25 countries halt mail to U.S. over tax uncertainty: UN postal body

The Universal Postal Union (UPU), a UN agency representing 192 countries, said on Tuesday that 25 member countries have suspended postal shipments to the United States, citing uncertainty over new customs rules due to take effect this week.

An executive order signed by U.S. President Donald Trump will end the long-standing "de minimis" exemption on August 29, which allowed imports under $800 to enter duty-free. The UPU said it is working with Washington to clarify the requirements, while Director General Masahiko Metoki raised concerns in a letter to U.S. Secretary of State Marco Rubio.

The UPU said it is taking all possible measures to prepare its member countries for the impacts of the new requirements.

Experts warn the fallout will be wide-ranging. Wang Shuo, a professor at Beijing Foreign Studies University, said small e-commerce platforms and small and medium-sized enterprises (SMEs) that rely heavily on cross-border parcels will be hit first, with many forced to scale back or exit the U.S. market.

"Even American SMEs cannot escape the squeeze, as they face higher operating costs and will likely pass these onto consumers through price hikes," Wang noted.

The impact is already showing up in retail prices: Some Walmart products have risen 15 percent, while Adidas plans to increase prices for its fall footwear collection by 22 percent. "In the end, American consumers are the direct victims of these tariff policies," Wang said.

U.S. import duties are now at their highest average level since 1934. Analysts estimate each American household could lose around $2,000 annually, with working-class families hit the hardest. Critics argue that while the policy was framed as an effort to narrow trade imbalances, its costs fall disproportionately on domestic businesses and consumers.

Wang added that Trump's tariff strategy has failed to deliver on its promise to protect U.S. jobs. He took the Ford Motor Company as an example, saying due to higher steel import costs, the company has been forced to cut worker benefits and jobs.