India Temporarily Suspends Postal Services to USA from August 25, 2025

August 23, 2025 MTIMES 76 Views CBP guidelines, Department of Posts update, Executive Order 14324, IEEPA tariff, India suspends postal services to USA, international shipping suspension, USA de minimis exemption withdrawal, USPS updates 2 min read

New Delhi: The Department of Posts has announced the temporary suspension of postal services to the United States of America following recent changes introduced by the U.S. administration.

The suspension, effective from August 25, 2025, comes after the U.S. Government issued Executive Order No. 14324 on July 30, 2025, withdrawing the duty-free de minimis exemption for imported goods valued up to USD 800. Under the new framework, all postal shipments to the USA will attract customs duties, as per the International Emergency Economic Power Act (IEEPA) tariff system.

However, the U.S. has allowed an exemption for gift items worth up to USD 100, which will continue to be duty-free.

Why the Suspension?

According to the Department of Posts, transport carriers and qualified parties designated by U.S. Customs and Border Protection (CBP) must now collect and remit duties on postal shipments. While CBP issued guidelines on August 15, 2025, several operational procedures – including the designation of “qualified parties” and duty collection mechanisms – remain unresolved.

As a result, U.S.-bound air carriers have declined to accept postal consignments after August 25, citing lack of technical readiness to comply with the new requirements.

What Remains Operational?

From August 25, 2025, the Department of Posts will:

Suspend booking of all types of postal articles to the USA, except:
- Letters/documents
- Gift items up to USD 100 in value

These exempt categories will continue to be delivered until further clarification is received from CBP and USPS.

Refunds and Next Steps

The Department has confirmed that customers who booked consignments that cannot be dispatched will be eligible for postage refunds.

In its statement, the Department of Posts said it is “closely monitoring the evolving situation in coordination with all stakeholders, and every effort is being made to normalize services at the earliest possible opportunity.”

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