New Delhi (August 23): The Department of Posts has announced a temporary suspension of all postal services to the United States from August 25, 2025, citing new US customs regulations set to take effect later this month.
The move follows Executive Order No. 14324, issued by the US administration on July 30, which withdraws the long-standing duty-free de minimis exemption for goods valued up to USD 800. The decision comes against a backdrop of escalating trade tensions between the two countries, with US President Donald Trump recently imposing a 25% tariff on Indian goods, along with an additional 25% penalty on purchases of Russian oil, effectively raising the tariff burden to 50%.
New Customs Framework
In its statement, the Department of Posts said that from August 29, “all international postal items destined for the USA, regardless of their value, shall be subject to customs duties as per the country-specific International Emergency Economic Power Act (IEEPA) tariff framework.” However, it clarified that gift items worth up to USD 100 will remain exempt.
The order requires transport carriers and qualified parties approved by US Customs and Border Protection (CBP) to collect and remit duties. While CBP issued operational guidelines on August 15, the mechanisms for designating “qualified parties” and implementing duty collection remain incomplete.
Impact on Shipments
Due to this uncertainty, several US-bound air carriers have informed Indian authorities that they will not be able to accept consignments after August 25.
As a result, the Department of Posts has suspended booking of all types of postal articles to the US—except letters, documents, and gifts valued under USD 100. Customers who have already booked undeliverable items may apply for a refund of postage charges.
The department added that it is closely monitoring the situation in consultation with stakeholders and will work to resume services at the earliest opportunity.
