The UN’s Universal Postal Union (UPU) recently released a report that postal traffic into the United States has dipped more than 80% following the Aug. 29 suspension of the duty-free de minimis exemption, which allowed small packages worth $800 or less to come into the country without having tariff penalties imposed. With the end of that exemption, traffic has come to an alarming, screeching halt from international shippers.
In a statement, UPU Director General Masahiko Metoki noted, “The UPU has in its mission the responsibility to guarantee the free circulation of postal items over a single postal territory. We’re working to uphold that responsibility with the rapid development of a new technical solution that will help get mail moving to the United States again.”
The problem comes from the fact that, for the first time, carriers and customs entities are now responsible for calculating — and collecting — all applicable tariffs, regardless of size or value. And, the UPU statement notes, “carriers, such as airlines, signaled they were unwilling or unable to bear this responsibility and postal operators had not yet established a link to the list of CBP (U.S. Customs and Border Protection) qualified parties, causing major operational disruptions.”
Further, 88 global postal operators have noted they have suspended some or all postal services into the United States until solutions are implemented, leading to even further and widespread disruptions.
NPR reported that it has reached out to the White House for comment, but as of publication, it has not yet gotten a response.
But what does this mean for the printing industry?
Read the rest of this feature on Printing Impressions.