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US Suspends Parcel Deliveries from China, Hong Kong Amid Trade Changes

USPS has temporarily suspended parcel acceptance from China and Hong Kong following new trade measures by President Trump. The move, linked to the elimination of the de minimis rule, is expected to disrupt e-commerce and supply chains, affecting companies like Shein and Temu.

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US Suspends Parcel Deliveries from China, Hong Kong Amid Trade Changes

The United States Postal Service (USPS) has temporarily stopped taking incoming overseas packages from China and Hong Kong Effective immediately and until further notice. The agency announced this on Tuesday but did not explicitly link it to recent trade measures put by US President Donald Trump.

As per AFP, USPS affirmed in a statement that the suspension would have no impact on letter deliveries. Previously, parcels under $800 were let to enter the United States without taxes or inspections under the long-standing “de minimis” relief for low-value items, a regulation eliminated by Trump’s executive order. The action follows that of Trump’s executive directive.

Impact on e-commerce and Trade of China

Particularly benefiting China online markets like Shein and Temu, the de minimis law had allowed cheap imports. According to the New York Times, millions of these packages will now be subject to taxes, inspections, and possible delays under the new plan, therefore affecting businesses as well as consumers in the e-commerce sector.

In addition to abolishing the minimum rule, Trump’s executive order, which came into force on Tuesday, sets a 10% duty on all imports from China. Part of a more general plan to tackle trade deficits and slow the flow of contraband including fentanyl, is this action plan. The new policy means low-value packages will receive the same inspection as more valuable ones.

Worries about Supply Chain Interruptions and Shipping Delays

Although USPS has not expressly tied its suspension to these new laws, sector specialists believe that more package checks would lead to major shipping delays. The policy change is anticipated to compound the existing strain on resources of Customs and Border Protection (CBP), which is in charge of checking international shipments as it already fights with great volumes.

As per the New York Times, FedEx and UPS, which deal with many of these low-value parcels, have also raised worries about potential supply chain interruptions and delays.

E-commerce Behemoths Encounter Difficulties

The changed trade rules could present major hurdles for companies like Shein and Temu, therefore affecting cross-border buying and rendering low-cost imports more difficult for U.S. consumers. According to AFP, Amazon—a second major player in the online market—has still to provide any remarks concerning the possible repercussions.

Forced to conform to changing rules and rising expenses, the suspension, and fresh trade policies could reshape the dynamics of global e-commerce. These changes are expected to disrupt international commerce and distribution systems, impacting both consumers and businesses.