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USA | Aug 27, 2025

US ‘de minimis’ tariff exemption for small business to end on Friday

Toriann Ellis

Toriann Ellis / Our Today

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International postal services are suspending shipments to the United States after an exemption on tariff duties for small packages is set to expire.

It’s the latest example of how President Donald Trump’s sweeping trade policy is impacting US consumers and businesses.

Beginning Friday, the “de minimis” exemption, which allowed shipments of goods worth $800 or less to enter the United States duty-free, will be eliminated.

It’s another blow to the exemption that provided a loophole for e-commerce giants.

In May, the Trump administration suspended the rule on packages coming from China and Hong Kong. Those high duties, which were reduced from 120 per cent to 54 per cent, especially hurt low-cost sellers like Shein and Temu.

European and Asian postal services have taken matters into their own hands by announcing plans to halt shipments as early as Monday. Singapore’s SingPost and India’s Department of Posts said they will also temporarily suspend some shipments to the United States.

International postal service DHL said August 25 will be the last day it accepts shipments to the United States, joining European peers in halting shipments, including the Austrian Post, which will stop accepting shipments to the United States on Tuesday, August 26.

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