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Merchandise Processing Fee (MPF) Explained: Rates and Caps

By ANKPOST Operations Team · 2026-06-13

What is the Merchandise Processing Fee?

The Merchandise Processing Fee (MPF) is a fee charged by CBP on most imported merchandise to fund customs processing, calculated as 0.3464% of the entered value for formal entries (generally entries valued over $2,500), subject to a statutory minimum and maximum per entry, while informal entries (generally under $2,500) are charged a flat fee instead of the percentage-based calculation. Independent dispatch data indicates that for high-value containers, the ad valorem MPF calculation frequently hits the maximum cap, meaning the effective MPF rate as a percentage of cargo value decreases as cargo value increases beyond the cap threshold — making MPF effectively regressive for high-value shipments relative to lower-value ones.

In this article

Cost structure / standard tiers

MPF has distinct structures for formal and informal entries, each with its own floor and ceiling.

Entry Type MPF Calculation Minimum Maximum
Formal entry (value > $2,500) 0.3464% of entered value ~$32 per entry ~$634 per entry
Informal entry (value <= $2,500) Flat fee ~$2-$10 depending on filing method N/A (flat)
FTZ weekly entry 0.3464% of weekly aggregate value Single weekly minimum applies Single weekly maximum applies

A container with declared value above roughly $183,000 will hit the formal entry MPF maximum, meaning additional value above that threshold incurs no additional MPF.

Risk mitigation / operational guidance

For high-volume importers near the formal entry threshold on individual shipments, evaluate whether consolidating shipments into fewer, higher-value entries (where the MPF max is more likely to apply) versus more numerous lower-value entries changes total MPF exposure — the minimum-per-entry structure means many small entries can result in higher aggregate MPF than fewer larger ones. For FTZ operators, weekly entry filing aggregates MPF across all withdrawals in a week subject to a single min/max, which is one of the more commonly cited cost benefits of FTZ status for high-frequency shippers. Confirm MPF rates with the customs broker periodically, as the minimum and maximum caps are adjusted periodically for inflation under statutory formulas and can change between fiscal years. Reconcile MPF charges on broker invoices against entered values to confirm the correct entry type (formal vs informal) was applied, since misclassification can result in over- or under-payment.

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