India Post extends suspension to all mail categories for US
What's the story
The Department of Posts has suspended all categories of mail to the United States, including letters, documents, and gifts worth up to $100. The move comes after carriers were unable to transport US-bound mail due to undefined regulatory mechanisms. "In view of the inability of carriers to transport U.S.-bound mail...it has now been decided to completely suspend booking of all categories of mail," a notice from the department said.
Duty confusion
US's new customs duty structure
The suspension of mail services was necessitated after the United States changed its customs duty structure. Under an executive order issued on July 30, 2025, goods valued over $100 are now subject to customs duties in America from August 29 onwards. This change has resulted in Indian goods facing a 50% tariff in the US, including reciprocal tariffs and penalties for trading with Russia.
Service suspension
Possibility of private couriers
The Department of Posts has not ruled out the possibility of temporarily tying up with private couriers to resume services. India Post has not yet explored temporary tie-ups with private couriers but may start talks soon to see if such routing is possible. The decision comes as over 25 countries have suspended outbound postal services to the US due to uncertainties around transit arrangements.
Duty collection
End of de minimis exemption
The US Customs and Border Protection agency has started collecting normal duty rates on all package shipments under $800. The parcels would be charged based on the country's tariff bracket, with different flat rates for countries with varying duty rates. The change is part of the Trump administration's effort to increase customs revenues by $10 billion annually by ending the de minimis exemption.