US ends de minimis exemption, disrupting global shipments

Tariffs on small international packages took effect early Friday with the US ending the “de minimis” exemption for shipments under $800.

Americans buying goods, from yarn to retro video games, now face delays or cancellations.

Several national postal services have paused US deliveries, calling the new rules too complex to follow. European, Asian, and Latin American carriers have issued suspensions or warnings.

Major ecommerce platforms, including Etsy and eBay, are alerting sellers and customers about disruptions. Third-party carriers are available but can cost up to four times more.

The exemption had already ended for Chinese parcels, which accounted for 60% of last year’s 1.3 billion low-value shipments.

Officials say the policy is expected to raise $10 billion annually, curb counterfeit goods, weapons, and narcotics, and protect American businesses. Advocacy groups warn it will hit small businesses and families, dubbing it “Trump’s online shopping tax.”

Small businesses that rely on affordable foreign shipping now face higher costs and complex logistics.