India's Department of Posts has temporarily stopped all postal shipments to the United States. This includes letters, documents, and gifts of any v...

India's Department of Posts has temporarily stopped all postal shipments to the United States. This includes letters, documents, and gifts of any value.

Initially, the department had only suspended certain items, allowing letters, documents, and gifts under $100 to still be sent. However, due to the inability of shipping carriers to transport mail to the U.S. and unclear regulations, all mail categories are now suspended.

This change follows a U.S. executive order from July 30, 2025, which ended the duty-free exemption for goods valued up to $800, effective August 29, 2025. As a result, all postal items sent to the U.S., regardless of their value, are now subject to customs duties under the International Emergency Economic Power Act (IEEPA).

This affects key Indian exports sent directly to consumers via e-commerce, such as apparel, carpets, jewelry, handicrafts, electronics, and footwear.

Ajay Sahai, Director General of the Federation of Indian Export Organisations (FIRO), anticipates a disruption of about a month. E-commerce companies are currently analyzing the additional costs and how much U.S. consumers might be willing to pay.

The U.S. executive order requires shipping carriers or "qualified parties" to collect and pay duties on postal shipments. While U.S. Customs and Border Protection provided some guidance, key processes for designating "qualified parties" and a system for duty collection are still undefined. This lack of clarity led U.S.-bound air carriers to stop accepting postal mail after August 25, 2025, citing a lack of operational readiness.

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