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4h ago

U.S. Ends Duty-Free De Minimis on Small Parcels as Postal Suspensions Spread

Customs now charges duties on all sub‑$800 imports under a temporary flat‑fee transition to curb illicit shipments, boosting revenue.

The Universal Postal Union said that 25 of its member countries have notified that they have suspended outbound postal services to the US
The Trump administration ended the de minimis tariff loophole on Friday, Aug. 29.
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Delivery Man Uses Hand Truck Trolley Full of Cardboard Boxes and Packages, Loads Parcels into Truck / Van. Professional Courier / Loader helping you Move, Delivering Your Purchased Items Efficiently

Overview

  • CBP began collecting standard tariffs on all parcels under $800 on Aug. 29, offering a six‑month $80–$200 flat duty option for postal shipments.
  • The first day saw few processing hiccups compared with earlier attempts, as more than two dozen foreign postal operators curtailed U.S. parcels while procedures are clarified.
  • Postal services including Australia Post, PostNord, Deutsche Post/DHL, La Poste, Japan Post and India Post suspended or limited shipments, citing unresolved questions on duty collection and data requirements.
  • The administration says the move targets fentanyl and counterfeit flows and could add about $10 billion a year in customs revenue, after de minimis volumes grew to 1.36 billion packages in FY2024.
  • Consumers and small sellers face higher costs and potential delays, with analyses showing double‑digit price increases and some exporters pausing U.S. sales, while platforms like Shein and Temu adjust pricing and Urban Outfitters expects a competitive lift.