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India to halt most postal services to US from August 25 after new duty rules

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The Department of Posts will suspend most international postal services to the United States from August 25, 2025, following new regulations announced by the US government that change how goods are shipped into the country.

The move comes after the US administration issued Executive Order No. 14324 on July 30, 2025, withdrawing the duty-free exemption on imported goods worth up to USD 800. From August 29, all goods entering the US will attract customs duties under the International Emergency Economic Power Act (IEEPA) tariff framework. Gift items up to USD 100 will continue to remain duty-free.

Under the new order, transport carriers or other “qualified parties” approved by US Customs and Border Protection (CBP) must collect and remit duties on postal shipments. CBP released initial guidelines on August 15, but key processes such as identifying “qualified parties” and setting up duty collection mechanisms are still pending.

Due to this uncertainty, US-bound air carriers have said they will not be able to accept postal consignments after August 25, citing operational and technical challenges.

As a result, the Department of Posts has announced that only letters, documents, and gift items valued up to USD 100 will continue to be accepted for delivery to the US until further notice. Other categories of postal articles will remain suspended.

The department said it is working with stakeholders, including CBP and the United States Postal Service (USPS), to resolve the issue and restore full services at the earliest. Customers who have already booked items that cannot be dispatched may apply for a refund of postage.

“The Department of Posts deeply regrets the inconvenience caused to customers and assures that all possible measures are being undertaken to resume full services to the USA at the earliest,” the official statement said.
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