India expanded its suspension of services to the United States on Saturday — pausing all mail categories amid confusion over new import duty regulations. The Department of Posts had announced a temporary halt last week as US President Donald Trump scrapped the de minimis tax exemption for imports valued under $800. This has now been expanded to include all segments — including letters, documents, and gift items worth up to $100.
All categories of mail paused
“In view of the inability of carriers to transport US-bound mail, and undefined regulatory mechanisms, it has now been decided to completely suspend booking of all categories of mail, including letters/documents and gifts value up to $100, destined to the USA,” a public notice explained.
A previous notice had suspended booking for all categories from August 25 — except letters/documents and gift items up to $100 in value. The announcement also came hours after Trump officially ended the shipping exemption — disrupting supply chain models for e-commerce companies, small businesses using online marketplaces and consumers.
“The Department is closely monitoring the evolving situation in coordination with all stakeholders, and every effort is being made to normalize services at the earliest possible opportunity. Customers who have already booked articles that cannot be dispatched to the USA due to these circumstances may seek a refund of postage,” the notice added.
What was the de minimis exemption?
The de minimis exemption had allowed shipments valued under $800 to enter the United States without paying customs duties or taxes. The Trump administration contends that the duty-free imports had made it easy for traffickers to send parcels containing fentanyl into the country. Various US retailers and industry groups had also opposed the exemption for giving an unfair advantage to foreign e-commerce companies and third-party sellers on Amazon.
Cheap online shopping from overseas will no longer be possible for US consumers — with new tariffs, customs fees, and shipping fees significantly increasing the purchase cost. Every package will now face tariffs at rates typically ranging from 10% to 50% depending on its origin. Retail experts estimate costs for regular consumers will go up by $10.9 billion per year, averaging $136 more per household — disproportionately impacting low-income shoppers who depend on these bargains
The US Customs and Border Protection agency has now started collecting normal duty rates on all global parcel imports — regardless of value, country of origin, or mode of transportation. It offered a flat-rate duty option of $80 to $200 per package shipped from foreign postal agencies for six months.