Global Parcel Shipments to US Face Widespread Disruption as Key Tariff Exemption Ends

Global Parcel Shipments to US Face Widespread Disruption as Key Tariff Exemption Ends

Global Parcel Shipments to US Face Widespread Disruption as Key Tariff Exemption Ends

Global Parcel Shipments to US Face Widespread Disruption as Key Tariff Exemption Ends
Image from CNN

International parcel shipments to the United States are facing significant disruption as Japan, Australia, and Taiwan join a growing list of nations suspending services. The widespread halts come as the Trump administration’s ‘de minimis’ tariff exemption, which allowed goods valued at $800 or less to enter the US duty-free, officially ends this week.

Effective today, Wednesday, August 27, Japan Post has suspended deliveries of small packages exceeding $100 to the US. This follows similar actions from Australia Post, which partially suspended services to the US and Puerto Rico yesterday, August 26, and Taiwan’s postal service, which also ceased small parcel deliveries to the US yesterday. These moves align with earlier suspensions by countries including India, Thailand, South Korea, and New Zealand, all citing logistical challenges and uncertainty surrounding the new US tariff policies.

The elimination of the ‘de minimis’ rule aims to curb low-cost imports and bolster domestic manufacturing, but it has sent shockwaves through global postal networks and e-commerce supply chains. Major international carriers like DHL also began halting US-bound shipments on August 25, anticipating the new regulations.

The changes are expected to heavily impact online marketplaces like Amazon Haul, TikTok Shop, Etsy, and Shopify, which connect US consumers with businesses worldwide. With US Customs and Border Protection estimating over 1.36 billion ‘de minimis’ shipments last fiscal year, the new per-item charges could significantly increase costs for senders and consumers alike, ranging from $80 to $200 per item depending on tariff rates.

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