Everything to Know about Section 321 Entry Type 86 Clearance

Have you ever thought about how you can bring goods into the United States without dealing with complicated customs procedures?

Entry Type 86 provides a simple way for small shipments. This efficient method lets you get through customs for goods valued under $800 without having to pay duties or taxes.

This piece of content will help you understand the requirements and benefits of Section 321 Entry Type 86 clearance.

What is Section 321 Entry Type 86?

Section 321 Entry Type 86 enables duty-free import of US shipments valued under $800. All the Type 86 clearances should be filed in the Automated Commercial Environment (ACE) portal before or upon arrival.

As per the U.S. Customs Act, this rule lets U.S. residents bring in items valued under $800 without any duties on the same day. It’s an excellent option for online buyers aiming to cut costs.

Entry Type 86 is a newer customs entry option that aims to assist the U.S. Customs and Border Protection Agency in overseeing low-value shipments entering the country. It offers increased transparency for these shipments and enhances border security.

This entry type is available for use by the following:

  • Owner
  • A purchaser of a Section 321 low-valued shipment
  • Designated customs broker representing the owner, purchaser, or consignee

Why is Entry Type 86 changing?

US Customs and Border Protection (CBP) made this change to tackle compliance issues with duty-free entries. Since 2019, more shipments have been swiftly cleared under Entry Type 86.

The updated clearance deadline allows CBP to better manage risks from early shipment departures. It also enhances the tracking of goods entering US commerce.

How do changes to Entry Type 86 affect your business?

  • Your shipment cannot leave the site without an official release message from CBP.

  • If your existing carrier or broker cannot meet the new clearance criteria, it might result in delays in transit times.

  • Shipments that do not meet the customs clearance requirements may be subject to default informal or formal entry processes, leading to duty and brokerage charges, even for de minimis shipments.

Eligibility criteria for Entry Type 86

To qualify for Entry Type 86 clearance, you must meet the following criteria:

  • Shipment must be imported per person and day

  • The shipment value should not exceed $800 USD.

Benefits of Section 321 Type 86 clearance

Entry Type 86 clearance offers the following benefits:

  • Less complex and more efficient than a formal entry
  • Entry summary declaration is not required
  • Applicable to low-value shipments
  • Applicable to all modes of transport
  • The cargo release is electronic and received within seconds

What goods are not qualified to take advantage of Entry Type 86 clearance?

The following goods cannot be filed via Type 86 clearance:

  • Goods subject to Countervailing Duties (CVSs) or Anti-Dumping Duties (ADDs)

  • Goods regulated by the following:

    • US Food and Drug Administration (FDA)

    • Consumer Product Safety Commission (CPSA)

    • National Highway Transport and Safety

    • Administration (NHTSA)

    • Food Safety Inspection Service (FSIS)

    • US Department of Agriculture (USDA)

The bottom line

Looking to bring low-value goods into the United States? Entry Type 86 is your go-to for a quick and easy import process. Make sure you know the ins and outs of eligibility and exceptions. By mastering the rules and restrictions of Entry Type 86, importers can make trade smoother and more cost-effective.

Reach out to iCustoms to make your customs clearance process a breeze!

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FAQs

How do I know if the goods are dual-use?

You need to match the technical features and attributes of the goods you want to trade with the predetermined list of dual-use goods established by the government. If the attributes match the parameters defined in the list, the goods fall under the dual-use category.

What are the sanctions on dual-use goods?

The dual-use goods sanctions typically involve:

  • Licencing requirements
  • Export controls
  • Trade embargoes

How do you classify dual use goods?

Dual-use goods classification can be performed using the iCustoms HS code lookup tool, iClassification. It ensures the accurate classification of your goods and determines the HS code precisely, saving you from errors and unnecessary delays.

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iCustoms is an all-in-one solution helping businesses automate customs processes more efficiently. With AI-powered and machine-learning capabilities, iCustoms is designed to streamline your all customs procedures in a few minutes, cut additional costs and save time.

Streamline Product Classification

Classification Icon

Uncover iClassification for precise Global Trade, Delivering Time-Saving Accuracy.