Following the Trump administration’s August 26 removal of the ‘de minimis‘ tariff exemption, a number of countries have suspended package exports to the US.
Although the intention of this measure was to boost domestic production, it has negatively impacted postal and e-commerce systems.
Following the Trump administration’s elimination of the “de minimis” duty exemption, numerous nations temporarily ceased shipments, causing havoc in the worldwide flow of packages to the United States.
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The exception, which expired on August 26, permitted shipments of products valued at $800 or less to enter the US duty-free.
The new regulations have caused disruptions in e-commerce supply chains and postal networks, with the goal of supporting indigenous industry by limiting low-cost imports. With deliveries subject to taxes ranging from $80 to $200 depending on the nation’s tariff rate, small firms and individual sellers throughout the globe are finding it difficult to find alternative.
List of locations that are halting some US package shipments
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Australia
Due to changes in US customs regulations and the removal of the de minimis exemption, Australia Post has temporarily ceased postal services to the US and Puerto Rico, with effect from August 26. The postal service said, “We regret having to take this measure, but given the complexity and quickly changing nature of the problem, a temporary partial suspension has been essential to enable us to design.
E-commerce companies and other Australian businesses have expressed serious logistical difficulties.
It also said, “This approach is consistent with actions taken by several postal operators throughout the world.”
Japan
Effective August 27, Japan Post announced a temporary ban of small packages sent to the US that cost more than $100. Even if there are still other shipping choices, Ryosei Akazawa, the minister of economy, said that the decision is likely to impact low-value e-commerce goods.
Taiwan
Chunghwa Post has stopped sending small items to the US as of August 26. The postal service pointed to the suspension of product mail by contracted carriers and the absence of a worldwide mechanism to prepay customs charges.
“CNN reported that Chunghwa Post cited the lack of a global service for prepaying customs duties, along with its contracted carriers’ decision to suspend merchandise mail deliveries, as the reason for halting package shipments.”
India
Due to technical difficulties and uncertainties around the new tariff regulations, India’s postal service has temporarily halted some outgoing shipments to the US.
Thailand
Thailand Post has temporarily suspended the transportation of certain packages to the United States, especially low-value shipments, due to the removal of the de minimis exemption.
Korea
Customers may still ship things via private carriers like UPS, but Korea Post has stopped delivering certain packages to the US.
New Zealand
New Zealand Post has temporarily suspended some shipments to the US amid concerns over compliance with the new customs and tariff rules.
Hong Kong
Beginning on April 27, Hongkong Post will no longer accept air mail or surface mail to the United States. The action was seen as a reaction to the US administration’s “bullying” tariff increases.
DHL in Europe
DHL and other European postal companies have also joined the wave of bans; as of August 25, DHL will no longer accept shipments to the US. The change impacts low-value packages from small firms and individuals.