MPF and HMF: The Entry Fees Every US Importer Pays Before Tariffs (FY2027)
Last updated October 12, 2026·Data: Federal Register CBP Dec. 26-14 + 19 CFR 24.23–24.24 + USITC HTS export
Short answer: before a single dollar of tariff, every formal US entry owes the Merchandise Processing Fee (MPF, 0.3464% of value) and ocean cargo adds the Harbor Maintenance Fee (HMF, 0.125%). For FY2027 the MPF is clamped between $34.58 and $670.86 — so a $2,500 shipment pays $34.58 (a 1.38% effective bite), while a zero-duty smartphone line still owes $34.64 on a $10,000 order.
Importers learn early to look up their duty rate. Far fewer know that the Harmonized Tariff Schedule prints only half of what the border charges. Two user fees sit underneath every formal entry; they are billed by CBP alongside duty on the entry summary, and for small and mid-sized shipments they routinely cost more than the tariff itself. This guide computes exactly what they add in fiscal year 2027, using the annual inflation adjustment CBP published in the Federal Register on July 31, 2026, and the official HTS export behind our landed-cost duty calculator.
What the MPF and HMF actually are
The Merchandise Processing Fee funds CBP's entry processing: filing, review, examination and admissibility work under the Consolidated Omnibus Budget Reconciliation Act framework. It is an ad valorem fee — 0.3464 percent of the customs value determined under 19 U.S.C. 1401a — but with two clamps that dominate small-shipment economics. The Harbor Maintenance Fee is a separate 0.125 percent levy on the value of cargo loaded on or unloaded from a commercial vessel at a US port, funding harbor maintenance. It never applies to air freight.
Both fees scale with the same value base as duty — which is why valuation disputes matter twice over (see which value US Customs actually taxes) — and neither is affected by preferential trade-agreement duty treatment unless the agreement's notes say so.
The FY2027 numbers, straight from the Federal Register
CBP adjusts these user fees each fiscal year under the FAST Act when CPI movement exceeds one percent. For FY2027 (effective October 1, 2026) the adjusted amounts are:
| Fee | FY2027 amount | Legal basis |
|---|---|---|
| MPF ad valorem rate | 0.3464% (unchanged since 2017) | 19 CFR 24.23(b)(1)(i)(A) |
| MPF minimum per entry | $34.58 | 19 CFR 24.23(b)(1)(i)(B) |
| MPF maximum per entry | $670.86 | 19 CFR 24.23(b)(1)(i)(B) |
| Informal entry, automated | $2.77 flat | 19 CFR 24.23(b)(2)(i) |
| Informal entry, manual | $8.30 flat | 19 CFR 24.23(b)(2)(ii) |
| Manual entry surcharge | $4.15 | 19 CFR 24.23(c) |
| Harbor Maintenance Fee (vessel) | 0.125% of value | 19 CFR 24.24(a) |
The floor and the ceiling: break-even arithmetic most guides skip
The clamps, not the rate, decide what small importers actually pay. Because 0.3464 percent of anything below $9,982 is less than $34.58, the minimum binds across that entire range — every formal entry from a few hundred dollars up to about $9,982 pays exactly $34.58. On the other end, once declared value passes about $193,667, the $670.86 ceiling freezes the MPF; the fee becomes a rounding error for large importers while remaining regressive for small ones.
| Declared customs value | Raw 0.3464% | MPF charged (clamped) | Effective fee burden | HMF if by sea |
|---|---|---|---|---|
| $1,500 | $5.20 | $34.58 | 2.31% | $1.88 |
| $2,500 | $8.66 | $34.58 | 1.38% | $3.12 |
| $5,000 | $17.32 | $34.58 | 0.69% | $6.25 |
| $10,000 | $34.64 | $34.64 | 0.35% | $12.50 |
| $25,000 | $86.60 | $86.60 | 0.35% | $31.25 |
| $150,000 | $519.60 | $519.60 | 0.35% | $187.50 |
| $250,000 | $866.00 | $670.86 | 0.27% | $312.50 |
Read the middle column against the fourth: at $2,500 of value the effective fee burden is 1.38% — higher than the general duty rate on many industrial lines — while at $250,000 it has collapsed to 0.27%. If you consolidate several small orders into one formal entry, the MPF math alone can pay for the consolidation.
Worked examples: two real HTS lines
Example A — the zero-duty trap. Smartphones (HTS 8517.13.00.00) enter at a Free general rate, yet a $10,000 shipment moved by sea generates $34.64 MPF plus $12.50 HMF — $47.14 in fees for “zero-tariff” goods. By air the same box costs $34.64 in fees. Sellers pricing a US launch off the tariff table alone get this wrong constantly.
Example B — duty plus fees on cotton apparel. Cotton knit T-shirts (HTS 6109.10.00) carry a 16.5% general rate. On a $25,000 order that is $4,125.00 duty, plus $86.60 MPF, plus $31.25 HMF by sea — $4,242.85 total to the border, an effective 16.97% of invoice value. Flying the order saves the HMF: $4,211.60 all-in.
The $2,500 shortcut: informal entry
Shipments valued at $2,500 or less may clear under informal entry (19 CFR 143.21), replacing percentage-based MPF with a flat fee: $2.77 automated, $8.30 manual, and $12.45 when CBP prepares it for you. Against the $34.58 formal minimum that is a $31.81 saving — a 12.5× reduction — per entry. Three limits matter: informal entry is barred for articles covered by Chapter 99 additional duties above $250, the shipment must otherwise qualify (many food, quota and agency-PG goods do not), and choosing informal status purely for the fee can backfire if the classification needs formal treatment. When in doubt, screen the SKU first with the Chapter 99 stacking map.
Who escapes these fees
Both fee regimes carve out narrow exemptions. HMF exemptions under 19 CFR 24.24(c) cover chapter 98 provisions, products of US insular possessions, CBERA beneficiaries, least-developed beneficiary developing countries and General Note 19 merchandise, among others; MPF follows its own exemption list in 19 CFR 24.23(c) and for express consignments bills a per-waybill fee instead. Canada- and Mexico-bound questions trip importers often — overland cargo can escape HMF in specific circumstances, but the exemption turns on the mode and port facts, not the origin label. Verify against the regulation text rather than a competitor's FAQ page.
Four steps to audit your own fee bill
- Resolve the ten-digit classification. Statistical suffixes share the base rate but can differ in remedial scope; start from finding your HS code.
- Determine formal vs informal entry. Value at or below $2,500 and eligible? The $2.77 flat fee likely beats everything else. Above that, formal entry is mandatory.
- Compute duty first, then layer fees. Specific and compound rate types change the duty base (see US rate types explained), but MPF/HMF always ride the 19 U.S.C. 1401a value.
- Apply the clamps and mode split. MPF = min(max(value × 0.3464%, $34.58), $670.86); add HMF only if the cargo moves by vessel. Document each step — brokers bill from your instructions, and errors surface weeks later. Monitor changes automatically with our tariff monitoring plans.
Frequently asked questions
Do I pay the MPF if my duty rate is Free?
Yes. The Merchandise Processing Fee is charged on formally entered merchandise regardless of the duty outcome. In the FY2027 schedule a $10,000 shipment of smartphones--an HTS line with a Free general rate--still owes a $34.64 MPF, plus $12.50 Harbor Maintenance Fee if it moves by sea. Zero tariff is not zero fees.
What is the minimum MPF for fiscal year 2027?
$34.58 per entry, effective October 1, 2026, set by CBP's annual COBRA user-fee adjustment (Federal Register notice CBP Dec. 26-14). Because 0.3464 percent of value falls below $34.58 until value reaches about $9,982, every smaller formal entry pays the floor, which raises the effective rate well above the headline percentage.
Is the Harbor Maintenance Fee charged on air shipments?
No. Under 19 CFR 24.24 the 0.125 percent fee applies to cargo loaded on or unloaded from a commercial vessel at a US port. Air freight pays the MPF but no HMF, so the same $25,000 consignment costs $31.25 less in fees when flown instead of sailed--often decisive for high-value, low-weight goods.
How can a small shipment avoid the MPF minimum?
Shipments valued at $2,500 or less may qualify for informal entry under 19 CFR 143.21. The FY2027 informal fee is $2.77 when filed electronically without CBP help, versus the $34.58 formal MPF minimum--a $31.81 saving per entry. Chapter 99 covered articles and some other categories are excluded.
Does the MPF have a maximum?
Yes. For FY2027 the per-entry limitation is $670.86, reached once customs value passes about $193,667. Above that point the fee stops scaling: a $250,000 entry and a $2,500,000 entry owe the same $670.86 MPF, though the Harbor Maintenance Fee keeps growing with value on ocean cargo.
Sources and methodology
Fee amounts and limitations: Federal Register document 2026-15530
(CBP Dec. 26-14, volume 91, page 48398, published July 31, 2026),
which adjusts COBRA customs user fees for FY2027 effective October 1,
2026. Regulation text: 19 CFR 24.23 (MPF and informal-entry fees),
19 CFR 24.24 (HMF), 19 CFR 143.21 (informal eligibility), retrieved
from the eCFR 2026-10-01 edition XML. Product-line duty rates:
data/hts.json, the full USITC HTS REST export
(USITC HTS export retrieved 2026-10-09). Every computed figure on this page is
regenerated from those inputs at build time; nothing is
hand-copied.
[1] FY2027 limitations and adjusted fees: FR 2026-15530 Table 2.
[2] Ad valorem rate continuity: footnotes 9 and 11 of FR 2026-15530,
citing 82 FR 50523 (November 1, 2017).
[3] Worked examples: data/hts.json records 8517.13.00.00 and
6109.10.00; fee arithmetic per the constants above.
Verify your own line
Sources: eCFR 19 CFR 24.23 - Merchandise Processing Fee · eCFR 19 CFR 24.24 - Harbor Maintenance Fee · Federal Register 91 FR 48398 (CBP Dec. 26-14) · USITC Harmonized Tariff Schedule