Daijiworld Media Network - New Delhi
New Delhi, Aug 31: The Department of Posts (DoP) has officially halted all categories of postal shipments to the United States, including letters, documents, and gifts valued under $100, citing regulatory ambiguity and the inability of air carriers to transport US-bound mail.
This full suspension marks an escalation from an earlier partial restriction, which had only paused the booking of parcels except for lower-value items like documents and gifts. In a new notification, the DoP confirmed that the latest move is in response to recent developments in US trade policy and the lack of a clear mechanism for processing postal duties.
The action follows a July 30 Executive Order issued by the US administration, which withdrew the long-standing de minimis exemption that had previously allowed goods valued up to $800 to enter duty-free. Effective August 29, 2025, all international postal shipments to the US—regardless of value—will now attract customs duties under the International Emergency Economic Power Act (IEEPA) tariff framework.
This sudden policy shift has left air carriers unprepared. Many have cited their inability to meet new compliance and collection standards, and as a result, US-bound mail has not been accepted since August 25.
Critical components of the new system—like the designation of “qualified parties” to collect and remit duties—remain undefined by US Customs and Border Protection (CBP), despite partial guidelines being issued on August 15.
E-commerce businesses and exporters in India are already feeling the impact. Categories most affected include apparel, electronics, wellness products, footwear, jewellery, and handicrafts—many of which rely heavily on direct-to-consumer shipping via postal services.
Ajay Sahai, Director General of the Federation of Indian Export Organisations (FIEO), acknowledged the disruption: “I expect a disruption for about a month. E-commerce players are reassessing cost structures and studying how much of the added cost US consumers can absorb.”
For now, until further clarity emerges from US authorities and carriers resume accepting mail under the new framework, postal shipments to the US from India are effectively on hold.