In early May 2025, the US ended an import tax exemption for Chinese goods under $800 and initially applied tariffs of 120% to 145%. After 90 days, these tariffs were reduced to 54% due to the calming of trade tensions. However, this led to an immediate 65% drop in e-commerce shipments from China to the US in the first quarter of 2025, which in turn led to price increases of up to 377% and early front loading by importers.
As tariffs and trade flows become increasingly complex, the need for digital and physical transport capabilities is becoming increasingly evident. Equally pressing is the need for businesses to adopt AI. What was once a relatively simple process, where most logistical challenges could be solved with simple algebra, has evolved into something far more intricate. Today, companies must navigate an ever-changing landscape, where the “need of the hour” has transformed into something more akin to advanced calculus.
Yet despite this dense haze, one thing is very clear: the de minimis, a once overlooked technical clause, has become a focal point of global trade policy. With the clause reshaping consumer prices and logistical demands, and e-commerce strategies, SMEs must invest in smarter fulfilment models and digital customs compliance to remain competitive.
How de minimis affects delivery providers
Consumers have long benefited from de minimis thresholds, which allowed low-cost purchases, whether it’s a €10 gadget or a £20 item of clothing, to arrive without duties, taxes or clearance challenges. This simplicity has supported the growth of global e-commerce, especially for platforms that export large volumes of low-value goods.
However, the changes to the de minimis thresholds are likely to have an impact on consumer convenience, as they may have to navigate tricky customs processes and shoulder import charges. Cross border sales are expected to grow twice as fast as the wider e-commerce sector by 2030, with cross-border sales predicted to be worth $5.6 trillion. The uplift in prices and lengthier delivery times due to delays at the border could significantly discourage consumers at a time when global demand is rising.
For logistics providers like FedEx the collapse of de minimis exemptions requires a shift in focus. Many of our customers will be impacted by clearance for the first time, and for those that are unfamiliar with the process, this can be a significant burden.
To help break down barriers, FedEx is actively investing in educating and guiding its customers in times of change. FedEx is working with e-commerce platforms and SMEs to demystify cross-border trade, helping them to maintain competitive despite growing red tape.
Logistics readiness
For logistics providers, and the businesses which depend on them, readiness today means far more than transport capability. It demands real-time compliance infrastructure, adaptive networks, and anticipatory capacity planning.
FedEx’s European network is one of the most advanced in the region, capable of supporting regulatory adaptation and operational flexibility. With 27 road hubs connecting 45 countries, and convenient delivery options to more than 40,000 out-of-home locations across Europe, the infrastructure is built for scale and resilience. In addition, FedEx’s dual air and road network provides businesses with tailored options for speed and cost - a notable advantage in times of increasing political uncertainty and changing trade sentiment.
In this current era, digital readiness is crucial. Whereas offering delivery time windows has become a hygiene factor, FedEx is increasing transparency for its customers by adding a picture as proof of the delivery, or the delivery attempt.
Across its network, FedEx is integrating predictive analytics to optimise trailer loading, anticipate customs bottlenecks, and improve speed and compliance. As SMEs struggle with increased customs burdens and border delays, FedEx’s investment in pre-operational intelligence - like tracking shipments by load and origin - ensures more efficient resource planning and a safer, streamlined environment for workers and cargo alike, ultimately enabling FedEx to identify and resolve issues for customers before they impact their operations.
The role of resilient, intelligent supply chains
As cross-border e-commerce growth is expected to outpace domestic trade, resilient and intelligent supply chains are now key to business growth both at home and abroad. This is particularly the case for SMEs seeking global reach without the overhead of in-house logistics expertise. This is where data, automation, and multimodal infrastructure converge to create real competitive advantage.
FedEx operates approximately 17 million package scans per day, each scanned 20 to 25 times. This immense data pool powers AI-driven systems like FedEx Surround, which predicts delivery risks using past shipment behaviour, weather data, and route intelligence. These capabilities are increasingly essential as trading internationally becomes more complex.
For businesses looking to grow internationally, digital integration is a key enabler. FedEx provides out-of-the-box compatibility with over 50 e-commerce platforms and collaborates with partners like Zonos to provide landed cost transparency at checkout - essential in a world without de minimis thresholds.
As AI and digitalisation transform logistics, SMEs need to adopt flexible models and partner with providers that offer scale, insight, and adaptability. For FedEx, this means not only providing infrastructure and technology, but also regulatory and proactive intelligence expertise that allow businesses to grow confidently in a more complex trade world.
Conclusion
In the past year, shipping overseas has become significantly more complex, highlighting the need for support for companies to simplify cross-border logistics, in order to protect growth and profits.
In this era we are living, logistics readiness transcends physical networks. It requires regulatory foresight, data-driven agility, and operational diversification. Companies that embed resilience, leverage automation, partner with compliance specialists will be in the best position to navigate these ongoing challenges.
Failing to master the evolving trifecta of de minimis reform, logistics readiness, and intelligent supply chain design can leave firms in hot water. Particularly those aiming to succeed in the world of global e commerce.
Stan Aalbers, manager marketing e-commerce, FedEx
