Australia Post Suspends US Shipments as Trump Tariff Deadline Nears

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Australia Post Suspends US Shipments as Trump Tariff Deadline Nears
Australia Post is banning several types of shipping to the United States as a Trump administration tariff deadline causes "chaos" for postal networks and businesses around the world.

The result means that goods from other nations can no longer be sent to the United States via Australia, a process known as "transit" shipping.

"In line with a number of other postal operators, Australia Post has temporarily suspended its transit service to the US and will no longer accept transit items containing goods destined for the United States of America," a representative for Australia Post disclosed.
Australia Post's suspension comes as low-value items imported into the US face new taxes starting next week.
Previously, deliveries of products from Australia valued less than $US800 ($1,200) were not taxed when they landed in the United States, under what was known as the "de minimis" exemption.

The tax exemption for imports from all nations will expire on August 29, with parcels subject to customs or flat fees.

Chaotic moment for worldwide postal services

Many postal operators throughout the world were taken off guard by the decision, which was codified in an executive order on July 30.


Kate Muth, president of the US-based trade association International Mailers Advisory Group (IMAG), stated that many of its members are unsure how to collect the duties that will take effect next week.
"It's a bit chaotic here," she told ABC News from Washington, D.C.

"A lot of uncertainty, a lot of concern about the postal stream being heavily impacted, and just a little over a week to get ready."
Australia Post is one of several worldwide postal companies that have decided to suspend transit mail to the United States as it navigates reforms.

"[Transit mail] is where a postal operator in one country will use the services of another postal operator to send it on to the final destination," Mrs. Muth said.

"For example, maybe the Philippines post uses Australia Post to send mail to the United States because the Philippines has low volumes or infrequent flights."
The government-owned corporation has not disclosed how many countries use Australia for transit mail, or how much volume it handles for other countries heading for the United States.

Uncertainty about tariff collection
ABC News has obtained an "emergency information" letter from the United Nations' specialised postal agency, warning members worldwide about Australia Post's decision.

"This measure will take effect on August 20, 2025," the letter read.

"Any transit or misrouted items containing goods that are destined for the United States and arrive at Australia Post's international mail processing centres will be returned to the origin."
The uncertainty surrounding postage has also caused havoc for Australian e-commerce firms, with one Brisbane-based brand, Apéro, deciding to suspend delivery to the United States this week.
"The volatility in decision making, and the volatility of the market, and, quite frankly, the lack of ability of even Australia Post to be able to address these issues in a timely manner, puts us, and all of Australian fashion, in a really precarious position," Laz Smith, co-founder of Apéro, told ABC News.

"We're just trying to react as quickly as we can."
According to Ms Muth of IMAG, the overall problem is that many postal workers are not prepared to "collect and remit" the tasks outlined in Donald Trump's executive order.
"Australian Post is not designed to accomplish that... They definitely need to collaborate with an airline carrier that is willing to do this, and we haven't heard of any that is," she explained.

Several postal companies around the world have already gone a step further and banned all shipping to the United States as of August 29.

They include Bpost, a logistics company based in Brussels, as well as various other companies around Europe.

PostNord, which serves Sweden and Denmark, has also cut shipments to Puerto Rico.
"Letters without goods will not be affected," PostNord stated in its notice. "Customers and partners will be kept updated and informed."
Australia Post would not disclose whether it is planning to completely suspend US shipments.
"Our priority is to keep our customers updated on the changes and what they mean for them," a spokeswoman told me

Australia Post has provided notifications to merchants and posted information regarding the abolition of de minimis on its website.

"Australia Post is investigating paying duties and taxes through an approved third-party platform provider on behalf of our merchants," the postal service informed sellers on Monday.
"These duties and taxes, including a handling fee, would be retrospectively charged to our merchant senders."