Postal Services Halt US Shipments Amid Duty-Free Loophole Change

Norwegian and Swedish-Danish postal groups, Posten Bring and PostNord, have paused parcel shipments to the US. This comes as a response to the US's decision to scrap the 'de minimis' exemption, which allowed duty-free entry for low-value packages, complicating international shipping logistics.

Norwegian and Swedish-Danish postal groups Posten Bring and PostNord halted parcel shipments to the United States as they brace for changes in U.S. customs policy. The decision comes ahead of the impending elimination of a U.S. customs tax loophole that currently allows duty-free entry for low-value packages, announced the postal groups on Wednesday.

The Trump administration declared its intention last month to suspend the global 'de minimis' exemption, which simplified paperwork for international shipments under $800, beginning August 29. Citing the short timeframe to adapt to the new regulations, PostNord, owned by Swedish and Danish governments, temporarily stopped shipments to the U.S.

This adjustment to the tariff policies is the latest in a series of developments causing volatility in global financial markets. The White House's executive order mandates that low-value packages shipped to the U.S. will incur 'all applicable duties'. Norwegian state-owned Posten Bring, in a separate statement, emphasized the ongoing efforts by European postal companies to understand and adapt to the new U.S. requirements.

(With inputs from agencies.)