The FY2027 MPF adjustment will change the cost of formal customs entries beginning October 1, 2026. Although the 0.3464% ad valorem rate remains unchanged, higher minimum and maximum fees require importers, customs brokers, and logistics providers to update estimates, billing rules, and landed-cost models before the new fiscal year begins.
What Is Changing for the FY2027 Merchandise Processing Fee?
The Merchandise Processing Fee, commonly abbreviated as MPF, is generally assessed by U.S. Customs and Border Protection on formal entries. For fiscal year 2027, the percentage rate will remain at 0.3464%, but the minimum and maximum amounts will increase to reflect the annual inflation adjustment applied to eligible customs user fees.
Effective October 1, 2026, the minimum MPF for a formal entry will rise from $33.58 to $34.58. The maximum will increase from $651.50 to $670.86. These values apply to entries subject to MPF unless a valid exemption, preferential trade program, or other applicable treatment changes the fee obligation.
The adjustment is based on a 2.84% CPI-U increase for the measured period and a cumulative adjustment factor of 38.322% against the fiscal 2014 base. In practical terms, however, most brokerage and compliance teams should focus on the effective date and the revised fee boundaries rather than the inflation methodology itself.
The Percentage Rate Is Not Increasing
The distinction between the rate and the fee limits is critical. CBP is not raising the 0.3464% ad valorem rate for FY2027. Instead, it is increasing the floor and ceiling that determine the final amount charged after the percentage calculation is performed.
A formal entry producing a calculated MPF below $34.58 will generally be assessed the new minimum. An entry producing a calculated fee above $670.86 will generally be limited to the new maximum. Entries falling between those boundaries will continue to use the 0.3464% rate, subject to any applicable exemption or special treatment.
This means the effect will not be uniform across every shipment. Lower-value formal entries will encounter the higher minimum, while high-value entries that reach the cap will absorb the $19.36 increase in the maximum fee. Mid-range entries may see no change if their percentage-based MPF remains between the new floor and ceiling.
How the New MPF Limits Affect Importers and Brokers
The direct increase on an individual entry may appear modest, but entry volume can turn small unit-level changes into material annual costs. Importers filing thousands of low-value formal entries could experience a recurring $1 increase each time the minimum applies. High-value importers may face an additional $19.36 whenever an entry reaches the new maximum.
The operational effect also extends beyond the amount remitted to CBP. MPF values frequently flow into customer quotes, duty and fee estimates, disbursement calculations, reconciliation reports, accruals, and landed-cost analytics. If one system retains the FY2026 limits while another applies the FY2027 amounts, teams may encounter billing discrepancies and avoidable client questions.
Entry Timing Determines Which Limits Apply
The October 1 effective date makes entry timing an important implementation consideration. Organizations should generally configure the new values according to the date logic used to determine the applicable customs fee, rather than simply replacing the old amounts across every open transaction.
Shipments quoted in September but entered on or after October 1 may require the FY2027 limits. That difference can create a gap between an earlier estimate and the amount ultimately assessed. Brokers should therefore review quote validity language, customer communications, and automated estimate disclaimers for transactions spanning the fiscal-year boundary.
Importers should also distinguish MPF from other government charges. The FY2027 adjustment does not mean that every customs-related fee or tax has changed. Duty, excise tax, and other applicable assessments follow their own rules, rates, and effective dates. A controlled fee table should identify each charge separately rather than applying a broad inflation factor to the entire landed-cost model.
Client Communication Should Focus on the Fee Boundaries
Clear communication can prevent the common misconception that the MPF percentage itself is rising. Client notices and internal guidance should state that the rate remains 0.3464%, the minimum becomes $34.58, and the maximum becomes $670.86. This concise explanation is particularly important for procurement, finance, and sales teams that may not work with entry calculations every day.
Preparing Systems and Workflows for October 1, 2026
A reliable implementation requires more than editing a fee table. Customs brokers and importers should identify every platform, spreadsheet, interface, and business rule that references the MPF minimum or maximum. Depending on the operating model, those values may appear in entry software, transportation management systems, enterprise resource planning platforms, customer portals, rate engines, and business intelligence dashboards.
The ideal configuration uses effective-dated logic. This preserves historical calculations under the correct fiscal-year limits while allowing entries subject to the new amounts to calculate accurately. Overwriting prior values without an effective date can distort historical reports, reissued invoices, post-entry analysis, or audit support.
A Practical Readiness Checklist
Trade operations teams should complete several steps before the effective date:
- Update the formal-entry MPF minimum to $34.58 and maximum to $670.86.
- Confirm that the 0.3464% rate remains unchanged.
- Validate effective-date logic for entries processed around October 1.
- Revise quoting tools, landed-cost models, and customer estimate templates.
- Test low-value, mid-range, and high-value formal-entry scenarios.
- Review customer billing rules for government fee advances and disbursements.
- Preserve FY2026 values for historical reporting and transaction review.
- Communicate the change to entry writers, account managers, finance teams, and clients.
Testing should include boundary conditions, not merely a typical entry. Teams should verify that calculations below the floor return $34.58, calculations within the permitted range retain the percentage-based amount, and calculations above the ceiling stop at $670.86. Rounding behavior should also be checked across integrated systems.
Other FY2027 Customs User Fees
The same annual adjustment affects several related user fees. For FY2027, an automated informal entry not prepared by CBP will generally carry a $2.77 fee. A manual informal entry not prepared by CBP will be $8.30, while a manual informal entry prepared by CBP will be $12.45.
The manual entry or release surcharge will be $4.15, and the express consignment fee will be $1.38 per waybill. Organizations handling informal entries or express shipments should update these amounts alongside the formal-entry MPF limits, while ensuring that each fee is mapped only to the transactions for which it applies.
- CBP published its annual FAST Act inflation adjustment notice (CBP Dec. 26-14) on July 31, 2026 (91 FR 48398), raising the FY2027 Merchandise Processing Fee minimum from $33.58 to $34.58 and maximum from $651.50 to $670.86 effective October 1, 2026, while leaving the 0.3464% ad valorem rate unchanged; the 2.84% CPI-U rise produced a 38.322% cumulative factor from the FY2014 base.
- Brokerage and logistics providers issued client alerts throughout August 2026 (Alba Wheels Up on August 4, Livingston International on August 5, Mohawk Global on August 17) urging importers and brokers to update quoting tools, landed-cost models, and entry estimates for the new MPF floors/ceilings and related informal-entry and express-consignment fees.
- C.H. Robinson released a September 18, 2026, North America trade advisory reminding clients of the October 1 MPF changes (minimum $34.58, maximum $670.86) as part of a broader CBP update that also noted the Harbor Maintenance Fee is unaffected.
- On X, CustomsCity posted an August 20, 2026, summary of the exact FY2027 MPF figures and calculated that the new $34.58 minimum creates a breakeven entered value of roughly $9,983; Star Asia International followed with September 12 and 21 customer advisories on the MPF update and the related customs-broker permit fee increase.
Frequently Asked Questions
What Is the FY2027 MPF Minimum?
The FY2027 minimum Merchandise Processing Fee for a formal entry is $34.58. It increases from the FY2026 minimum of $33.58 and takes effect on October 1, 2026. When the percentage-based calculation falls below the minimum, the entry will generally be assessed $34.58 unless an exemption or other special treatment applies.
What Is the FY2027 MPF Maximum?
The FY2027 maximum MPF is $670.86, up from $651.50 in FY2026. A formal entry whose calculated MPF exceeds the ceiling will generally be capped at $670.86. High-value entries that previously reached the maximum will therefore experience the most visible per-entry increase.
Is the MPF Percentage Rate Changing?
No. The ad valorem MPF rate remains 0.3464%. Only the minimum and maximum boundaries are changing for FY2027. This distinction should be reflected in client communications, software configuration, and internal training to avoid applying an incorrect percentage to entered value.
When Do the New MPF Amounts Take Effect?
The new amounts take effect on October 1, 2026, the beginning of the federal government’s 2027 fiscal year. Brokers and importers should use effective-dated configuration so the correct fee limits are applied based on the relevant entry timing and operational rules.
Which Entries Will Be Most Affected?
Low-value formal entries that trigger the minimum will generally incur an additional $1 per entry. High-value entries that reach the cap may incur up to $19.36 more than under the previous maximum. Formal entries with percentage-based fees between the new minimum and maximum may not experience an MPF change.
Do Quoting and Landed-Cost Tools Need to Be Updated?
Yes. Any tool that estimates government charges should be reviewed. This typically includes brokerage quoting systems, landed-cost calculators, customer portals, spreadsheets, billing applications, and ERP fee tables. Teams should also test interfaces to ensure one platform does not overwrite the correct fee produced by another.
How Stable Software Can Help
Automating Effective-Dated Customs Fee Management
Stable Software helps importers and customs brokers manage changing customs fees without relying on disconnected spreadsheets or manual updates. Effective-dated configuration can support accurate FY2026 and FY2027 calculations, while automated workflows help keep quotes, entry estimates, customer billing, and landed-cost data aligned.
Centralized rules also make it easier to test fee boundaries, preserve historical values, and identify discrepancies before they affect clients or financial reporting. By connecting customs operations with structured data and configurable automation, trade teams can reduce repetitive work while strengthening calculation control. Learn more about streamlined brokerage and import operations at Stable Software.
