The United States has scrapped tariff exemptions on small packages valued at $800 or less, a move that could push up costs for consumers and squeeze small businesses.
The Trump administration said the step was necessary to stop tariff evasion and the smuggling of drugs. From now, packages entering the US will either attract normal import tariffs or face a fixed duty of $80 to $200 per item. Exemptions will only apply to personal items and gifts.
The policy has already disrupted postal services. At least 25 countries, including the UK, Germany, France, and Japan, have suspended some parcel deliveries to the US. Businesses dependent on cross-border sales say the new rule could drive up shipping costs and force price hikes.
Retailers like SocksFox in the UK and Oak & Willow in Canada told AFP they have stopped or slowed sales to US buyers, who make up a significant share of their market. Experts warn that smaller firms will struggle the most, as larger platforms like Shein and Temu are better placed to absorb the shock.
Analysts say consumers should brace for delivery delays, higher prices, and confusion at customs.