Core Points - The United States will eliminate the tax exemption for imported packages valued at $800 or less starting August 29, 2025, requiring full customs duties to be paid on small packages [1][2] - This change is part of an administrative order aimed at simplifying customs processes but raises concerns about increased competition from low-cost imports and potential impacts on domestic industries [2] - The Universal Postal Union (UPU) reports that 25 member countries have suspended mail shipments to the U.S. due to uncertainties regarding the new regulations [1][2] Group 1 - The U.S. previously allowed packages valued under $800 to be exempt from customs duties, a policy known as the "minimum threshold rule," which was raised from $200 in 2016 to facilitate cross-border e-commerce [2] - The new regulation mandates carriers to collect duties upfront from senders and remit the total to U.S. Customs and Border Protection, with certain categories like documents and gifts under $100 remaining exempt [2] - The UPU is actively communicating with U.S. authorities to address operational challenges and ensure that all member countries receive timely updates on the new requirements [3] Group 2 - The UPU is collaborating with postal stakeholders to develop a scalable "prepaid tax" system to support the implementation of customs duties collection and remittance processes globally [3] - The UPU, established in 1874 and headquartered in Bern, Switzerland, plays a crucial role in setting international postal regulations and facilitating cross-border mail and package services [3]

Core Viewpoint - The recent tariff measures by the United States on postal packages have significant implications for global postal operators, prompting the Universal Postal Union (UPU) to take responsive actions [1] Group 1: Tariff Policy Changes - The U.S. has a minimum threshold for tariff exemptions on small packages, allowing goods valued under $800 to be exempt from tariffs and import taxes, a policy that has been in place since 2016 [1] - This policy aims to facilitate cross-border e-commerce and small trade, simplifying customs processes and reducing transaction costs for consumers and businesses [1] - However, there are concerns from the domestic industry and policymakers about increased competition from cheap imports and its impact on tariff regulation and tax revenue [1] Group 2: Operational Adjustments - An executive order from the U.S. effective August 29, 2025, mandates carriers to collect tariffs from senders at the time of shipment, with specific categories like documents and gifts under $100 exempt from tariffs [1] - As a result of uncertainties regarding transit services, 25 member countries' postal operators have decided to suspend mail shipments to the U.S. until further details are provided by U.S. authorities [2] Group 3: Communication and Coordination Efforts - The UPU is actively communicating with U.S. authorities to ensure operational requirements are conveyed to all member countries in a timely manner [3] - UPU's Director General has expressed concerns about potential operational disruptions and is working with postal stakeholders to develop a scalable "prepaid tax" system to support tariff collection and remittance processes globally [3] - The UPU, established in 1874 and headquartered in Bern, Switzerland, is a specialized agency of the United Nations responsible for international postal regulations and the coordination of cross-border mail and parcel services [3]