The United States Postal Service (USPS) announced on Tuesday (Feb 04) that it will temporarily suspend accepting parcels from mainland China and Hong Kong. According to the USPS official website, letters will not be affected by this decision. The suspension, which is effective immediately, will remain in place "until further notice."

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USPS has not provided a specific reason for halting incoming parcels, though it comes under broader tariffs introduced by US President Donald Trump. These include a wide-ranging tariff on imports and the removal of the de minimis duty-free exemption for low-value packages.

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The move is expected to significantly affect consumer purchases from major online retailers such as Amazon. According to a 2023 report from the US Congressional Committee on China, nearly half of all parcels entering the US under the de minimis exemption originated from China.

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US authorities have raised concerns that the high volume of parcels entering the country under this exemption has made it increasingly difficult to conduct proper screening, potentially allowing illegal goods to slip through unnoticed.

What is the de minimis rule?

The de minimis rule allows low-value imports to bypass customs duties and standard screening procedures. In the US, shipments valued under $800 qualify for duty-free entry when sent directly to consumers.

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A recent executive order by Donald Trump has eliminated this exemption, meaning goods worth $800 (£641) or less will now be subject to duties and certain taxes. The so-called "de minimis" tax loophole had come under growing scrutiny as Chinese e-commerce platforms such as Shein and Temu used it extensively to reach US customers.

China expresses "resolute opposition" to US tariffs

China on Wednesday voiced its "resolute opposition" to US tariffs on its exports and called for "dialogue" to resolve trade differences.

"China expresses strong dissatisfaction and resolute opposition," foreign ministry spokesman Lin Jian said.

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Trump says he is in 'no rush' to speak with Xi Jinping

Meanwhile, Donald Trump has said that he is in no hurry to speak with China's President, Xi Jinping, following the introduction of tit-for-tat tariffs between the two nations.

On Tuesday, shortly after new 10% tariffs on Chinese goods took effect, Beijing responded by announcing levies on US energy, vehicles, and equipment. From 10 February, coal and liquefied natural gas (LNG) products will be subject to a 15% tariff, while crude oil, agricultural machinery, and large-engine cars will face a 10% levy.

Additionally, China has revealed plans to investigate Google and the US fashion conglomerate that owns Tommy Hilfiger and Calvin Klein.

Earlier, Trump delayed proposed tariffs on Mexico and Canada for a month after both countries agreed to step up efforts to tackle the flow of fentanyl and undocumented migrants into the US.

Although Trump had initially said that talks with Xi could take place yesterday, he told reporters at the White House on Tuesday afternoon that he was in "no rush" to engage in discussions.

(With inputs from agencies)