The US Postal Service (USPS) has ceased accepting parcels from mainland China and Hong Kong “until further notice,” as contemporary guidelines have shut a loophole permitting duty-free imports of low-value items.
The suspension comes amid rising tensions between the US and China, sparked by former President Donald Trump’s announcement of an additional 10% tariff on all imports from the nation.
A coverage generally known as “de minimis” beforehand permitted parcels value underneath $800 (roughly £640) to enter the US tax-free. Chinese language fast-fashion giants comparable to Shein and Temu have used this exemption to gasoline explosive progress, transport cheap gadgets to thousands and thousands of US prospects with out incurring customs fees. Comparable de minimis guidelines additionally apply within the UK, the place the import threshold is £135, and throughout the EU for items beneath €150 (£124).
Nonetheless, surging parcel volumes—half of which originate from China—have prompted officers to clamp down, citing heightened dangers of unlawful or unregulated items slipping by means of customs. USPS stated letters stay unaffected by its suspension however declined to supply an in depth rationalization.
The shift in US coverage echoes related strikes across the globe. The EU has introduced plans to strengthen checks on items from e-commerce websites, naming Shein and Temu as accountable for any unsafe or substandard merchandise bought on their platforms. It has additionally launched a coordinated probe into Shein’s compliance with European shopper legal guidelines.
This crack-down on duty-free imports kinds a part of a wider escalation in commerce tensions. Beijing, in flip, has threatened to impose retaliatory levies on choose US manufacturers, together with PVH (the dad or mum firm of Calvin Klein and Tommy Hilfiger). In the meantime, China has been advancing its personal AI-driven and autonomous weapons capabilities, prompting Western authorities to voice issues over commerce imbalances and safety threats.
Nick Stowe, chief govt of British manufacturers Monsoon & Decorate, welcomed the adjustments in US guidelines, arguing that the previous system unfairly advantaged on-line retailers who might ship items duty-free. “It has long been a complaint of UK and European retailers that Shein exploits the loophole, not paying customs duty, and built a business at an industrial scale,” he stated.
The tumultuous state of US-China commerce exhibits little signal of easing. Talks between Trump and Chinese language president Xi Jinping have stalled, with the previous US chief saying he was in “no rush” to open new negotiations. Rising cross-border tensions are fuelling issues a couple of potential broader commerce battle with penalties that stretch far past simply quick trend.