USPS resumes accepting packages from China, Hong Kong amid Trump trade war
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A United States Postal Service van in San Francisco, California, on Dec. 31, 2024. Photo: David Paul Morris/Bloomberg via Getty Images
The U. S. Postal Service said Wednesday that it will continue to accept international mail and packages from China and Hong Kong, reversing a Tuesday announcement that it would halt the flow of inbound parcels from the areas.
The latest: The USPS in a statement Wednesday pointed to "new China tariffs," and said that it was working with Customs and Border Protection to implement an "efficient collection mechanism" for the taxes on imported goods.
The big picture: China's government announced counter-tariffs earlier Tuesday in response to 10% tariffs on Chinese products imposed by President Trump's administration.
- A pause on goods from China could delay or block shipments from e-commerce giants like Temu and Shein, which were already expected to be affected by a recent rule change following Trump's tariff announcement.
- Trump administration representatives did not immediately respond to Axios' request for comment in the evening.
Catch up quick: The USPS on Tuesday announced an abrupt halt on accepting packages from China and Hong Kong, only for the agency to later reverse that decision.
- The flow of letters and flats would not have been impacted, USPS said in its original post on the suspension that took effect on Tuesday.
- The USPS action could have impacted other retailers including U.S. multinational Amazon — and Kate Muth, executive director of the International Mailers Advisory Group, an industry group that represents shippers and logistics firms, expected customers to pay more and said parcels "may take a little longer to reach" them, per the Washington Post.
Meanwhile, the longstanding de minimis rule, which allowed shipments of less than $800 to avoid import duties and taxes, has ended, per U.S. Customs and Border Protection in guidance posted Saturday on Trump's executive order.
- "For companies like Temu and Shein this is obviously a very big deal because de minimis was one of the levers they used to be able to offer these low prices as well as ensure speed of products entering the country once they were shipped," said Juozas Kaziukenas, CEO of e-commerce data firm Marketplace Pulse, to Reuters.
- Representatives for Amazon, Temu and Shein did not immediately respond to Axios' request for comment in the evening.
By the numbers: "Temu and Shein alone are likely responsible for more than 30% of all packages shipped to the United States daily under the de minimis provision, and likely nearly half of all de minimis shipments to the U.S. from China," per a 2023 report from the House Select Committee on the Chinese Communist Party.
Zoom out: After the Trump administration's 10% tariffs on Chinese products took effect Tuesday, China's government announced it would impose 15% tariffs on U.S. coal and liquefied natural gas (LNG).
- These measures are due to take effect Monday, along with 10% tariffs on U.S. crude oil, agricultural machinery, large-displacement cars and pickup trucks.
What we're watching: Trump had vowed in his first term to overhaul the U.S. mail carrier in a move that could undercut reliable delivery, impact hundreds of thousands of government jobs and influence how the likes of Temu and Shein operate.
Go deeper: U.S. strikes deals to pause Mexico, Canada tariffs for 30 days
Editor's note: This article has been updated with new details throughout.
