MPF Minimum and Maximum Increase on October 1, 2019
MPF Minimum and Maximum Increase on October 1, 2019
Due to inflation, effective October 1, 2019, the Merchandise Processing Fee (MPF) will increase from a minimum of $26.22 and a maximum of $508.76 to
a minimum of $26.79 and maximum of $519.76.
What is MPF?
The Merchandise Processing Fee (MPF) for formal U.S. Customs entries is an ad valorem fee of 0.3464% of the commercial value of goods. The fee is based on the value of the merchandise being imported, not including duty, freight, and insurance charges. Formal entries are required for imports of commercial goods valued at $2,500 or more.
Informal entries generally, do not require a CBP bond and are usually for personal use imports or commercial imports valued less than $2,500 (only if the Port Director requests based on importation).
View announcement in Federal Register.
Background
On December 4, 2015, the Fixing America’s Surface Transportation Act (FAST Act, Pub. L. 114-94) was signed into law. Section 32201 of the FAST Act amended section 13031 of the Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1985 (19 U.S.C. 58c) by requiring certain customs COBRA user fees and corresponding limitations to be adjusted by the Secretary of the Treasury (Secretary) to reflect certain increases in inflation.
Consulting
Our expert team of Licensed Customs Brokers and Global Trade Experts are happy to help. Please email consulting@scarbrough-intl.com for a FREE 30-minute consultation for your U.S. Customs and Supply Chain optimization needs.
