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USPS halts delivery of certain packages from China and Hong Kong


The U.S. Postal Service has temporarily suspended all inbound packages from China and Hong Kong Posts until further notice, effective immediately. This change comes after President Donald Trump signed executive orders imposing tariffs on several countries, including China. The orders eliminate the “de minimis” provision which allowed packages worth less than $800 to enter the U.S. duty-free, impacting Chinese e-commerce firms like Shein and PDD Holdings’ Temu.

The suspension may lead to increased costs for sellers and consumers as Chinese companies will have to find alternative shipping methods. Lawmakers argue that de minimis imports give Chinese companies an unfair advantage and allow illicit drugs to enter the U.S. through the mail. However, companies like Temu and Shein have claimed that their business models do not rely on de minimis.

Some Chinese e-commerce companies have opened distribution centers in the U.S. to store goods locally and hedge against trade restrictions. This trend has seen explosive demand, according to Wen Biao, general manager of a Shenzhen-based logistics company. It is unclear how the suspension of inbound packages from China and Hong Kong will affect the growth of Chinese e-commerce platforms in the U.S. and whether they will be able to sustain their current levels of operations.

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