Global mail deliveries to the United States have come to a near standstill following the Trump administration’s decision to abolish the de minimis exemption, a rule that previously allowed parcels under $800 to bypass customs duties.
The Universal Postal Union (UPU), which coordinates international mail between 192 countries, reported on Saturday that package volumes headed for the U.S. dropped 81% on August 29 — the day the new policy took effect — compared to the previous week.
Until now, most small e-commerce purchases and personal orders entered the U.S. without tariffs. Under the revised system, however, postal operators or CBP-approved intermediaries must now calculate and remit duties, a responsibility many airlines and carriers say they cannot shoulder. As a result, 88 postal services worldwide have suspended some or all U.S.-bound shipments.
The UPU warned of “major operational disruptions,” noting that many foreign posts have yet to connect with qualified U.S. customs partners. Ahead of the policy change, the agency even appealed to U.S. Secretary of State Marco Rubio, flagging the risks of an abrupt rollout.
The duty-free threshold, in place in various forms since 1938, had been criticized by the administration as a loophole exploited for tariff evasion and even drug trafficking. Now, shipments must undergo full customs clearance and pay duties ranging from 10% to 50%, depending on the product’s origin.
Some exemptions remain: Americans will still be able to receive gifts up to $100 duty-free, and travellers returning from abroad can bring back souvenirs worth $200 without paying tariffs.
The UPU says it is working urgently to implement new systems that would enable postal operators to handle duty calculations. Until then, much of the world’s mail to the U.S. is effectively grounded.