India Post suspends all US-bound mail services over new tariff rules

India Post has halted booking and dispatch of all US-bound mail, citing operational hurdles under new US tariff rules, affecting families, students and small exporters

The Department of Posts has announced the complete suspension of booking and dispatch of all categories of postal articles to the United States of America. The decision follows operational constraints arising from recent changes in US import tariff regulations.

 

The Department said the suspension has caused concern among families, students, and small exporters in India who rely on India Post’s cost-effective services. “It has been decided to completely suspend the booking of all categories of mail, including letters, documents, and gift items valued up to USD 100, destined for the USA,” the Department said in a statement.

 

“The Department is closely monitoring the situation and making every effort to restore services at the earliest. Customers who have already booked items that could not be dispatched may claim a refund of postage,” it added.

 

Indian students and families in the US often rely on postal channels to receive essential items such as medicines, festival parcels, and legal documents. Similarly, micro-exporters engaged in handicrafts and e-commerce depend on low-cost parcel post to ship goods to American buyers. Private couriers, while operational, are substantially more expensive, costing three to five times the postal rates for small consignments.

 

The Department emphasised that it is monitoring the evolving situation in consultation with international partners and will resume services to the US at the earliest possible opportunity. Customers who have already booked consignments that cannot be dispatched are entitled to claim a refund of postage.

 

US trade regulations

 

The suspension of mail services comes in the wake of an executive order issued by the US government on July 30, 2025, which withdrew the duty-free de minimis exemption — the threshold below which imported goods can enter a country without being subject to customs duties or taxes — for goods valued up to $800, effective August 29, 2025.

 

Under the new International Emergency Economic Powers Act (IEEPA) tariff framework, all international consignments to the US are subject to customs duties, with the sole exception of gift items up to $100 and certain categories of documents. While the US Customs and Border Protection (CBP) has issued preliminary guidelines, critical aspects of duty collection and the designation of “qualified parties” to remit such duties remain unresolved. As a result, US-bound postal services have expressed their inability to accept consignments.

 

The issue is not unique to India. Postal operators in several countries, including Korea, Singapore, Austria, Belgium, the UK, and Australia, have also suspended US-bound shipments due to the lack of clarity from American authorities. Even the United States Postal Service (USPS) has been compelled to modify its handling of incoming international mail under the new tariff regime, highlighting the global scale of disruption.