US Postal Service stops China and Hong Hong Pakels

On By Littum

US Postal Service (USPS) said it has stopped accepting packages from the Chinese mainland and Hong Kong so far.

Letter will not be affected by the suspension, said the company, which refused to offer a reason for the decision.

On Tuesday, new rules came into force, which closed a loophole that enabled small packages worth $ 800 (£ 641) or less to be sent to the United States without paying taxes or fees.

It was one of the measures that US President Donald Trump announced 10% duty on all goods imported to US from China.

The so-called the minimis tax hole has been subjected to increased control in recent years, as Chinese e-commerce giants like Shein and Temu have used it to reach millions of US customers.

Changes in tax exemption under President Joe Biden were already underway before Trump took office.

But in his trading message this weekend, Trump expanded tariffs to all China products imported into the United States, including fashion articles and toys.

In response, China said it would implement customs on some US imports.

From February 10, coal and floating natural gas (LNG) will have a 15% tax. Crude oil, agricultural machinery and cars with a storm engine will be subject to a 10% duty.

Nick Stowe, CEO of Monsoon & Accessorize, told the BBC’s Today program that he was in support of the changes in the US to the minimis exemption and claimed it had enabled big Chinese retailers to “undermine” rivals on others Markets.

“It has long been a complaint from British retailers, European retailers as well as the US retailers that Shein is taking advantage of this loophole and not paying duty and they have built a business on an industrial scale,” he said.

Trump is expected to talk to his Chinese colleague Xi Jinping in the coming days.

“Trump’s customs changes are especially sharp if goods were previously shipped via e-commerce directly from China to the United States,” said trading expert Deborah Elms.

Close to half of all packages entering the United States during the Minimis Requests were sent from China, according to a 2023 report from the US Congress.

Officials have pointed out that the large stream of packages coming into the country through this exception made it increasingly difficult to screen them for possible illegal goods.

The BBC has contacted USPS to request more details about the decision.