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India suspends postal articles shipments to US as de minimis exemption ends

IANS
Updated: August 31st, 2025, 10:23 IST
in Business, Home News, National
0
Department of Posts

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New Delhi: The Department of Posts (DoP) has suspended all types of postal articles, including letters, documents, and gifts, valued up to $100, to the United States.

In its earlier notification, DoP had decided to temporarily suspend booking of all types of postal articles, except letters, documents and gift items up to $100 in value.

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“In view of the inability of carriers to transport US-bound mail and undefined regulatory mechanisms, the competent authority has decided to completely suspend all categories of mail to the USA, including letters/documents and gifts valued up to $100,” the Department has said.

The Department of Posts has taken note of the Executive Order issued by the US administration July 30, 2025, under which the “duty-free de minimis exemption for goods valued up to $800 was to be withdrawn with effect from August 29, 2025.

Consequently, all international postal items destined for the US, regardless of their value, shall be subject to customs duties as per the country-specific International Emergency Economic Power Act (IEEPA) tariff framework.

Apparel, small-sized carpets, gem and jewellery, wellness products, handicrafts, electronics, and footwear are some of the main products that are exported from India through e-commerce platforms or shipped directly to consumers.

“I expect a disruption for about a month (because of the repeal of the De Minimis Exemption),” said Ajay Sahai, Director General of the Federation of Indian Export Organisations (FIRO).

“At present, the e-commerce players are reviewing the costing and studying the extent of additional cost that the US consumers can bear”, he added.

As per the US Executive Order, transport carriers delivering shipments through the international postal network, or other “qualified parties” approved by the US Customs and Border Protection (CBP), are required to collect and remit duties on postal shipments.

While CBP issued certain guidelines August 15, 2025, several critical processes relating to the designation of “qualified parties” and mechanisms for duty collection and remittance remain undefined.

Consequently, US-bound air carriers expressed their inability to accept postal consignments after August 25, 2025, citing a lack of operational and technical readiness.

IANS

Tags: Department of PostsIEEPAUnited States
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