Postal traffic to U.S. fell 80% after Trump administration stopped exemption on low-value parcels
Postal traffic into the United States took a significant hit, dropping by over 80% following the Trump administration’s decision to end a tariff exemption for low-cost imports, as reported by the United Nations postal agency.
The Universal Postal Union has introduced new measures to assist postal operators worldwide in calculating and collecting duties or taxes after the U.S. eliminated the “de minimis exemption” for parcels valued under $800, which previously allowed imported goods to bypass customs charges.
As a result of the policy change, eighty-eight postal operators have suspended some or all postal services to the United States until a resolution is reached regarding parcels valued at $800 or less bound for the U.S.
The UPU confirmed that postal traffic to the U.S. nearly halted after the new rules came into effect on August 29, 2025. This shift placed the responsibility of customs duty collection and remittance on transportation carriers or U.S. Customs and Border Protection agency-approved qualified parties for the first time.
The agency cited operational disruptions due to carriers expressing their inability to collect duties and foreign postal operators failing to establish links with CBP-qualified entities. This led to an 81% decline in traffic from the UPU’s 192 member countries compared to the previous week.
The surge in low-value parcels entering the U.S. over the past decade prompted the policy change. Between 2015 and 2025, shipments rose from 134 million to approximately 1.4 billion annually. U.S. Customs and Border Protection was processing over 4 million “de minimis” shipments daily.
Prior to the implementation, the UPU had expressed concerns about the impact of the removal of the de minimis provision to U.S. Secretary of State Marco Rubio.
The de minimis provision, added to the Tariff Act of 1930, aimed to ease trade by exempting low-cost goods from modest import duties. However, under the new regulations, purchases previously exempt now require vetting and may be subject to applicable tariff rates ranging from 10% to 50%.
While the change affects all countries’ products, U.S. residents are exempt from duties on gifts valued up to $100 and up to $200 worth of personal souvenirs from international trips, according to the White House.
The UPU highlighted that its members lacked sufficient time and guidance to comply with the procedures outlined in President Trump’s executive order signed on July 30, eliminating the duty-free eligibility of low-value goods.
