Suspension Linked to New US Customs Rules and Rising Trade Tensions Between India and the US
Postal Services to USA Suspended Temporarily
The Department of Posts, India, has announced a temporary suspension of all postal services to the United States, effective August 25, 2025. This decision comes as a direct response to changes in US customs regulations and rising Indo-US trade tensions.
Why the Suspension?
Starting August 29, 2025, the United States will implement revised customs duties under the International Emergency Economic Powers Act (IEEPA) framework. These changes will impact all international postal items destined for the US, regardless of their value.
Key reasons for the suspension include:
- US Executive Order No. 14324, issued on July 30, 2025
- Removal of duty-free exemption on imported goods worth up to $800
- Only letters, documents, and gift items valued below $100 will remain duty-free
- US-bound carriers unable to comply with new customs collection rules
Background: Trade Tensions Fuel the Move
The move follows US President Donald Trump’s decision to impose:
- A 25% tariff on Indian goods
- An additional 25% penalty for India’s oil trade with Russia
This policy shift has strained trade relations between the two nations and prompted logistic challenges for postal services.
Air Carriers Not Ready
Under the new customs enforcement:
- Only “qualified parties”, approved by US Customs and Border Protection (CBP), can collect and remit duties
- Air carriers have stated they are not operationally or technically prepared to handle these new requirements
- As a result, they will not accept postal consignments to the US for now
India Post’s Official Statement
In an official release, India Post stated:
“The Department of Posts 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.”
The department also confirmed it is closely monitoring the situation and is in constant touch with international stakeholders to normalize operations as soon as possible.
What You Should Know
- All postal services to the US paused from August 25, 2025
- Customs duties apply to all US-bound packages from August 29
- Letters, documents, and gifts under $100 remain duty-free
- Temporary measure until carriers meet new customs handling protocols
When Will Services Resume?
There is no confirmed date for resumption yet, but India Post has reassured the public that restoration of full services is a top priority.
The temporary halt in postal services to the USA marks a significant shift in international logistics and trade relations between India and the United States. Customers are advised to plan accordingly and stay updated through official India Post announcements.
