Postal services across the globe are hitting the brakes on parcel deliveries to the United States, as confusion and uncertainty swirl around a sweeping new policy that will end the longstanding duty-free treatment for millions of low-value packages. The move, set to take effect on August 29, 2025, is sending shockwaves through the world of e-commerce, logistics, and international trade, leaving businesses, consumers, and shipping companies scrambling for answers.
At the center of this upheaval is President Donald Trump’s decision to eliminate the so-called de minimis exemption, a policy that has allowed over 4 million parcels to enter the US each day without facing tariffs or rigorous customs scrutiny. According to Financial Post, the policy change—first rolled out for China and Hong Kong in May—will now apply to shipments from all countries, with the exception of verifiable gifts valued at less than US$100, which will remain duty-free. The White House has framed the move as a crackdown on what it calls a “loophole” that has allegedly enabled tariff evasion and the smuggling of illegal drugs into the country.
The impact has been immediate and dramatic. Postal services from Asia to Europe are suspending or scaling back deliveries to the US, citing a lack of clarity from American authorities about how the new duties will be collected, what data must be submitted, and how customs compliance will be enforced. Korea Post announced it would halt accepting air parcels and some express mail services to the US starting August 26, while Singapore’s SingPost is suspending standard commercial shipments as of August 25, though premium services will remain available—albeit subject to new customs duties.
Japan’s postal authorities have warned of possible delays or returned parcels, promising to share more information as it becomes available. In Europe, Norway and Finland’s postal carriers began suspending shipments on August 23. Deutsche Post and DHL Parcel Germany are temporarily suspending business customer parcels bound for the US starting August 22, with DHL Express services still available. “Key questions remain unresolved, particularly regarding how and by whom customs duties will be collected in the future, what additional data will be required, and how the data transmission to the US Customs and Border Protection will be carried out,” DHL said in a statement quoted by BBC News.
The Czech Republic has already halted US-bound parcels, while Austria’s postal provider will stop accepting them after August 25, according to Financial Post. Belgium’s Bpost is pausing shipments from August 22, and the UK’s Royal Mail is planning a brief suspension for business account customers next week to implement a revised system for handling the newly imposed duties. Australia Post, meanwhile, has temporarily suspended transit service deliveries—items from third countries routed through Australia to the US—but regular direct deliveries between Australia and the US are unaffected.
The uncertainty is not limited to postal operators. Online marketplace Etsy announced it will suspend its shipping label service for national mail services in Australia, Canada, and the UK for US-bound packages starting August 25. The company is urging sellers to use carriers like United Parcel Service (UPS) and FedEx that already offer the ability to pay duties upfront. FedEx has stated it will continue accepting and transporting shipments to the US, unaffected by the postal suspensions, while UPS has not issued a public comment. The US Postal Service, for its part, has not responded to requests for comment.
The roots of the current crisis stretch back to a dramatic surge in de minimis shipments. According to BBC News, the Trump administration cited a jump from 115 million such parcels in the 2023/24 financial year to 309 million by June 30, 2025. While China remains the largest source of these packages—thanks in part to the popularity of e-commerce giants like Shein and Temu—Canada and Mexico also account for significant volumes of low-cost parcels entering the US under the old exemption. The White House contends that ending the duty-free rule is necessary to combat “escalating deceptive shipping practices, illegal material, and duty circumvention.”
But for postal services and businesses, the practicalities of the new regime are anything but clear. Once the exemption ends, US-bound parcels will be subject to tariffs based on the country-of-origin rate imposed by President Trump’s emergency powers. Alternatively, for the next six months, international mail could be assessed a temporary flat fee of $80 to $200 per item, as outlined in an August 15 bulletin from US Customs and Border Protection (CBP). The agency has also certified two companies to collect and pay duties on behalf of international mail carriers—a step welcomed by industry groups, though many say it is not enough.
“It is a real concern that the dominoes are falling and there will be a ripple effect where more and more posts announce that they will be suspending packages to the US,” said Kate Muth, executive director of the International Mailers Advisory Group, in comments reported by Financial Post. She added, “It’s obviously very welcomed,” referring to the CBP’s certification of duty collection firms, “but it’s still a concern that we’re just a week away and we only have the first two approved.”
For many postal providers, the biggest challenge is the lack of detailed guidance from US authorities. Austria’s postal service put it bluntly: “There is currently insufficient information available about the customs clearance procedures that will be required in future. This tightening of the rules poses major challenges for all postal companies worldwide when shipping goods to the USA.” PostNord, the Nordic postal operator, echoed this sentiment, saying its suspension of services was “unfortunate but necessary to ensure full compliance of the newly implemented rules,” as reported by BBC News.
The new rules do not affect personal items Americans carry with them from foreign travel valued at $200 or less, nor do they impact gifts valued at $100 or less. Cards and letters can still be posted as usual, Royal Mail has confirmed. Nevertheless, the broader effect on e-commerce and international trade is undeniable. The abrupt end to the de minimis exemption has left online sellers, particularly small businesses relying on platforms like Etsy, in a bind—forced to either navigate new compliance hurdles or risk losing access to the lucrative US market.
Meanwhile, some shipping giants are adapting more quickly. DHL Express and FedEx have both confirmed their services remain available for US-bound parcels, offering a lifeline for shippers able to afford premium rates and handle the additional paperwork. Still, the vast majority of cross-border e-commerce relies on national postal networks, and their temporary withdrawal threatens to disrupt supply chains and delay deliveries for millions of American consumers.
The Trump administration’s move to accelerate the end of de minimis—originally slated for July 1, 2027, but brought forward by executive order—has caught much of the industry off guard. As the August 29 deadline looms, shippers, postal operators, and consumers alike are left watching and waiting, hoping for clarity from Washington. For now, the only certainty is that the global parcel game has changed, and everyone is scrambling to keep up.
