TEMU ECONOMICS: Postal traffic to U.S. sank 80% after Trump administration ended exemption on low-value parcels.

Eighty-eight postal operators have told the UPU that they have suspended some or all postal services to the United States until a solution is implemented with regard to U.S.-bound parcels valued at $800 or less, which had been the cutoff for imported goods to escape customs charges.

“The global network saw postal traffic to the U.S. come to a near-halt after the implementation of the new rules on Aug. 29, 2025, which for the first time placed the burden of customs duty collection and remittance on transportation carriers or U.S. Customs and Border Protection agency-approved qualified parties,” the UPU said in a statement.

The UPU said information exchanged between postal operators through its electronic network showed traffic from its 192 member countries — nearly all the world countries — had fallen 81 percent on Aug. 29, compared to a week earlier.

The Bern, Switzerland-based agency said the “major operational disruptions” have occurred because airlines and other carriers indicated they weren’t willing or able to collect such duties, and foreign postal operators had not established a link to CBP-qualified companies.

Last week I bought a sub-$100 watch strap online, not realizing it would ship from the UK. About 48 hours later I got a followup email with a link to pay an import duty of just under $5.

It didn’t seem like a big deal, but maybe it is for companies like Temu and Shein that specialize in virtually zero-margin items.