US Postal Service halts China and Hong Hong parcels

US Postal Service halts China and Hong Hong parcels

The US Postal Service (USPS) mentioned it has stopped accepting parcels from mainland China and Hong Kong till additional discover.

Letters is not going to be affected by the suspension, mentioned the corporate, which declined to supply a motive for the choice.

Nevertheless, on Tuesday new guidelines got here into drive which closed a loophole that allowed small packages value $800 (£641) or much less to be despatched to the US with out paying tax or charges.

It was one of many measures introduced by US President Donald Trump who imposed a further 10% tariff on all items imported to the US from China.

The so-called de minimis tax loophole has confronted elevated scrutiny in recent times as Chinese language e-commerce giants like Shein and Temu have used it to achieve thousands and thousands of US clients.

Adjustments to the tax exemption below President Joe Biden have been already in progress earlier than Trump took workplace.

However in his commerce announcement on the weekend, Trump prolonged tariffs to all China items being imported into the US, together with trend gadgets and toys.

In response, China mentioned it might implement tariffs on some US imports.

From 10 February coal and liquefied pure fuel (LNG) will face a 15% levy. Crude oil, agricultural equipment and large-engine automobiles will probably be topic to a ten% tariff.

Nick Stowe, chief govt of Monsoon & Decorate, advised the BBC’s Immediately programme he was in help of the adjustments within the US to the de minimis exemption, claiming that it had allowed main Chinese language retailers to “undercut” rivals in different markets.

“It has lengthy been a grievance of UK retailers, European retailers in addition to the US retailers that Shein are exploiting this loophole, not paying customs obligation and so they have constructed a enterprise at an industrial scale,” he mentioned.

Trump had been anticipated to talk to his Chinese language counterpart Xi Jinping within the coming days however on Tuesday the US president mentioned he was in “no rush” to carry talks.

“Trump’s tariff adjustments are particularly sharp if items have been beforehand shipped by way of e-commerce instantly from China to the US,” mentioned commerce professional Deborah Elms.

Near half of all parcels getting into the US below de minimis exemptions have been despatched from China, in accordance with a 2023 report by US Congress.

Officers have identified that the big movement of parcels getting into the nation by means of this exemption made it more and more tough to display screen them for attainable unlawful items.

The BBC has contacted USPS to request extra particulars in regards to the determination.

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