The US Postal Service (USPS) reversed a 12-hour suspension of accepting parcels from China and Hong Kong, following President Trump's termination of a duty-free exemption for low-value packages. The move adds to the confusion surrounding Trump's new 10% tariff on Chinese imports, with retailers and shipping firms struggling to adapt. Major international shippers promise to maintain deliveries, but disruptions are expected as the USPS works with US Customs and Border Protection to implement tariff collection on small packages. FedEx has suspended its money-back guarantee on overseas shipments, highlighting the growing challenges in the supply chain.
US Postal Service U-turn on China parcels after sparking trade war concerns, sows confusion among retailers, shippers
Major international shippers promised to maintain deliveries, but disruptions may still occur as the USPS works out how tariffs on small packages would be collected in tandem with the U.S. Customs and Border Protection department. “There has really been absolutely zero time for anyone to prepare for this,” said Maureen Cori, co-founder of New York-based consultancy Supply Chain Compliance. “What we really need is direction from the government on how to handle this.”
The USPS did not comment on whether its temporary suspension had been tied to Trump’s order ending de minimis shipments from China, which was announced on Saturday and came into force on Tuesday. This photo illustration taken on February 5, 2025 shows the Temu and Shein e-commerce apps on a mobile phone in Beijing. — Reuters picCurrently, de minimis parcels are consolidated so that customs can clear hundreds or thousands of shipments at once, but they will now require individual clearances, significantly increasing the burden for postal services, brokers and customs agents, Cori said.
But FedEx said it had suspended its money-back guarantee for U.S.-inbound shipments effective Jan. 29, citing recent regulatory changes, according to a notice on its website.
USPS China Tariff Imports Retailers Shipping Supply Chain Disruption Fedex
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