The U.S. Postal Service (USPS) announced Wednesday morning that it will continue accepting international parcels from China and Hong Kong, reversing a decision made just hours earlier to suspend them.
As reported by CNN, the initial suspension was not accompanied by an official explanation, but on Wednesday, USPS indicated that it was tied to sweeping new tariffs imposed on Chinese imports and the elimination of the de minimis exemption. This exemption had allowed packages valued under $800 to enter the U.S. duty-free and without inspection. The sudden removal of this policy created logistical challenges, as enforcing new import taxes on a vast number of small parcels would require significant infrastructure adjustments.
“The USPS and Customs and Border Protection are working closely together to implement an efficient collection mechanism for the new China tariffs to ensure the least disruption to package delivery,” USPS said in a statement.
The temporary halt in shipments had raised concerns among major e-commerce retailers such as Shein and Temu, which have built their business models around direct-to-consumer shipping under the now-eliminated de minimis exemption. The relaxed import rules had previously allowed billions of packages to flow into the U.S. at low costs, benefiting consumers seeking affordable goods. CNN has reached out to Shein and Temu for comment on the USPS reversal.
Christine McDaniel, a senior research fellow at George Mason University’s Mercatus Center, told CNN that the suspension would have had a “humongous” impact on U.S. retailers and consumers alike.
“At a practical level, it’s nearly impossible,” McDaniel said. “My guess is reality set in. Businesses, retailers, and e-commerce platforms said, ‘Hey, this is going to completely change how Americans are going to get their stuff.’”
According to a research note from Morningstar senior equity analyst Chelsey Tam, the USPS likely requires additional time to determine how best to enforce the new tariff structure on incoming parcels from China.
In response to the policy shift, DHL confirmed to CNN that it has been working with customers to adjust to the new regulations. CNN has also reached out to USPS, FedEx, and UPS for further comment.