Major Tariff Development: Multiple Countries Suspend Package Delivery to United States

Deep News
08/23

Multiple countries have suspended package delivery to the United States following recent tariff policy changes.

According to the latest information, postal companies from Germany, France, South Korea, Spain, Sweden, Norway and other nations have announced the suspension of package deliveries to the US due to American tariff policies.

Previously, US President Trump announced that starting August 29, the tax-free treatment for imported packages valued at $800 or less would be suspended. This change affects not only individual shipments but also impacts e-commerce businesses in multiple countries targeting overseas consumers.

**Multiple Countries Halt Package Delivery to US**

President Trump signed an executive order on July 30, suspending tax-free treatment for imported packages valued at $800 or less, effective August 29. According to details of the EU-US trade agreement published on the 21st of this month, packages sent from the EU to the US will be subject to a 15% tariff, similar to most EU exports to America.

French postal group announced on August 22 local time that due to US tariff policies, the group will suspend package deliveries to the US starting August 25, except for private gift packages valued under 100 euros.

According to reports, French postal services send an average of 1.6 million packages to the US annually, most valued under $800, with 20% sent by individuals.

Additionally, postal institutions from Germany, Belgium, Spain, and Austria have announced suspensions of package deliveries to the US.

Spanish postal services announced on the 22nd that due to US tariff policy adjustments, they would temporarily stop accepting low-value packages destined for the US and Puerto Rico with declared values not exceeding $800, effective August 25. Letters with no commercial value and books or gifts valued under $100 can still be sent.

Belgium's postal group stated the suspension currently affects packages containing goods but does not impact letters. Czech postal services announced suspension of goods shipments to the US starting August 21 until further notice. Austrian postal services also stopped accepting packages to the US after August 25 due to these changes.

Norway's postal group indicated that US customs authorities have not clarified details of the new policy nor provided systematic solutions, with multiple European postal companies requesting clarification from the US.

Sweden's Nordic postal company issued a statement saying that due to the short time to adapt to America's latest tariff policies, the company would temporarily stop sending packages to the US.

In other regions, an Australian postal spokesperson confirmed suspension of transit package services to the US. Currently, small quantities of items from third countries are routed through Australia to the US. However, regular direct mail between the two countries remains unaffected.

Canada Post announced on August 20 the suspension of package deliveries to the US, stating the service halt aims to avoid package returns or high fees while developing new processes to meet US customs requirements.

South Korean postal services also announced suspension of postal packages to the US, citing the existing international postal network system's difficulty in handling new US declaration and tariff requirements. Although citizens can still choose premium services through partnerships between Korean postal services and private companies, or other private courier services, prices are relatively high and will face tariff payments. This change affects not only individual shipments but significantly impacts Korean e-commerce businesses targeting overseas consumers.

Korean Statistics Office data shows that last year, Korea's e-commerce overseas market sales totaled approximately 1.7 trillion won (about 8.8 billion RMB), with the US market accounting for 20%, ranking second. Korea Trade Association data indicates that most Korean cross-border e-commerce consists of small and medium enterprises or individual operators, making them more vulnerable to this US policy change eliminating small package tariff exemptions.

**Potential Chain Reaction**

On Friday, international courier company DHL joined other European mail operators implementing temporary restrictions on packages to the US. In a statement about the suspension, DHL cited "critical issues" unresolved since Trump signed the executive order last month. DHL's statement noted these issues include "how and by whom tariffs will be collected in the future, what additional data is needed, and how data will be transmitted to US Customs and Border Protection."

Sebastian Kummer, Director of the Institute for Transport and Logistics Management at Vienna University of Economics and Business, stated: "The suspension is implemented because there's too much uncertainty, and companies worry we'll bear very high subsequent costs. These costs may include storage or returns if US customs doesn't accept these packages."

"What's truly concerning is that a domino effect is taking place, creating a chain reaction as more and more postal companies announce suspension of package deliveries to the US," said Kate Muth, Executive Director of the International Mail Advisory Group representing America's international mailing and shipping industry.

It should be explained that once the exemption period ends, US imported goods shipped via mail will be subject to equivalent tariffs on each taxable package value according to tariff rates effective under the International Emergency Economic Powers Act (IEEPA) based on goods' country of origin. Alternatively, packages sent through international postal services may be subject to temporary fixed fees of $80 to $200 per item, limited to the next six months. Reportedly, cargo carriers must also provide information on package quantities, country of origin, and goods value, submitting worksheets through specific systems and paying tariffs.

US Customs and Border Protection outlined in an August 15 announcement how to calculate fixed fees based on various countries' tariff rates. The agency recently provided additional guidance to shippers and published guidelines certifying two companies to collect and remit tariffs on behalf of international postal carriers. Muth said: "It's concerning that with only one week until implementation, we've only approved the first two companies."

Currently, the impact has expanded beyond postal carriers. Online marketplace Etsy announced plans to suspend shipping label services for packages to the US through domestic postal services in Australia, Canada, and the UK starting August 25. The company suggests shippers use carriers already providing relevant services, allowing them to pay tariffs before goods arrive in the US, such as United Parcel Service Inc (UPS) and FedEx.

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