The United States Postal Service (USPS) has suspended the acceptance of international parcels from China and Hong Kong, effective immediately, with no clear end date. This move is expected to have significant repercussions on major e-commerce platforms like Shein and Temu, which rely heavily on shipping low-cost goods from China to US consumers.
While the USPS clarified that the suspension affects parcels and not letters, the postal service has not provided a specific reason for the decision. This suspension follows US President Donald Trump’s executive order ending the “de minimis” exemption, which previously allowed packages valued under $800 to enter the US without facing duties or inspections.
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The suspension comes at a time when the US and China are experiencing heightened trade tensions. A 10% tariff on Chinese imports was introduced on Tuesday, and China responded with tariffs on US goods, including coal, crude oil, and agricultural machinery. As part of its retaliatory measures, China also placed two US companies—Illumina and PVH Group—on its “unreliable entities list.”
The impact of the USPS suspension is particularly significant for e-commerce companies like Shein and Temu, which have built their businesses around the de minimis exemption. Experts estimate that nearly half of the parcels benefiting from this exemption come from China, which could disrupt billions of dollars in business. Additionally, the suspension may lead to delays in deliveries, as parcels may now face inspections by US Customs and Border Protection.
With tensions escalating between the US and China, this disruption highlights the far-reaching consequences of the ongoing trade conflict, especially for the global e-commerce industry.