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Hongkong Post Halts U.S. Parcel Deliveries Amid New Tariff Measures

Business

Business Honor
15 April, 2025

U.S. ends tax exemption for small parcels; Hong Kong suspends key shipping services.

Hongkong Post has announced it will stop shipping small parcels containing goods to the United States, following a new U.S. tariff decision that ends the long-standing tax exemption on low-value shipments from the region.

The U.S. government has officially revoked the de minimis rule for Hong Kong — a policy that had previously allowed imports valued under $800 to enter duty-free. Starting May 2, small parcels from Hong Kong will be subject to a 120% tariff, prompting the city’s postal authority to suspend parcel services to the U.S. in protest.

A government statement confirmed that non-airmail parcels destined for the U.S. would no longer be accepted as of April 16, with airmail parcels only accepted until April 27. Shipments containing documents will still be allowed.

“Sending items to the U.S. will now incur unreasonable and exorbitant costs,” a spokesperson said, calling the move by Washington “unilateral and unfair.” Hongkong Post also emphasized it would not serve as a collection agent for U.S. tariffs.

The development marks another challenge for Hong Kong’s trade and logistics sector, which has long benefited from the city’s status as a free port. While Hong Kong maintains separate customs and economic systems from mainland China under its "one country, two systems" framework, recent political shifts have led Washington to treat it more closely aligned with Beijing.

This suspension could impact businesses and individuals reliant on affordable cross-border e-commerce and logistics. Many small online retailers use postal services to ship products under the de minimis threshold, which has now been effectively eliminated for Hong Kong.

As trade tensions rise and regulatory environments shift, both businesses and consumers may need to explore alternative routes or absorb higher logistics costs in the short term.