Editor’s note: To help create a more consistent and reliable experience, we’re updating our policy for orders shipped to the US. Starting July 9, you'll be expected to account for all of your costs, including duties and import fees, to US buyers upfront in your pricing by using a Delivered Duty Paid (DDP) shipping option, so they pay the full cost of their order at checkout. Learn more about the tools available to simplify this process below.
Since 2025, changes to United States (US) import tariffs have made international selling more complex. If you’re a seller outside of the US and ship orders to US buyers, you may have already adjusted how you handle duties, pricing, and delivery while spending more time managing costs, shipping options, and buyer expectations. As a global marketplace, we’re committed to helping you navigate these changes.
The following guide will help you understand how tariffs work, and provide our recommendations and resources for managing your business in this evolving landscape.
Table of contents
- Tariffs 101
- Choosing carriers for shipments subject to tariffs
- Calculating the cost of tariffs
- Determining your pricing strategy
- Unpacking tariff refunds for shipments to the United States
- Communicating with buyers
- How we’re supporting our community
- FAQs
Tariffs 101
What is a tariff?
A tariff is a tax on goods imported from one country into another; tariffs can be broad or may apply only to specific categories or types of items. Typically, tariffs are a set percentage of the total item value.
Why are tariffs implemented?
Tariffs are a tool used to shape global trade, protect domestic industries, or generate government revenue. There are many tariffs in place around the world.
What is a de minimis exemption?
De minimis exemptions allow shipments under a certain value to enter a country without incurring customs duties or tariffs. These exemptions are put in place to simplify the trade process and reduce administrative burden. De minimis thresholds vary from country to country. As of August 29, 2025, there is no longer a de minimis exemption for goods entering the United States, which means more items shipped to the US may now be subject to tariffs.
How can I find out if tariffs impact me?
We know that many of you continue to follow the news related to tariffs on goods that ship to and from the United States. There have been frequent, nuanced changes to these regulations. For updates on tariffs that impact your home country or a country where you have buyers, we recommend following official government websites and resources. Some examples include US Customs and Border Protection, Canada Department of Finance, and Integrated Tariff of the European Communities (TARIC). There may also be certain exemptions that you’ll want to be aware of. For example, some items that enter the US from Canada or Mexico may be eligible for exemptions from tariffs and duties under the United States-Mexico-Canada Agreement (USMCA). For personalized support, we recommend connecting with a legal professional.
Choosing carriers for shipments subject to tariffs
We know how much care you put into creating a seamless experience for your buyers. Tariffs can add complexity to your transactions, but there are ways to manage this more effectively.
Using a Delivered Duty Paid Shipping Option
We recommend using a carrier that allows you to prepay tariffs, duties, taxes, and other import fees when purchasing your shipping labels, known as Delivered Duty Paid (DDP). Using DDP allows you to include duties in your pricing upfront, helping create a clearer, more reliable checkout experience. It can also help reduce delivery delays, refused shipments, and unexpected costs for buyers.
Starting July 9, 2026, DDP will be required for orders shipped to US buyers in order to qualify for Etsy Purchase Protection.
We’ve compiled a list of carriers that provide DDP options, which includes providers such as UPS and FedEx.
For sellers shipping from the UK to the US: You can purchase Royal Mail DDP shipping labels directly on Etsy by selecting Royal Mail International Tracked DDP as your shipping service for US orders. Learn more about Royal Mail DDP shipping labels.
For sellers shipping from Canada to the US: Note that under USMCA some goods may enter the US tariff-free if they meet the rules of origin. We’ve noted which DDP carriers have the ability to account for these exemptions, so you can choose an option that most accurately reflects the applicable tariff rate.
Learn more about pricing your items to include tariffs and setting US-specific pricing below.
Calculating the cost of tariffs
It’s important for you to understand the financial impact of tariffs so you can properly evaluate your pricing strategy. You can use the US tariffs estimator when creating or editing listings to estimate US duties and taxes and identify potential HS codes. Use these estimates to help inform your pricing for items being shipped to the US and ship with Delivered Duty Paid (DDP) to help buyers avoid surprise charges at delivery.
The estimated tariffs calculator is powered by Zonos, a third party partner, and results are based on the information you provide. Etsy does not guarantee the accuracy or reliability of these estimates. You should always validate for accuracy. Estimated tariff costs are provided as a guideline only and may not match the final amount charged.
Determining your pricing strategy
Once you understand how tariffs will impact the cost of running your business, you may want to reevaluate your pricing strategy. There are a number of factors to weigh when considering how to price your items:
- For US-bound orders, duties and import fees must be included upfront. You may want to incorporate those additional fees into your prices.
- When thinking about the impact of tariffs, you might consider whether the cost of your materials has increased.
Etsy’s Recommendation: For global sellers, set US-specific prices on new and existing listings. This allows you to account for tariff costs up front, while maintaining competitive pricing in other markets. This also enables you to keep your shipping costs as low as possible, which our data says can help improve sales.*
Visit our Help Center for step-by-step instructions on setting US-specific prices. You may also consider updating your listing descriptions or reaching out to your buyers to let them know that your new prices are inclusive of tariffs, duties, and fees.
For even more guidance on setting the best overall pricing strategy for your shop, check out our Ultimate Guide to Pricing. Additionally, we have several resources to help you price your items, including How to Price for Profit, Conversion, and Growth and our earnings calculator.
Unpacking tariff refunds for shipments to the United States
Following a recent United States Supreme Court ruling, some sellers may be eligible for refunds on tariffs that were implemented under the International Emergency Economic Powers Act (IEEPA).
Sellers may be able to receive refunds on tariffs paid, depending on how their shipment was handled. If you believe you may be eligible, we recommend contacting your shipping carrier or visiting the US Customs and Border Protection website to understand the requirements and next steps. Please note that at this time, refund processes for shipments entered into the US by a postal carrier have not been released.
For sellers who shipped to the US via shipping labels purchased on Etsy, we’re continuing to monitor how refunds may be handled and will share updates as more information becomes available.
For shipments not purchased using shipping labels on Etsy, sellers will need to work directly with their carrier.
Communicating with buyers
As you communicate with buyers, keep in mind that some may not be familiar with tariffs. For orders into the US, pricing should include all duties and fees upfront. You may want to note in your listing descriptions that prices include duties, tariffs, and fees, helping set clear expectations and build trust.
How we’re supporting our community
We’re continuing to invest in tools and guidance to help you navigate cross-border selling more easily. We’re also continuing to monitor regulatory changes and evolving carrier capabilities, and will keep making updates to support you and your buyers.
Additionally, we continue to work with lawmakers to promote policies that help small businesses succeed online. As part of these efforts, we’re advocating for policies and processes that consider the unique needs of microbusinesses as global trade undergoes this significant shift.
FAQs
I’m a seller outside the US who ships to US buyers. What do I need to do?
Starting July 9, 2026, if you ship from outside the United States to a US buyer, you must use delivery duties paid (DDP).
You can use tools in Shop Manager to manage this more easily. For example, use one of Etsy’s partner shipping services in your region to help ship orders and handle duties in one place. You can also use the new US tariffs calculator in the listing form to estimate costs, compare shipping options, and apply suggested HS codes and customs descriptions. Finally, consider updating your US prices to cover tariffs and protect your margins.
What happens if I don’t comply?
Etsy will enforce this policy change through Etsy Purchase Protection coverage. If you ship from outside the United States to a US buyer using delivery duties unpaid (DDU), and the order arrives late or doesn’t arrive, you may be responsible for the refund if the buyer opens a case.
Are there any exceptions?
Exceptions apply only in countries where DDP services are not available. You can review available DDP services by region in this Help article. If Delivery Duty Paid isn’t available in your country, you’ll need to state in your listing that delivery duties aren’t included in your price and will be due when your buyer collects their order. You’ll also need to message your buyer with the estimated total duty and carrier fee amount and get their agreement before you ship. If a case is opened and you meet these conditions, and can show proof of communication, you may not be responsible for the refund.
What steps do I need to take with my shipments to avoid delays for my buyers?
Utilizing DDP shipping options help reduce the likelihood of delays by eliminating the need for your buyer to pay customs, duties or tariffs before they can receive their package.
We also recommend making sure that the “ships from” information for your shop is up to date. This allows our system to properly calculate the estimated delivery date for buyers.
To adjust your shipping information:
- Edit Shipping Profiles: Go to your Shop Manager and navigate to "Settings" > "Shipping settings". Here, you can edit your existing “ship from” country and current shipping carrier.
- Update Individual Listings: For each of your listings, you can manually update the shipping options. Go to "Listings", select a listing, and under the "Shipping" section update the “ships from:” and Carrier.
What information do I need to update in my Shipping Profile?
To optimize your Shipping Profile for cross-border shipments, we recommend updating the following information:
- “Ships from”: This allows our system to properly calculate the estimated delivery date for buyers.
- Carrier: Select your current shipping carrier. We recommend selecting a carrier that offers a DDP option.
Please note: Sellers are solely responsible for the accuracy of all information provided to customs authorities. You can learn more about customs information for international shipping here.
What happens if my shipment is held at customs or by the carrier because a buyer does not pay for the tariff?
To support the success of your shop, we strongly recommend avoiding this challenge by using a carrier that offers a DDP option so that you can pay the cost of associated tariffs, duties, and fees upfront. By doing this, you are creating a better buyer experience, which can increase the likelihood of receiving positive reviews and repeat purchases.
Currently, qualified sellers are not responsible for refunds if an item arrives late or is not received due to a buyer delay or a buyer’s inability or unwillingness to pay the tariffs that are due when their order arrives. You can learn more about Etsy Purchase Protection here.
Does Etsy have the ability to collect and remit tariffs, like you do with value added taxes?
At this time, the United States does not have a process for allowing intermediaries like Etsy to collect and remit tariffs. Each shipping carrier may handle tariffs and associated costs - like handling fees - differently, so we recommend connecting with your carrier to answer any specific questions you may have about their processes.
Does my shipping carrier include the cost of tariffs in their rates?
If you work with a carrier that offers a Delivered Duty Paid (DDP) option, the carrier will estimate and allow you to pre-pay all import duties and taxes when you ship your items.
Please check with your shipping carrier for more details about how they handle the cost of tariffs and associated fees. You can also refer to our list of DDP carriers organized by country here.
How do I set US-specific prices for my listings?
You can find step-by-step instructions in our Help Center here. Note: US-specific pricing can currently only be set on Etsy.com.
Do I have an option to sell only to buyers within my home country?
Yes. Sellers may choose which countries they ship to, including choosing to ship only domestically.
To adjust which countries you ship to:
- Edit Shipping Profiles: Go to your Shop Manager and navigate to "Settings" > "Shipping settings". Here, you can edit your existing shipping profiles to change which destinations you’d like to ship to.
- Update Individual Listings: For each of your listings, you can manually update the shipping options. Go to "Listings", select a listing, and under the "Shipping" section you can update which destinations you’d like to ship to.
Do these tariffs apply to my digital listings?
No. Tariffs apply to physical items, so digital listings are not subject to additional tariffs. Note that other taxes may apply.
*Based on Etsy market research of a nationally representative survey of 6,000 US adults in Q1 '24; these findings are from a subsample of 2,052 respondents.
Words by Etsy Staff