Shipping to the USA in 2025: Australia Post + Zonos, DDP vs DDU, and The Two Clearance Paths

If you’re an Australian business shipping parcels to the U.S., the rules just changed. Tariffs are higher, exemptions have vanished, and Australia Post even paused many of its U.S. services while new systems were put in place. That doesn’t mean you can’t ship, it just means you need to understand the clearance rules, how partners like Zonos step in, and whether postal or express couriers are the right fit for your orders.

What changed

• As of late August 2025, the U.S. suspended the “de minimis” $800 rule.
• Every shipment, postal (Australia Post → USPS) or commercial (UPS, FedEx, DHL) , is now subject to duties and taxes.
• This change was enacted under the IEEPA (International Emergency Economic Powers Act), allowing the government to impose trade restrictions/tariffs during a declared national emergency.

So, no more automatic duty-free entry for lower-value goods, but how duties are handled depends on the clearance route.

Postal clearance (e.g., Australia Post + Zonos → USPS)

Postal networks like Australia Post were never designed to collect duties in advance. But under the International Emergency Economic Powers Act (IEEPA), the U.S. government recently declared an economic trade emergency and used those powers to change how imports are taxed.

As a result, U.S. Customs and Border Protection (CBP) now requires that all duties and taxes on postal parcels be pre-calculated and paid before USPS can release them for delivery.

What happens step by step:

1. Handover to USPS: Australia Post hands parcels to USPS at a U.S. International Service Center; USPS transfers them to CBP for screening/clearance.
2. Import charges applied: CBP applies the following duties:
   • Ad valorem duty: A percentage of the parcel’s declared customs value (product + shipping + insurance). For Australian-origin products, a typical rate is 10%, but this varies by Country of Origin (COO) and the material/type of the product.
3. Prepayment required: Without prepaid duties/taxes, USPS cannot deliver the parcel. It will be held until cleared. USPS doesn’t charge a brokerage fee, but a bonded/qualified party must calculate, file, and remit duties for postal shipments.
4. Australia Post’s solution with Zonos: Australia Post paused many U.S. services until a partner like Zonos could step in. Zonos enables DDP by calculating duties/taxes upfront and billing the sender once CBP finalises them. Zonos also charges a AUD $1.69 service fee per shipment.
5. Service resumption: On 9 September 2025, Australia Post confirmed it will resume U.S. postal deliveries (including overseas territories) by 25 September 2025 or earlier, with Zonos powering the new DDP process.

In short: IEEPA gave the U.S. authority to suspend the old $800 duty-free threshold and enforce mandatory prepaid duties on postal imports. That’s why postal shipments now require DDP with Zonos, while express couriers continue using their own broker systems.

Who ultimately gets charged?

With Australia Post and Zonos, the sender (you, the merchant) is the one billed for duties, taxes, and Zonos’s service fee.

For example:

• Parcel value: $200
• 10% duty (ad valorem): $20
• Zonos service fee: $1.69
• Total billed to you: $21.69

Most retailers don’t absorb this cost directly. Instead, they mark up their product price or shipping rate so the customer effectively covers it, while still enjoying a clean, all-in checkout price. This approach is standard in cross-border ecommerce because it boosts conversion and avoids abandoned carts caused by hidden fees.

Courier / Express shipments (e.g., UPS, FedEx, DHL)

Unlike postal networks, express couriers already had customs-broker systems in place. They file entries electronically through CBP’s ACE system (Automated Commercial Environment) and can advance duties and taxes on behalf of the shipper.

That’s why express services never paused; they were already compliant when the U.S. rules changed.

How duties and taxes work with couriers

• DDP - Delivered Duty Paid:
  • You (the sender) cover the duties and taxes upfront.
  • The courier collects these charges from you and remits them directly to CBP.
  • Your customer sees a clean, all-inclusive price at checkout.
• DDU/DAP - Delivered Duty Unpaid
• You don’t prepay duties and taxes.
• The courier bills your customer before delivery.
• The parcel is held until the consignee pays, which can mean delays or even refused deliveries.

Brokerage fees

Because the courier acts as your customs broker, they:

• Prepare and lodge the customs entry.
• Classify your goods with the right HS codes.
• Advance duties and taxes to CBP.

For this service, they charge a brokerage fee.

The trade-off

• Postal: No brokerage fees, but mandatory prepaid duties/taxes (DDP via Zonos).
• Couriers: Flexible payment options (DDP or DDU) but added brokerage costs.

Why most retailers still choose DDP with couriers

• Better customer experience: no surprise fees on delivery.
• Fewer refusals: parcels aren’t bounced back for non-payment.
• Faster delivery: avoids holds while waiting for duties to be collected.

What costs apply when sending a parcel to the U.S.?

When you hear about ad valorem duties (a % of the item’s value), it’s important to remember these are only one part of the total landed cost. A full U.S. shipment involves several other fees and charges you’ll want to plan for:

1. Customs Duties
   
• Ad valorem duty: typically 10% of declared customs value for many Australian goods (product + shipping + insurance).
2. U.S. Taxes
   
   • Merchandise Processing Fee (MPF): ~0.3464% with set minimums/maximums.
   • Harbor Maintenance Fee (HMF): For ocean freight (not air parcels).
   • Local/state taxes: May apply if goods are warehoused in the U.S.
3. Courier & Handling Fees
   • Brokerage fees: Couriers like UPS, FedEx, and DHL charge for handling customs clearance paperwork. There’s no brokerage fee from USPS like you’d see with couriers.
   • Advancement/disbursement fees: If you ship DDU (Delivered Duty Unpaid), the courier pays duties to U.S. Customs on your behalf and then bills the receiver a service fee.
   • Surcharges: Fuel, residential delivery, remote area surcharges may also apply.
   • Zonos service fee: When using Australia Post with Zonos, there’s an additional AUD $1.69 fee per shipment on top of the duties and taxes collected. This covers Zonos’s role in estimating, billing, and remitting duties/taxes on your behalf.
4. Logistics Costs
   • Freight/shipping charges: The cost to physically move the parcel, based on weight, size, and speed of service.
   • Insurance: Optional but recommended for higher-value/fragile goods.

U.S. Shipping Cheat Sheet: Postal vs Couriers

How to Fill Out a Customs (Commercial) Invoice Properly

When sending parcels overseas, the customs invoice also known as a commercial invoice is one of the most important documents, along with the shipping label. It tells border authorities exactly what’s in your parcel, who it’s from, who it’s going to, and how much it’s worth. If it’s incomplete or inaccurate, you can expect delays, extra charges, or even a return shipment.

Here’s what you need to get right:

• Essential details in your invoice: This is crucial for a smooth customs clearance. Make sure your invoice includes Incoterms® (DDU or DDP), invoice date and number, and seller/buyer details (names, addresses, and contact numbers).
• Your Tax Status and
• Reason for Export
• Required identification numbers

For each product list:

• Clear description (what it is and what it’s made of).
• Quantity.
• 10-digit HS Code (check here to find the correct code and watch this video to learn more).
• Country of manufacture.
• Product value and currency: the value of your goods is what they're sold at, going into the US (declared sale value into the U.S.).
• Packing list: While not compulsory, this is recommended.

Keep Your Customers in the Loop

With the U.S. removing the de minimis exemption, shipping has become a little more complex. Duties and taxes now apply to every parcel, which can affect both cost and delivery times. The best way to keep trust high and carts full? Be upfront and transparent.

Make sure your website, checkout, and customer communications clearly outline:

• Origin of goods: Let customers know where products are made and shipped from.
• Possible charges: Be clear about any tariffs, duties, or taxes that apply.
• Who pays what: Tell customers if you’re covering all the fees (DDP) or if they’ll need to pay on arrival (DDU/DAP).
• Accurate, all-in pricing: Show the full cost so there are no nasty surprises at checkout.
• Delivery expectations: Update timeframes honestly, and flag if there may be delays.
• Your terms: Spell out what happens if delays occur, so you’re not unfairly held responsible.

Clear communication is more than good practice. It builds confidence, reduces complaints, and keeps your customers coming back.

Quick explainer: key terms

Tariff: A Government-set tax rate applied to imported goods (e.g., “10% tariff on apparel”).It's the rule.

Duties: The actual charge collected at the border, based on the tariff.It's the bill you or your customer pays.

USPS: (United States Postal Service): The U.S. postal operator. Australia Post parcels handed off to USPS go through CBP for clearance before final delivery.

CBP: (U.S. Customs and Border Protection): The U.S. government agency that screens, clears, and collects duties/taxes on all imports.

IEEPA: (International Emergency Economic Powers Act): a U.S. law giving the President power, during a declared national emergency, to restrict or regulate trade (e.g., impose special tariffs). It’s the legal basis behind the postal-tariff measures described above.

ACE System:(Automated Commercial Environment): CBP’s electronic platform where couriers and customs brokers file import entries. Express carriers use ACE to submit data and pay duties electronically, which is why they never paused services.

DDP (Delivered Duty Paid): Seller pays duties/taxes/fees upfront; best for zero surprises.

DDU/DAP (Delivered Duty Unpaid): Receiver pays on arrival; may cause delays/refusals and isn’t allowed for U.S. postal under current rules.

Ad valorem: Duty calculated “according to value.” Rates vary by HS code, COO, and material/type. You can look up the exact tariff by entering your HS code and origin into the U.S. ITC Harmonized Tariff Schedule.

Brokerage fee: A fee charged by couriers (e.g. UPS, FedEx, DHL) for acting as your customs broker. It covers the administration of filing customs entries and advancing duties/taxes. .

Incoterms: International rules defining who pays for shipping, insurance, duties, and taxes (e.g., DDP, DAP/DDU).

Zonos: Zonos is a cross-border technology platform that enables Delivered Duty Paid (DDP) by estimating duties and taxes upfront (based on HS codes, country of origin, and product value), charging a small AUD $1.69 service fee per shipment, and then billing the sender once U.S. Customs finalises the assessment.