Overview
- Customs and Border Protection began charging tariffs at 12:01 a.m. EDT on every incoming package, replacing the $800 duty‑free threshold with country‑based rates of roughly 10% to 50% or a temporary $80–$200 flat fee for postal shipments, with letters and personal gifts under $100 still exempt.
- National postal operators across Europe and Asia have paused or limited U.S. parcels due to collection and data‑sharing hurdles, while UPS and FedEx say they are prepared to process duties, and the U.K.’s Royal Mail resumed service using a duties‑paid option.
- Express carriers must collect full tariff rates immediately, foreign postal services may use the flat‑fee option only during the transition, and all postal operators must shift to value‑based duty collection by Feb. 28, 2026.
- Analysts estimate the change will cut U.S. consumer welfare by roughly $11–$13 billion a year as platforms report order cancellations and higher costs, while the White House projects up to $10 billion in annual tariff revenue.
- The overhaul follows a May cutoff for China and Hong Kong and affects a flow that reached 1.36 billion de minimis parcels in fiscal 2024, with many sellers now weighing price increases or U.S. warehousing to keep shipping viable.