The United States Postal Service (USPS) announced on Wednesday that it will resume processing inbound mail and packages from China and Hong Kong, hours after temporarily suspending the acceptance of such items.
In a statement posted on its website, USPS stated, “Starting from February 5, 2025, the United States Postal Service will continue to accept all international inbound mail and packages from China Post and Hongkong Post. USPS is working closely with Customs and Border Protection to implement effective tariff collection mechanisms from China to minimize disruptions to package delivery.”
On Tuesday evening, USPS had announced the suspension of services for inbound packages from China and Hong Kong until further notice without providing a specific reason for the decision.
Last Saturday, President Trump imposed a 10% tariff on all Chinese goods. As part of the tariffs, Trump also closed a nearly century-old trade loophole known as the “De minimis” rule. This loophole allowed exporters to send packages worth less than $800 to the US duty-free.
The elimination of the De minimis exemption will impact Chinese e-commerce companies Temu and Shein, which have heavily relied on this service to directly mail inexpensive clothing, furniture, and electronics from China. The previous exemption allowed these Chinese enterprises to maintain lower costs. The US Customs and Border Protection previously stated that they process over 4 million “De minimis” imports on average each week.
Critics argue that the trade loophole has facilitated the entry of illegal drugs like fentanyl into the United States. Trade officials have also expressed concerns that goods transported via small packages undergo less scrutiny, raising worries about counterfeit and unsafe products.
According to the Associated Press, Jacob Cooke, CEO of e-commerce marketing agency WPIC Marketing+Technologies, stated that the continued suspension of processing inbound packages and mail from China and Hong Kong by USPS could significantly impact Shein and Temu, among other Chinese e-commerce companies, with Shein potentially facing the greater impact due to its reliance on USPS for direct deliveries from China to consumers.
“These two companies hold significant market shares in the United States. Compared to Temu, Shein heavily relies on USPS to ship directly from China to consumers. Losing this channel would force them to rely more on private carriers,” Cooke remarked.
“This would increase logistics costs, especially after Trump recently revoked most products’ ‘De minimis’ exemption from China, potentially weakening the price advantage Shein holds,” Cooke added.