Selling to the US from the UK: what to know

You can sell to the US from the UK, but since 2025 it has become more involved. As of October 2026 there’s no duty-free allowance for low-value parcels, so almost every order can attract US import duty, and most UK goods face an extra tariff on top of normal duty rates. The shops that do well collect those costs at checkout (delivered duty paid), price in dollars, and use a carrier that handles US customs properly. You may also need to think about US sales tax and product rules.

Duties and tariffs: where things stand

Until August 2025, parcels worth up to $800 could enter the US duty-free. That allowance (often called “de minimis”) was suspended, and as of October 2026 it remains suspended for goods from every country, including the UK.

• Normal US duty rates apply to your goods, depending on what they are. Some products have a 0% rate, others more.
• An additional tariff applies to most UK goods on top of that. According to carrier and tariff trackers, it was 10% for the UK as of October 2026, but the legal basis and rates have shifted more than once.
• Postal parcels are included. Duties now apply to parcels sent by post as well as by courier, and postal services generally need duties paid in advance.
• Formal customs data is needed for every parcel: an accurate description, value, country of origin and ideally a US tariff code (HTS code).

Delivered duty paid vs unpaid

Delivered duty unpaid (DDU / DAP)

The shopper pays duties and fees when the parcel arrives. Cheaper for you up front, but shoppers often refuse parcels with surprise charges, and you lose the sale and the postage.

Delivered duty paid (DDP)

You collect duties at checkout (or build them into your prices) and the carrier pays them. The shopper pays nothing on delivery. This is what most American shoppers expect.

For most small UK shops, DDP through a courier or a cross-border shipping service is the sensible choice. It costs more to set up, but it protects your reviews and your refund rate.

US sales tax

The US doesn’t have VAT. Instead, most states charge sales tax, added at checkout rather than included in the price. Each state sets its own rules.

• A seller usually has to collect a state’s sales tax once it has “nexus” there. For online sellers, that often means passing a sales threshold in that state, commonly $100,000 a year, though each state differs.
• This can apply to sellers based outside the US too.
• Below those thresholds, a small UK shop often won’t need to collect sales tax, but keep track of your sales by state.
• If you sell through a marketplace like Amazon or Etsy, the marketplace usually collects sales tax for you on those sales.

If your US sales are growing, a US sales tax adviser or a sales tax software service can tell you where you stand.

Check your products are allowed

Some products have extra US rules. It’s worth checking before you list them:

• Food, supplements, cosmetics and medical devices may fall under the US Food and Drug Administration (FDA).
• Electronics that use radio (Bluetooth, Wi-Fi) may need FCC authorisation.
• Children’s products and toys have safety and testing rules from the Consumer Product Safety Commission.
• California has its own warning-label rules (Proposition 65) for some chemicals.
• Restricted items such as some batteries, aerosols and liquids have carrier limits on air freight.

Delivery: choosing a carrier

You’ve broadly got three routes:

1. 1Post with prepaid duties. Royal Mail and Parcelforce have services for the US that handle duties up front. Check their current US options, as these changed during 2025.
2. 2Express couriers. DHL, FedEx and UPS are fast and handle customs well, but cost more per parcel.
3. 3Cross-border consolidators. These collect your parcels in the UK, clear them in bulk and hand them to a US carrier for the last mile. Often good value once you have regular volume.

Whatever you choose, show realistic delivery times on product pages. US shoppers are used to fast domestic shipping, so a clear “arrives in 5–8 working days” is better than leaving them guessing.

Pricing for American shoppers

• Show prices in US dollars. A pound price with a currency note feels like a foreign shop.
• Set US prices separately rather than converting your UK prices. UK prices include VAT, which you don’t charge on exports, and US prices need to cover duties and higher delivery costs.
• Be clear about duties. A line like “All duties included, nothing extra to pay on delivery” builds trust.
• Think about free delivery thresholds in dollars that make sense for US orders.

Separate pricing per country is much easier when your shop supports it. On Merchella, the US is one of the countries you can switch on, with its own dollar prices, delivery options and web address.

Returns and customer service

• Returning goods from the US to the UK is expensive. Decide in advance whether you’ll offer refunds without a return for low-value items.
• Consider a US returns address through a returns service if you get regular US orders.
• Adjust your wording: “color”, “cell phone”, “zip code” and US sizes where relevant.
• Answer messages in a time window that suits US time zones, even if it’s a quick morning check.

Getting paid

Take payment in dollars through a provider that supports US cards and wallets. PayPal, Apple Pay and Google Pay are all familiar to American shoppers. Check your provider’s fees for international cards and currency conversion, as these are often higher than for UK cards.

On the UK side

Goods you export from the UK can usually be zero-rated for UK VAT, as long as you keep proof that they left the country, such as carrier records. Check HMRC’s guidance on exporting goods on gov.uk.

In short

The US is a big market, but it’s no longer a case of popping a parcel in the post. As of October 2026, expect duties on nearly every order, collect them at checkout with a delivered-duty-paid service, price in dollars, check your products against US rules and keep an eye on state sales tax. Re-check the rules every few months, because they’ve changed often.