Global Postal Trade Disrupted: Germany Suspends U.S. Mail Services Ahead of New Customs Rule
Starting August 29, 2025, the U.S. will enforce a sweeping end to the “de minimis” duty-free import rule—a provision previously allowing low-value goods (under $800) to enter the country tariff-free and with minimal customs oversight. This policy shift, enacted via Executive Order 14324 – “Suspending Duty‑Free De Minimis Treatment for All Countries”, marks a pivotal shift in U.S. trade enforcement (The White House, The Verge, www.hoganlovells.com).
In Germany, this change has immediate repercussions. As of August 22, Deutsche Post and DHL Parcel Germany have announced a halt on acceptance and shipment of business postal goods to the U.S., citing uncertainty over how new customs processes will operate, especially around duties, data exchange, and payment mechanisms (Reuters).
Why the De Minimis Rule Is Ending
The U.S. administration passed this executive order in July 2025 as a response to growing national security and economic concerns:
- Drug smuggling via low-value parcels: Law enforcement found that 98% of narcotics cases and 90% of all cargo seizures were linked to shipments previously covered under the de minimis exemption (The White House).
- Trade abuse and intellectual property infringement: Cheap counterfeit goods and tariff evasion tactics were rampant via this channel (The White House, The Verge).
- Equity for U.S. businesses: Eliminating the de minimis waiver aims to level the playing field for domestic manufacturers being undercut by duty-free imports (Buckland Customs, The White House).
What Changes for Postal Shipments to the U.S.?
1. New Duty Regime for Postal Goods
Under the new policy, international postal items (e.g., those handled by Deutsche Post) must now:
- Apply either an ad valorem duty (based on the U.S. IEEPA tariff rate for the origin country),
- Or a flat per-item tariff, tiered as:
- $80 for countries with <16% IEEPA rate
- $160 for rates between 16–25%
- $200 for rates >25%
Carriers will choose one method and can alter it only monthly; flat-rate option ends after six months (The White House, GHY International, International Trade Insights, The Verge).
2. Duty-Free Exceptions Narrowed
- Only private-to-private gift shipments under $100, properly declared, remain duty-free—though they will now be subject to increased scrutiny to prevent misuse (Reuters, Financial Times).
- Letters and documents with no goods continue to be exempt.
- Commercial shipping via couriers like DHL Express remains allowed but without de minimis benefits—duties now apply to all values, including shipments previously under the threshold (Reuters, Financial Times).
3. Customs Entry and Bond Requirements
- Packages formerly exempt must now go through full customs entry via the Automated Commercial Environment (ACE) (White & Case, bdo.co.uk, GHY International).
- Bonds may be required:
- Informal entries under $2,500 may require an importation and entry bond;
- Carriers must hold an international carrier bond to guarantee duty payment (The White House, GHY International).
Immediate Industry Response in Europe
Deutsche Post and DHL Parcel Germany will suspend business parcel shipments to the U.S. starting August 22, due to the ambiguity of the new duty processes (Reuters).
Similar actions are unfolding across Europe:
- Nordic postal operators (Posten Bring, PostNord) and Belgium’s bpost have paused U.S. shipments, citing insufficient time to adjust and unclear customs procedures (Reuters).
- Austrian Post will stop accepting non-gift shipments to the U.S., although gifts under $100 and premium express services remain unaffected (Reuters).
- The industry body PostEurop has advised all members to restrict or halt postal trade goods to the U.S. as rules remain unsettled (Financial Times, Reuters).
Distinguishing Postal vs. Commercial Customs Clearance
| Type | Prior Treatment | Post-August 29, 2025 |
|---|---|---|
| Postal (Universal Postal Convention) | Simplified, cost-effective, duty-free under $800 | Duties applied, complex entry, bond requirements |
| Commercial (DHL Express, etc.) | Duties on higher-value goods, simplified under threshold | All shipments duties apply; detailed customs requirements |
- Postal: Previously streamlined. Now requires carriers to collect duty, file data, and may disrupt established workflows.
- Commercial: Already built for customs—e.g., DHL Express handles declarations, duty collection based on agreed Incoterm, and customs documentation remains in place (Financial Times, Reuters).
Broader Impact and Industry Concerns
- E-commerce Disruption
Platforms like eBay, Etsy, Shein, Temu, and others reliant on low-cost shipping face margin pressure and higher costs (Reuters, WIRED). - Supply Chain Shifts
Businesses may pivot to:
- Foreign Trade Zones (FTZs) to defer duties until sale;
- Consolidated shipments instead of small parcels, prompting logistics realignments (The Wall Street Journal, Trans.INFO).
- Operational Burdens
Customs brokers describe the change as the “largest paperwork shock in a decade” (Trans.INFO). Small businesses and logistics providers must rapidly adapt systems to manage customs entries, classification, and compliance. - Strategic Adjustments
- Some platforms may increase prices or reduce international availability.
- Businesses must update documentation practices and retrain staff on new classification and customs codes (bdo.co.uk, PwC).
The U.S. de minimis exemption expedited consumer imports but also became a vector for illicit behavior and trade abuse. Ending it is meant to bolster security and revenue—but creates significant disruption.
In Germany and across Europe, postal operators are pausing services amid unclear guidelines. Businesses face a steep learning curve: new duties, customs filings, bond requirements, and data reporting—all while trying to maintain timely shipping and customer satisfaction.