Trump’s Tariff Shift Cuts US-Bound Mail by 81%
End of de minimis exemption disrupts e-commerce and small businesses worldwide.
International mail shipments to the United States have collapsed after the Trump administration ended the long-standing “de minimis” customs exemption for low-value parcels. The Universal Postal Union (UPU), a United Nations agency, reported that inbound parcels dropped by 81% since the rule change took effect on August 29, 2025.
More than 80 postal operators worldwide have either suspended or delayed shipments to the US, creating chaos across global e-commerce networks. Small businesses and independent sellers—many of whom depended on low-cost shipping—are among the most severely affected.
From Duty-Free to Duty-Heavy
The de minimis exemption, in place since 1938, allowed low-value parcels to enter the US without customs duties. In 2015, President Barack Obama raised the threshold to $800, making cross-border e-commerce easier and cheaper.
The Trump administration, however, argued the system was being exploited by importers to dodge tariffs. By scrapping the exemption, the White House now requires postal carriers and couriers to collect duties on all parcels, passing the costs directly to businesses and consumers.
Global Fallout
The sudden change has already caused:
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Suspended shipments: More than 80 postal services halted US-bound mail.
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Higher costs for small businesses: Many cannot absorb new customs charges.
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Consumer price hikes: Online orders from abroad will now cost more.
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Supply chain disruption: Logistics providers must build new systems for duty collection.
UPU director-general Masahiko Metoki warned that the abrupt move risks “disrupting global supply chains and imposing heavy burdens on consumers and small traders.”
The White House Defense
White House trade adviser Peter Navarro praised the decision, claiming it will:
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Generate billions in customs revenue.
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Reduce counterfeit goods and drug shipments.
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Boost domestic manufacturing and jobs.
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Strengthen intellectual property protections.
What’s Next?
A transitional period runs until February 2026, when the US will require full customs collection on all low-value parcels. Until then, international sellers, postal services, and online shoppers will continue to face unprecedented challenges accessing the American market.
