Small packages, big problem: global post grinds to a halt on U.S. tariff rule. | investingLive
European and Asian postal services are suspending U.S. shipments as the $800 de minimis tariff exemption ends, threatening the flow of small parcels worldwide. The move hits discount retailers like Shein and Temu, while leaving millions of cross-border gift and e-commerce deliveries in limbo.
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Postal agencies across Europe and Asia are pausing or halting shipments to the U.S. as the de minimis tariff exemption, which allowed goods worth $800 or less to enter tariff-free, expires this week.
Trump revoked the exemption for Chinese parcels earlier this year, and as of August 29 it applies to all countries, leaving international carriers scrambling to adjust. At least 16 European postal services
- including Royal Mail, Deutsche Post, Bpost, and France’s La Poste
- plus several Asian carriers such as Japan Post, and Australia Post
have temporarily suspended or restricted deliveries to the U.S., citing unclear guidance from U.S. Customs and lack of time to implement compliance systems.
The disruption threatens the flow of hundreds of millions of small parcels, from personal gifts to e-commerce shipments. Last year, 1.3 billion packages entered the U.S. under de minimis, about 60% from China. Discount retailers like Shein and Temu are already facing sharply higher costs as their business models relied heavily on the exemption.