India, Europe, and U.K. Halt Package Shipments to U.S. Over Tariffs

India, Europe, and U.K. Halt Package Shipments to U.S. Over Tariffs

Multiple European postal services have announced the suspension of package shipments to the United States due to uncertainty surrounding new import duties. Germany, Denmark, Sweden, and Italy have already stopped shipping most items, with France and Austria to follow on Monday, and the United Kingdom on Tuesday. India will also halt postal deliveries to the U.S. from Monday, except for certain items valued under $100.

President Donald Trump's recent decree will subject international goods valued under $800 to import duties starting August 29, eliminating the previous exemption. However, items like letters, books, gifts, and small parcels under $100 will remain duty-free. A trade agreement between the U.S. and the EU has established a 15% tariff on most products shipped from the EU.

European postal services are pausing shipments due to uncertainty about which goods are affected by the new rules and the lack of time to adapt. Companies like Deutsche Post and DHL Parcel Germany have already ceased accepting parcels for the U.S., citing unresolved questions about customs duties and data requirements. Postnord in the Nordic region and Italy's postal service have also announced similar suspensions.

PostNL in the Netherlands highlighted the lack of a system for collecting the new duties in the U.S. despite the impending deadline. PostNL is collaborating with U.S. partners to address this issue. India's communications ministry noted the challenges in designating parties to collect and remit tariffs, leading to carriers refusing postal consignments bound for the U.S. after August 25.

Austrian Post and France's La Poste will halt commercial shipments to the U.S. on Tuesday, with the UK's Royal Mail following suit to allow packages to arrive before duties are enforced. PostEurop, representing 51 European postal operators, warned of a potential widespread suspension if a resolution is not reached by August 29.

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