USPS Suspends Parcels From China Affecting Temu, Shein

February 5, 2025 – The United States Postal Service (USPS) has announced a temporary suspension of inbound parcel shipments from China and Hong Kong, effective immediately.

This suspension applies solely to packages, while the flow of letters and flats—mail items up to 15 inches long or 0.75 inches thick—remains unaffected.

The USPS did not provide a specific reason for this suspension but it’s believed that the  decision closely follows recent policy changes by the U.S. government under President Donald Trump, including the termination of the “de minimis” exemption, which previously allowed tax-free entry for packages valued under Sh103,000 ($800). This change is part of broader trade measures affecting imports from China and other countries.

The suspension has significant implications for e-commerce platforms like Shein and Temu, which rely heavily on USPS for direct shipping to U.S. consumers. With the halt in USPS services, these companies may face logistical challenges, potential delays, and increased costs. To mitigate these issues, some firms are considering alternative strategies, such as partnering with private carriers or expanding their warehousing capabilities within the United States.

Industry analysts note that USPS will need time to adjust to the new import regulations and implement the necessary processes to manage the influx of packages subject to tariffs. According to a report by Reuters, Chelsey Tam, a senior equity analyst at Morningstar said that USPS will take some time to process how to implement new taxes on Chinese goods before they are allowed to enter the U.S. market.

“The USPS would require some time to sort out how to execute the new taxes before allowing Chinese packages to arrive in the U.S. again,” Tam said.

She highlighted the challenge posed by the volume of packages, noting that in 2024, there were approximately 4 million de minimis packages per day, making thorough inspection and processing a complex task.

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The suspension has also led to confusion and frustration among consumers and businesses. At a Hong Kong post office, individuals seeking information about their shipments to the U.S. expressed concerns over the lack of clarity regarding the status of their packages. One businessman reported being unable to ascertain the whereabouts of his delivery after consulting with postal staff.