India Post to Suspend Most US-Bound Shipments from August 25 as New US Duty Rules Take Effect

The Department of Posts has announced that it will temporarily suspend most postal consignments to the United States starting August 25, following new US customs duty rules set to take effect later this month.

On July 30, the US government withdrew the duty-free exemption for goods valued up to USD 800. From August 29, all postal shipments to the US, regardless of value, will be subject to customs duties under the International Emergency Economic Power Act (IEEPA) tariff framework. Only gift items valued up to USD 100 will remain duty-free.

As per the order, only international carriers and other “qualified parties” approved by US Customs will be allowed to collect and pay duties on postal shipments. However, since the approval process and duty collection mechanism are not yet clear, airlines have informed authorities that they will be unable to carry US-bound postal consignments after August 25.

Accordingly, India Post will suspend booking of all postal articles to the US from August 25, except for letters, documents, and gift parcels worth up to USD 100. Customers who have already booked undeliverable parcels will be eligible for a postage refund.

“The Department of Posts deeply regrets the inconvenience caused to customers and assures that every effort is being made to restore full services to the USA at the earliest,” the department said in a statement.

India is not the only country affected. Postal operators in Scandinavia, Austria, France, and Belgium have also suspended parcel deliveries to the US in anticipation of the new rule, according to a Reuters report.

German logistics giant Deutsche Post DHL has announced it will stop accepting standard US-bound parcels from August 25, although its premium DHL Express service will continue as usual. Private customers will still be able to send gifts worth under USD 100, though such consignments will face tighter inspections to prevent misuse.

The new US regulations on international shipments are part of sweeping trade policy changes introduced by President Donald Trump in his second term. In addition to these rules, his administration has imposed retaliatory tariffs on several nations, including India. In August, the US levied an additional 25% tariff on Indian exports, effectively doubling the overall rate to 50%, citing New Delhi’s continued imports of Russian crude oil.


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