WASHINGTON, DC – LESS than 24 hours after announcing a suspension on imports from Hong Kong and China, the United States Postal Service (USPS) has reversed its decision.
The initial move was a response to U.S. President Donald Trump’s executive orders maintaining a 10 percent tariff on Chinese imports, prompting businesses to seek ways to offset the additional costs. Many are expected to pass these costs on to consumers through higher prices.
In a late-night statement, USPS initially announced:
“Effective Feb. 4, the Postal Service will temporarily suspend only international package acceptance of inbound parcels from China and Hong Kong posts until further notice. Note the flow of letters and flats from China and Hong Kong will not be impacted.”
The announcement caught many businesses in the United States and the Caribbean off guard, as popular apparel retailers such as Shein and Temu, which rely on USPS to service good to the region.
By midmorning, reports emerged that the USPS had reversed its decision. A statement on its website read:
“Effective February 5, 2025, the Postal Service will continue accepting all international inbound mail and packages from China and Hong Kong Posts. The USPS and Customs and Border Protection are working closely together to implement an efficient collection mechanism for the new China tariffs to ensure the least disruption to package delivery.”
Concerns remain over the impact of tariffs on businesses. Reuters has reported that companies like Shein and Temu may raise prices to counteract the additional costs.
Trump’s tariffs are expected to have global ramifications, and how businesses respond will be crucial as the world continues to recover from inflationary pressures.