USPS Halts China, Hong Kong Parcels Amid Trump’s Trade Crackdown

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The U.S. Postal Service has temporarily suspended parcel shipments from China and Hong Kong after former President Donald Trump ended a trade provision allowing duty-free imports of low-value packages. A new 10% tariff on Chinese goods took effect Tuesday, eliminating the “de minimis” exemption for shipments under $800.

Trump cited China’s failure to curb fentanyl exports as a key reason. Reports suggest Chinese suppliers exploited the exemption to send fentanyl chemicals disguised as low-cost goods.

“This is huge,” said Ram Ben Tzion, CEO of Ultra Information Solution. “Consumers won’t know when they’ll receive orders from Amazon, Shein, or Temu.”

USPS clarified that letters and thin mail remain unaffected. Logistics firms warn of major scrutiny on sub-$800 shipments, urging businesses to establish U.S. distribution centers. FedEx and SF Express continue deliveries.

Shein and Temu, which account for over 30% of de minimis packages, have rapidly expanded in the U.S. The crackdown may raise prices but is unlikely to curb demand. Delays from customs disruptions could pose a bigger challenge.

Amazon, with a strong China-based seller presence, has yet to comment. In November, it launched “Amazon Haul” for low-cost Chinese goods.

Shein and Temu are already sourcing outside China, opening U.S. warehouses, and onboarding domestic sellers. Meanwhile, the U.S. is considering adding them to a ‘forced labor’ watchlist, dealing another potential setback.

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