(NewsNation) — Multiple European postal services and the Indian government announced they will suspend shipments to the United States, citing a lack of clarity when it comes to new import tariffs, which are expected to take effect this week. Espinoza joining us now.
It all comes down to how packages enter the U.S. and new rules that will change what gets taxed at the center of it.
A rule called the de minimis exemption, which lets packages worth less than $800 enter the country duty-free, is set to expire on Aug. 29.
In 2024, more than 1.3 billion packages worth more than $64 billion arrived through this exemption.
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Germany, Denmark, Sweden, Italy and other European countries have already stopped many package shipments to the U.S. France and Austria will join in on Monday and the United Kingdom’s Royal Mail said it will halt service Tuesday to let packages already in transit arrive before the new duties take hold.
In India, postal officials have said starting Aug. 25, they will suspend all shipments to the U.S. except letters document and small gifts under $100.
Meanwhile, DHL, Europe’s largest shipping provider, is also pulling back. The company said it can’t continue accepting business parcels to the U.S. until there’s more clarity on how the new duties will be handled under the new framework.
Most goods shipped from Europe will face a 15% tariff, and packages under $800 will no longer be duty-free. In India, any packages over $100 will now be subject to duties with only small gifts and documents exempt.
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Americans waiting on deliveries from Europe or India could be left hanging with no clear timeline on when normal shipping will resume.
Services like DHL Express are still operating, though at a much higher cost than regular mail. Regular mail without merchandise is not affected.
For consumers, the biggest workaround may be checking where an order is coming from and buying from outside of Europe or India for now. The best option is to buy a needed item before the new duties kick in.
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