charges and ensure your packages move through the USPS network without delays.

Need assistance?

If you have questions about how to accurately measure or weigh your shipments, our support team is happy to help. Contact us for guidance on declaring your package dimensions and weight correctly before you ship. 


Update June 4, 2026

International Emergency Economics Powers Act (IEEPA) Refunds

As shared earlier this year, the U.S. Supreme Court has ruled that the reciprocal tariffs imposed by the U.S. administration under the International Emergency Economic Powers Act (IEEPA) are unlawful. As a result, refunds are being issued for eligible imports that entered the United States under this tariff category.

Beginning April 20, refund processing has started for select entry categories as part of Phase 1. Refunds will continue to roll out in phases, with additional categories included at each stage. At this time, shipments sent with Chit Chats are not included in the first phase of refunds.

We are closely monitoring developments and will provide updates as more information becomes available.

For more details on tariff categories, please visit our blog.


Restricted Countries of Origin – click to expand

Due to ongoing political tensions, the United States enforces sanctions that restrict imports from certain Countries of Origin. As a result, Chit Chats is unable to accommodate any products containing shipments originating from affected countries.

At this time, this includes products with a Country of Origin of:

  • Cuba
  • Palestine
  • Venezuela
  • Iraq
  • Myanmar
  • Côte d’Ivoire
  • North Korea
  • Iran

*Please note that this list is subject to change based on evolving political circumstances and future U.S. policies.

Any shipments containing products from the above origins are not eligible for any U.S. postage through Chit Chats.


Important Reminders

No manufacturer info? Chit Chats International Tracked is an alternate solution for you. Read more

CUSMA

Submit for approval and duty-free treatment if the country of origin is Canada, U.S., or Mexico and you meet CUSMA requirements (Rules of Origin are met). If the HTS code indicates the S/S+ indicator or it shows Free in the General Duty column on the offical US site. Be sure to check that your HTS code is valid (appears on the US site).

  • Simply provide the country of origin, product description and 10 digit HTS code for approval
  • Once approved to see duty-free enter the same COO and HTS
  • If you had previously created SKUs that were approved be sure to enter the HTS and COO that was approved to continue seeing duty-free

Learn more

Incorrect or missing information – click to learn more

Common reasons for delays result from incorrect, vague or missing information – we’ve made adjustments to catch any missing information at time of postage creation.

U.S. Customs Border and Protection has implemented automated enforcement of package descriptions. This means you must ensure that all shipment descriptions are detailed. For example t-shirt is not acceptable but rather men’s cotton t-shirt. If your shipment does not have detailed descriptions this will cause your package to be rejected.

What You Can Do

  • 👉 Ensure you provide a valid 10 digit HTS code
  • 👉 Provide accurate and detailed shipment descriptions. Find examples in our previous blog
  • 👉 Ensure manufacturer information is valid and matches the country of origin
  • I.e. Country of origin is China – the manufacturer address MUST be a Chinese address
  • Entering placeholder text (Unknown, N/A, etc.) will result in shipments being rejected and further delays
Update on Informational Material – Oct 22, 2025 – click to see details

Shipments classified as informational materials are once again exempt from reciprocal tariffs, regardless of origin or CUSMA certification. For existing shipments, refresh rates to view updated tariff treatment. For details, see the CBP FAQ definition of informational materials here.

Section 301 Tariffs on goods from China

Depending on the product’s HTS code, an additional tariff for products from China may apply. These can be identified by hovering over the ‘1/’ in the HTS Schedule, and looking up the HTS Code provided in the tool tip, as pictured below:

These additional tariffs are considered ‘Section 301 Tariffs’ and can range from 7.5% to 25%, depending on the HTS Code. More information can be found on the Office of the United States Trade Representative website.

RESOURCE HUB – Find link by clicking for more details

With so much information find key topics below that will provide additional resources and FAQs to help you navigate these changes.

US Shipping Is Changing — And We’re All Feeling It

To our Chit Chats family,

Lately, everything is changing — and fast. There are new rules and regulations, which are demanding the creation of new systems. It’s been a lot to keep up with and you’re not alone in feeling overwhelmed.

Behind the scenes, our team is collaborating with our broker to develop the system and working closely with US Customs to ensure our Canadian ecommerce sellers have the information they need to remain compliant.

Not everything is in our control, Chit Chats is adapting as quickly as possible to support you through these transitions. The removal of the de minimis threshold has disrupted shipping in unprecedented ways. Not only are shipments being delayed and rejected but the new requirements are impacting your bottom line. 

What We’re Doing to Support You

We’re committed to leveraging our network to mitigate risks where we can, minimize the impact to you where possible. The learning curve is steep for all of us but we’re working around the clock to troubleshoot, communicate and provide solutions to help you continue to ship. 

We understand shipping is an integral part of your business but we also know your client experience matters. Whether you’re a solo Etsy artisan, a seasoned eBay seller, or a growing online brand, we know these changes are creating real challenges. 

🇨🇦 Chit Chats Puts Canada First

This isn’t the first time Canadian businesses have faced cross-border shipping challenges. In fact helping Canadian eCommerce sellers succeed is at the heart of what we do. Back in 2001, when our founder Derek Nolan saw firsthand how hard it was for small businesses to ship affordably and reliably from Canada and compete globally. That mission has never changed.

Moving Forward Together

We know this is a tough moment, but we want you to know we’re in it with you. Our commitment remains the same: to find solutions that empower Canadian businesses to thrive, no matter how the rules shift. Thank you for trusting us through this journey; we’ll continue to keep you informed and supported every step of the way.

FAQs

Postage Is DDU (duties unpaid) no longer available with Chit Chats? – click for answer

There are no DDU options at this time. We understand that many sellers prefer to have duties collected at the time of delivery from the recipient and our team is exploring if we can provide a solution. There is no timeline if and when a DDU solution will be available but we will update all clients if this changes.

For Chit Chats Edge and Chit Chats Select – is this a postal or non-postal service?

Due to our method of entry into the US, both Chit Chats U.S. Edge and U.S. Select are non-postal services. Other postages partnered with Canada Post and PostNL follow under postal services. You will not be required to pay the $200 ad valorem fee, however you will be expected to pay a tariff fee based on the item(s) declared.

If I ship with USPS Media Mail will this still be available? 

USPS Media Mail is available through our DDP (duties paid) option. The country of origin, valid HTS code, and manufacturer information must be declared in order to obtain rates. 

Will I need to provide a manufacturer address for books when I don’t have it?

  • To access DDP (duties paid) postage options you are required to provide manufacturer information. If it cannot be provided our DDU options can be an alternative as you only require the country of origin and a valid HTS code.