Postal Traffic to US Drops by Over 80% Amid Tariffs, UN Says
GENEVA (September 6, 2025) - The Universal Postal Union (UPU), a United Nations agency, reported on Saturday that postal traffic to the United States has plummeted by over 80% since new tariffs were implemented on August 29. According to the UPU, 88 operators worldwide have either fully or partially suspended shipping parcels to the US.
The drastic decline in postal traffic is attributed to the Trump administration's decision to abolish the de minimis exemption for small packages entering the country. The exemption, which had been in place since 1938, allowed items worth $800 or less to be shipped duty-free. However, with the new tariffs, importers must now pay duties on these low-value shipments.
"The de minimis exemption was a cornerstone of international trade," said Dr. Maria Hildbrand, Director-General of the UPU. "Its abolition has had far-reaching consequences for postal operators and consumers alike."
The number of de minimis packages entering the US skyrocketed from 140 million in 2014 to 1.36 billion by 2024, according to the US Customs and Border Protection agency. Critics argue that this flood of low-value imports hurts American retailers and manufacturers.
"This is a classic case of protectionism gone wrong," said Dr. Hildbrand. "The tariffs have created uncertainty and increased costs for postal operators, ultimately affecting consumers."
Background on the de minimis exemption reveals that it was introduced to facilitate international trade by allowing small packages to be shipped duty-free. However, as e-commerce grew exponentially, so did the number of low-value shipments entering the US.
Critics argue that the Trump administration's decision to abolish the exemption is a protectionist measure aimed at shielding American businesses from foreign competition. Proponents claim it will help level the playing field for domestic companies.
The UPU has called on governments and postal operators to work together to mitigate the effects of the tariffs. "We urge all stakeholders to engage in constructive dialogue to find solutions that balance trade policy with the needs of consumers," said Dr. Hildbrand.
As the situation continues to unfold, postal operators are reassessing their shipping strategies. Some have announced plans to redirect packages to neighboring countries or explore alternative routes.
The implications of this development extend beyond the US, as it may set a precedent for other countries to follow suit. The UPU has warned that the consequences of protectionism can be far-reaching and devastating for global trade.
In conclusion, the drastic decline in postal traffic to the US highlights the complexities of international trade policy. As governments continue to navigate the challenges of globalization, they must balance competing interests while ensuring the free flow of goods and services.
Attributions:
Universal Postal Union (UPU)
Dr. Maria Hildbrand, Director-General of the UPU
US Customs and Border Protection agency
*Reporting by Dw.*
