Ahead of the August 29 implementation of President Trump’s executive order ending the de minimis exemption, which had allowed packages under $800 to enter the U.S. duty-free, postal services in Britain, France, Germany, India, Belgium, Denmark, and New Zealand announced they will suspend shipments to the United States.
They claim confusion over the rules, though packages worth less than $100 remain exempt, something hardly difficult to understand. The timing suggests this is more political theater, an attempt by Europeans to pressure Washington into reducing tariffs on other products.
Trump signed the order on July 29 to combat China’s abuse of the system, particularly its use of low-value parcels to smuggle fentanyl and circumvent trade sanctions. U.S. Customs and Border Protection processed more than 4 million such packages daily. Closing the loophole prevents sanctioned Chinese goods from bypassing tariffs through postal networks.
Retail giants like Temu and Shein built their entire business model on exploiting de minimis, shipping 1.36 billion parcels in 2024, mostly from China and Hong Kong.
As carriers scramble to adjust their systems, letters and documents remain unaffected, but parcels to the U.S. face delays and backlogs until new procedures are clarified. Germany, Denmark, Sweden, and Italy have already halted most package shipments, while France, Austria, the U.K., India, Singapore, Thailand, and Australia cite “lack of clarity” over how duties will be collected and what extra data is required.
In reality, the rules are straightforward. With the exception of personal gifts under $100, all shipments are now subject to country-of-origin tariffs. Transportation carriers are required to collect and remit duties to U.S. Customs and Border Protection using methods long in place. Postal shipments even have a grace period and remain duty-free until CBP establishes a new entry process.