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USPS Halts Acceptance of Certain Packages from China and Hong Kong


The U.S. Postal Service has temporarily suspended all inbound packages from China and Hong Kong Posts, effective immediately. This change is due to President Donald Trump’s executive orders imposing tariffs on various countries, including China. The orders eliminate the de minimis provision, which allowed exporters to ship packages worth less than $800 into the U.S. duty-free. This provision was critical for Chinese e-commerce firms like Shein and Temu, who are responsible for a significant percentage of packages shipped to the U.S. under this rule.

The suspension could lead to increased costs for sellers and higher prices for U.S. consumers, as many e-commerce companies rely on USPS for last-mile deliveries. Lawmakers and trade officials have argued that de minimis imports give Chinese companies an unfair advantage and have pushed for curbing them to prevent illicit drugs like fentanyl from entering the country through the mail.

Chinese e-commerce platforms like Temu and Shein have stated that their business models don’t rely on de minimis and have opened distribution centers in the U.S. to store goods locally. This trend of opening U.S. warehouses for domestic distribution has seen explosive demand, as companies seek to hedge against trade restrictions. The impact of the suspension on these e-commerce platforms and their ability to sustain growth in the U.S. remains to be seen.

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