US Suspends Package Deliveries from China and Hong Kong Amid Trade War Escalation

USPS Halts International Shipments of Goods from China and Hong Kong Following New Tariff Measures/ AFP

On February 4, 2025, the United States Postal Service (USPS) announced a temporary suspension of package deliveries from China and Hong Kong, effective immediately. The USPS stated on its official website that it would no longer accept international parcel shipments originating from China and Hong Kong until further notice, although letters sent from these regions would not be affected. This decision comes in the wake of an intensified trade conflict between the U.S. and China, marked by the imposition of new tariffs by the Trump administration.

The suspension is tied to the latest development in the ongoing U.S.-China tariff war, which has now entered a more aggressive phase. Under new executive orders signed by former President Donald Trump, a 10% tariff has been imposed on goods from China, alongside changes to the so-called “de minimis” rule, which allowed small shipments valued at $800 or less to be exempt from customs duties. As of February 4, 2025, this exemption no longer applies, meaning even small, low-cost items must now comply with complex customs regulations and be subject to tariffs, regardless of their low value.

This new measure is likely to disrupt the flow of goods from popular Chinese e-commerce platforms such as AliExpress, Temu, and Shein. These platforms, often referred to collectively as "Alteche" in the U.S., had seen a surge in American consumers purchasing affordable goods, benefiting from the previous tariff exemptions. According to reports, the increase in cross-border purchases from Chinese online stores has been significant in recent years, with the number of items shipped under the de minimis rule growing substantially. In 2020, there were approximately 637 million such transactions, which more than doubled to 1.37 billion by 2024.

With the latest U.S. executive order in effect, the U.S. Customs and Border Protection (CBP) will now require detailed information on every shipment, including tariff codes and payment details, to ensure compliance with new customs rules. This is expected to make shopping from these e-commerce sites more complicated and costly for U.S. consumers.

For many Americans, this will mean navigating new and potentially higher fees when purchasing from Chinese platforms, which previously allowed them to shop with minimal tariffs. As U.S. authorities move forward with enforcing these measures, experts predict that there will be a notable decline in the popularity of Chinese e-commerce, as the added customs costs and paperwork may deter shoppers.

The suspension of package deliveries from China and Hong Kong marks a significant moment in the larger context of the ongoing U.S.-China trade war, which began under Trump’s administration and continues to influence global economic policies. The situation remains fluid, with ongoing discussions between U.S. officials and Chinese leadership. There are speculations that President Trump might soon engage in discussions with Chinese President Xi Jinping, potentially impacting the direction of this trade conflict. As the world's two largest economies continue to clash over trade issues, the global market will be watching closely to see how these developments unfold and their wider implications for global trade.

In the meantime, U.S. consumers who have become accustomed to the convenience of affordable goods from Chinese online platforms will need to adjust to the new trade environment, navigating the complexities of customs regulations and increased tariffs. This shift may alter the landscape of cross-border shopping for the foreseeable future, particularly for those who have relied on the ease of purchasing low-cost goods from China.