Until further notice, the United States Postal Service (USPS) has declared it would not receive goods from mainland China or Hong Kong. According to a statement on the company’s website, this restriction will not influence letter shipments though. New trade rules influencing imports from China coincide with this USPS suspension.
USPS has not formally offered a justification for the choice. Still, the action follows closely after the U.S. government levies an extra 10% duty on every commodity imported from China.
Which tariffs have been changed?
Additionally eliminated by a new presidential order is an exception allowing items valued at $800 (ÂŁ641) or less to enter the United States free from taxes or customs.
Chinese e-commerce firms as Shein and Temu have extensively utilized this exemption—known as the “de minimis” tax loophole—to reach millions of American shoppers. U.S. officials have examined this loophole closely over recent years, claiming that the large number of items entering the nation under this exception made it challenging to properly screen possible unlawful products. Additionally helping to tighten trade control and border security might be the USPS suspension.
How has China responded?
China has said in response to these tariff adjustments that it will levy fresh tariffs on some U.S. products. Coal and liquefied natural gas (LNG) starting on February 10 will be liable to a 15% tax. Other goods subject to a 10% levy include agricultural machinery, crude oil, and big-engine cars.
What Do Experts Think?
Trade guru Deborah Elms said, “Trump’s tariff changes are especially sharp if goods were previously shipped via e-commerce directly from China to the U.S.”
According to a U.S. Congressional committee on China’s 2023 report, almost half of all goods imported under the de minimis exemption from China came from there. Policymakers started to worry about security and the financial effects on home companies over this large flow of goods. Both customers and stores could suffer widely from USPS suspension.
What is to happen next?
In order to go over the current trade scenario, President Donald Trump is supposed to meet with Chinese President Xi Jinping in the next days. Customers and companies depending on imports from China and Hong Kong will have to negotiate these additional tariffs and limitations in meantime. The USPS suspension is still in place while more updates are given.
USPS has not yet offered more explanation on the length of the suspension; but, as things develop more updates are likely.
