Tariffs force Australia Post to suspend services into the US and Puerto Rico

Changes to American customs and import tariffs have led Australia Post to partially suspend postal sending to the United States and Puerto Rico from today until further notice.

Australia Post says the temporary action follows recent “significant changes the US Government has made to customs and import tariff rules for parcels sent to the US”.

The changes include the US suspending the "de minimis" exemption for inbound goods, which was in place for goods valued at US$800 or less, and those requiring the pre-payment of tariffs prior to an item’s arrival in the US.

The temporary suspension will impact Business Contract, MyPost Business and Retail customers sending goods through the postal network.

Australia Post says gifts under US$100 as well as letters and documents are unaffected by this change with its latest action said to be in-line with those taken by “numerous other postal operators globally”.

Australia Post says it is working with Zonos, an authorised US Customs and Border Protection (CBP) third-party provider, to offer a solution that will, once launched, allow services to resume for Business Contract and My Post Business customers.

These customers will receive communications from Australia Post on what they need to do next to be ready for when this solution goes live.

“Australia Post is focused on providing a reliable and competitive postal service for customers sending parcels internationally,” says Gary Starr, Australia Post’s executive general manager of Parcel, Post & eCommerce Services.

“Guidance from CBP has only recently been issued and, like more than 190 other postal providers, we’ve been working at pace to find a solution.

“We are disappointed we have had to take this action, however, due to the complex and rapidly evolving situation, a temporary partial suspension has been necessary to allow us to develop and implement a workable solution for our customers.”

Starr says Australia Post is working with US and Australian authorities and international postal partners to resume postal service to the US “as a priority”.

The temporary partial suspension also includes postal sending to Puerto Rico, as it is under US Customs territory and has also been impacted by these tariff changes.

Postal goods sent to the US and Puerto Rico lodged on or after 26 August 2025 will not be accepted by Australia Post until further notice.

Sydney-founded parcel delivery industry disruptor Sendle, which recently announced a US merger to form the new California-headquartered FAST Group, says the recent change in the US “de minimis” threshold from $800 to zero has created “a great deal of uncertainty and risk for merchants”.

“If a parcel is delayed and gets caught in the transition, a small business could face a large bill that they can't pass on to their customer,” says James Chin Moody, co-founder and president of Sendle at FAST Group.

“This is why many carriers, including Sendle, have temporarily suspended services. It's a giant risk to small businesses, and it's our priority to protect them.”

Chin Moody says small businesses need certainty and low costs “to get them exporting again as quickly as possible”.

“We are working fast on a new Price Guaranteed Duties Paid International Shipping service designed to address this by providing a guarantee for upfront calculation and payment of all duties and taxes. This means Sendle will wear the costs if the trade regime changes or we get the calculation wrong.

“It’s about building a service that can adapt to change, rather than being broken by it. While Australia Post’s model has been disrupted, Sendle is innovating by using technology to create a new way forward.”