Postal services worldwide are facing significant disruptions as the fast-approaching end of a tariff exception for low-value packages, known as the de minimis exemption, sows chaos in global shipping. Effective August 29, President Donald Trump's decision to eliminate this exemption, which previously applied to over 4 million parcels processed daily by US Customs and Border Protection (CBP), is forcing national mail services to re-evaluate and, in many cases, temporarily suspend their parcel delivery services to the United States.

The primary reason for these suspensions is a critical lack of clarity from American authorities regarding the new procedures for duty collection and the submission of required customs data. This uncertainty has prompted a growing number of countries to announce service interruptions. The Czech Republic’s postal service, for instance, has suspended US goods shipments indefinitely starting Thursday. Similarly, Austria’s post provider will cease accepting packages bound for the US after August 25, stating that there is “currently insufficient information available about the customs clearance procedures that will be required in future” and that “This tightening of the rules poses major challenges for all postal companies worldwide when shipping goods to the USA.” Belgium’s Bpost also announced a temporary halt to US-bound parcels from Friday due to the new rules.

The impact extends to major mail carriers like the UK’s Royal Mail, which plans a one to two-day suspension next week to transition to a new system designed to accommodate the newly-imposed duties. Australia Post has temporarily suspended its transit service deliveries for items from third countries routed through Australia to the US, though regular direct deliveries from Australia to the US by consumers and businesses remain unaffected. A spokesperson for Australia Post acknowledged the “significant changes to its import tariff rules that will impact customers sending items from Australia to the US,” describing the situation as “moving very quickly” and expressing their efforts to find a solution.

These widespread service interruptions underscore the seismic impact of Trump’s decision. The de minimis policy had facilitated the unhindered flow of low-value parcels into the US from around the globe. Now, postal services, online sellers, consumers, and shipping companies are grappling with a costly and complicated compliance process, exacerbated by minimal guidance from federal agencies. Kate Muth, executive director of the International Mailers Advisory Group, representing the US international mailing and shipping industry, voiced concerns about a “ripple effect where more and more posts announce that they will be suspending packages to the US.”

Upon the exemption's termination, duties on US imports shipped by mail will be assessed either based on the country-of-origin tariff rate, implemented by Trump using emergency powers, or through a temporary flat fee of $80 to $200 per item, applicable for the next six months. CBP further clarified on August 15 how these flat fees would be calculated, correlating them to countries' tariff rates. Additionally, CBP offered some instruction by certifying two companies on Thursday to collect and pay duties on behalf of international mail carriers. While welcomed, Muth noted the concern given the proximity of the August 29 deadline and the approval of only two entities.

The repercussions are not limited to mail carriers. Online marketplace Etsy Inc. plans to suspend its shipping label service for US-bound packages via national mail services in Australia, Canada, and the UK starting August 25. Etsy has advised shippers to utilize carriers that offer services allowing duties to be paid before goods arrive in the US, such as United Parcel Service Inc. (UPS) and FedEx Corp. FedEx confirmed its continued acceptance and transport of shipments to the US, stating it remains unaffected by the postal operators’ decisions, while UPS and the US Postal Service did not provide immediate comments. The White House and CBP also did not respond to requests for comment regarding the situation.