Thursday, August 28, 2025

Mexico to droop package deal shipments to US as tariff exemption set to run out | Commerce Struggle Information

US tariff exemption on packages value $800 or much less on account of finish this week.

Mexico says it is going to droop package deal shipments to the US earlier than the tip of a tariff exemption for small-value packages.

The announcement on Wednesday follows comparable strikes by postal providers from a number of European international locations, together with Germany, Denmark, Sweden, Italy, and the UK, as they await  additional particulars from the US authorities.

The “de minimis” exemption has allowed packages value lower than $800 to enter the US tariff-free since 2016, however the loophole is about to run out on Friday.

The change is predicted to dent the enterprise of Chinese language e-commerce platforms like Shein and Temu – which have evaded US tariffs by mailing on to prospects – but it surely has additionally created confusion for different US commerce companions. Mexico mentioned it is going to droop shipments pending extra particulars from Washington about new duties.

“Mexico continues its dialogue with US authorities and worldwide postal organisations to outline mechanisms that may permit for the orderly resumption of providers, offering certainty to customers and avoiding setbacks within the supply of products,” the federal government mentioned.

Delivery large DHL mentioned “key questions stay unresolved, significantly relating to how and by whom customs duties will likely be collected sooner or later, what further knowledge will likely be required, and the way the info transmission to the US Customs and Border Safety will likely be carried out.”

The White Home introduced plans to droop the de minimis exemption for all international locations on July 30, as a part of US President Donald Trump’s wider commerce battle.

The exemption was beforehand suspended for China, Hong Kong, Mexico, and Canada on account of issues in regards to the circulate of fentanyl and different medicine over the US border.

A White Home Truth Sheet launched on July 30 mentioned two schemes could also be used to calculate tariffs for small packages.

The primary is calculated primarily based on the worth of the package deal, whereas the second scheme units a tariff of $80 to $200 per merchandise.

Each charges are primarily based on the blanket tariff set by the Trump administration for many US commerce companions in August, starting from 10 to 40 %.

The White Home has additionally imposed tariffs on particular person sectors, equivalent to semiconductors, metal and aluminium, automobiles and auto components.

Mexico continues to be negotiating its tariff fee with the US, and has pledged to lift tariffs on Chinese language items and take harder measures towards drug cartels to safe a cope with Trump. Some items, nevertheless, will nonetheless be coated by the 2020 free commerce US-Mexico-Canada Settlement.

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