India to Suspend Postal Services to US from August 25 Amid Trade Tensions

The Department of Posts has announced that all postal services to the United States will be temporarily suspended starting August 25, citing recent changes in US customs rules and escalating trade tensions.

New US Customs Rules

According to the department’s statement, from August 29 all international postal items bound for the US will face customs duties under the International Emergency Economic Power Act (IEEPA) tariff framework.

The new rules, part of Executive Order No. 14324 issued on July 30, withdraw the duty-free exemption for imported goods valued up to $800. Only letters, documents, and gift items worth up to $100 will remain exempt.

The order also requires transport carriers and other “qualified parties” approved by US Customs and Border Protection (CBP) to collect and remit duties on all postal shipments. Airlines carrying US-bound mail have said they are currently unable to comply due to lack of technical readiness, forcing a temporary halt in services.

Trade Tensions Behind the Move

The suspension comes amid a wider trade rift after US President Donald Trump imposed a 25% tariff on Indian goods, along with an additional 25% penalty over India’s continued purchase of Russian oil.

India’s Response

In its statement, the Department of Posts expressed regret over the disruption:

“The Department deeply regrets the inconvenience caused to customers and assures that all possible measures are being undertaken to resume full services to the USA at the earliest.”

Officials said the situation is being closely monitored and efforts are underway to restore normal postal operations as soon as carriers are prepared.


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