India Post Stops Postal Service To US From August 25; Here’s Why

The Department of Posts has announced a halt in postal services to the United States starting 25th August 2025 This decision follows new customs regulations from the Trump administration, which will take effect later this month. The changes are part of the International Emergency Economic Power Act (IEEPA) tariff framework, impacting all international postal items sent to the USA.

Trade tensions have been escalating after US President Donald Trump imposed a 25% tariff on India. Additionally, a further 25% levy was placed on India's purchase of Russian oil, effectively doubling the tariff burden to 50%. These developments have contributed to the current suspension of postal services.

Impact of New Customs Regulations

The Executive Order No. 14324, issued by the U.S. Administration on 30th July 2025, has withdrawn the duty-free de minimis exemption for goods valued up to USD 800. This change will be effective from 29th August 2025. Consequently, all international postal items destined for the USA will be subject to customs duties under the IEEPA framework.

However, gift items valued up to USD 100 will remain exempt from these duties. Transport carriers delivering shipments through international postal networks or other "qualified parties" approved by U.S. Customs and Border Protection (CBP) must collect and remit duties on postal shipments.

Challenges Faced by Air Carriers

Despite guidelines issued by CBP on 15th August 2025, several critical processes remain undefined. These include designating "qualified parties" and mechanisms for duty collection and remittance. As a result, U.S.-bound air carriers have expressed their inability to accept postal consignments after 25th August 2025 due to operational and technical challenges.

In response, the Department of Posts has decided to temporarily suspend booking all types of postal articles destined for the USA from 25th August 2025. Exceptions include letters/documents and gift items valued up to USD 100, which will continue being accepted and conveyed to the USA pending further clarifications from CBP and USPS.

Efforts to Resume Services

The Department is closely monitoring the evolving situation in coordination with all stakeholders. Every effort is being made to normalize services at the earliest possible opportunity. Customers who have already booked articles that cannot be dispatched due to these circumstances may seek a refund of postage.

The Department of Posts deeply regrets any inconvenience caused to customers and assures that all possible measures are being undertaken to resume full services to the USA as soon as possible.