USA-Bound Postal Services Suspended by Department of Posts Due to Tariff Rules

Department of Posts postal services to USA suspended

New Delhi: The Department of Posts has announced a temporary suspension of postal services to the United States of America, effective August 25, 2025.

The decision follows Executive Order No. 14324 issued by the U.S. Administration on July 30, 2025, which withdraws the duty-free de minimis exemption on goods valued up to USD 800 from August 29, 2025.

Department of Posts Cites Impact of U.S. Tariff Rules

Under the new framework, all postal items destined for the USA will be subject to customs duties in line with the International Emergency Economic Power Act (IEEPA) tariff framework. However, gift items up to USD 100 will remain exempt from duties.

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As per the U.S. order, transport carriers and other “qualified parties” authorized by the US Customs and Border Protection (CBP) must collect and remit duties on postal consignments.

While CBP issued preliminary guidelines on August 15, 2025, several key procedures – such as the designation of qualified parties and mechanisms for duty remittance – are still unclear.

Suspension Effective August 25, 2025

Citing operational challenges, U.S.-bound air carriers have expressed their inability to handle postal shipments beyond August 25, 2025. In response, the Department of Posts has decided to temporarily halt the booking of all postal articles destined for the USA, except:

  • Letters/documents
  • Gift items valued up to USD 100
  • These exempt categories will continue until further directions are received from CBP and USPS.

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Refunds and Service Restoration Efforts

The Department of Posts has assured customers that those who have already booked non-dispatchable consignments can seek refunds of postage. The Department emphasized that it is closely monitoring developments and working with all stakeholders to restore full services at the earliest opportunity.

“The Department of Posts deeply regrets the inconvenience caused to customers and assures that every effort is being made to normalize postal services to the USA as soon as possible,” the official statement said.

Author

  • Salil Urunkar

    Salil Urunkar is a senior journalist and the editorial mind behind Sahyadri Startups. With years of experience covering Pune’s entrepreneurial rise, he’s passionate about telling the real stories of founders, disruptors, and game-changers.

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